While US stocks have delivered strong performance over the past decade, international stocks outperformed in 2022. History suggests that international stocks may continue to outperform. Since 1975, the outperformance cycle for US vs. international stocks has lasted an average of eight years. We’re currently 12.3 years into the current cycle of US outperformance based on 5-year monthly rolling returns.
US Equity vs. International Equity 5-Year Monthly Rolling Returns (1/31/75-6/30/23)
The chart shows the values of the S&P 500 Index’s returns minus the MSCI World ex USA Index’s returns. When the line is above 0, domestic stocks outperformed international stocks. When the line is below 0, international stocks outperformed domestic stocks.
Data Sources: Morningstar, Bloomberg, and Hartford Funds, 7/23.
Past performance does not guarantee future results. Indices are unmanaged and not available for direct investment. The performance shown above is index performance and is not representative of any Hartford Fund’s performance.
US equity is represented by the S&P 500 Index; international equity is represented by the MSCI World ex USA Index. Please see page 2 for representative index definitions. For illustrative purposes only.
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Hartford Funds Global and International Equity Funds1
Morningstar ratings for Mutual Fund I-Shares and Exchange Traded Funds (“ETFs”)*
1 View the full list of Hartford Funds
* ETFs are not mutual funds. Unlike traditional open-ended mutual funds, ETF shares are bought and sold in the secondary market through a stockbroker. ETFs trade on major stock exchanges and their prices will fluctuate throughout the day. Both ETFs and mutual funds are subject to risk and volatility.
S&P 500 Index is a market capitalization-weighted price index composed of 500 widely held common stocks.
MSCI World ex USA Index captures large and mid cap representation across developed market countries, excluding the US.
Important Risks: Investing involves risk, including the possible loss of principal. • Foreign investments may be more volatile and less liquid than US investments and are subject to the risk of currency fluctuations and adverse political, economic and regulatory developments. These risks may be greater, and include additional risks, for investments in emerging markets.
Neither MSCI nor any other party involved in or related to compiling, computing or creating the MSCI data makes any express or implied warranties or representations with respect to such data (or the results to be obtained by the use thereof), and all such parties hereby expressly disclaim all warranties of originality, accuracy, completeness, merchantability or fitness for a particular purpose with respect to any of such data. Without limiting any of the foregoing, in no event shall MSCI, any of its affiliates or any third party involved in or related to compiling, computing or creating the data have any liability for any direct, indirect, special, punitive, consequential or any other damages (including lost profits) even if notified of the possibility of such damages. No further distribution or dissemination of the MSCI data is permitted without MSCI’s express written consent.