Harbor Capital Advisors Launches Long-Short Equity ETF

Harbor Capital Advisors, Inc. ("Harbor"), the asset manager that continues to curate a select suite of actively managed ETFs, has now launched the Harbor Long-Short Equity ETF (Ticker: LSEQ).

Managed by Disciplined Alpha LLC (“Disciplined Alpha”), the Harbor Long-Short Equity ETF utilizes an actively managed multi-asset approach to achieve its investment objective of providing long-term growth of capital. In an effort to achieve the objective, the Fund establishes long and/or short positions in equity securities and invests primarily in the common stocks of U.S.-listed large cap and mid cap companies.

Disciplined Alpha employs a structured quantitative approach. Key components include the use of a proprietary macroeconomic regime model to determine gross and net exposure, as well as weights for value, neutral, or momentum factors. Disciplined Alpha also prioritizes industry groups perceived to offer substantial alpha opportunities. Within these groups, the long model incorporates proprietary stock selection factors derived from discussions with company management and third-party fundamental analysts. Additionally, a distinct short model is applied to manage the short side of the Fund's portfolio.

“We’re excited to be able to launch the Harbor Long-Short Equity ETF and provide clients with another active, concentrated and fully transparent option to consider for their portfolio construction. It goes without saying that we at Harbor stand firm on our belief that active managers need to be truly active to add value,” said Kristof Gleich, President and CIO. “We’re also thrilled to partner with Disciplined Alpha LLC. Their creative and innovative research approach, systematic processes and disciplined implementation has enabled them to manage and develop investment strategies to meet the needs of qualified institutional investors all around the globe.”

Now the fourteenth actively managed and fully transparent ETF available in Harbor's expanding lineup across various investment themes and asset classes, this offering enhances the breadth of choices available to investors.

About Harbor Capital

Harbor Capital Advisors is an asset manager with an AUM of $45.1 billion as of 9/30/2023 and is known for curating an intentionally select suite of active ETFs from boutique managers. Advisors looking for distinct and differentiated investment options for their clients’ portfolios often connect with our obsession to find what we believe to be the best and bold solutions that have the potential to produce compelling, risk-adjusted returns. For more information, visit harborcapital.com.

Investors should carefully consider the investment objectives, risks, charges, and expenses of a Harbor fund before investing. To obtain a summary prospectus or prospectus for this and other information, visit harborcapital.com or call 800-422-1050. Read it carefully before investing.

All investments involve risk including the possible loss of principal.

Unlike mutual funds, ETFs may trade at a premium or discount to their net asset value. The ETF is new and has limited operating history to judge.

There is no guarantee that the investment objective of the Fund will be achieved. Stock markets are volatile and equity values can decline significantly in response to adverse issuer, political, regulatory, market and economic conditions. Short selling securities could potentially have unlimited loss due to the price of securities sold short increasing beyond the cost of replacement and the limitless increase on the value of a security. The Fund utilizes a quantitative model and there are limitations in every quantitative model. There can be no assurances that the strategies pursued or the techniques implemented in the quantitative model will be profitable, and various market conditions may be materially less favorable to certain strategies than others.

The Harbor Long-Short Equity ETF (the “Fund”) acquired the assets and assumed the then existing known liabilities of the Disciplined Alpha Onshore Fund LP (the “Predecessor Fund”), a Delaware limited partnership, on 12/1/23, and the Fund is the performance successor of the reorganization. This means that the Predecessor Fund’s performance and financial history will be used by the Fund going forward from the date of reorganization. Performance information prior to 12/1/23 reflects all fees and expenses, including a performance fee, incurred by the Predecessor Fund. Disciplined Alpha LLC (“Disciplined Alpha”) served as the general partner and investment manager to the Predecessor Fund, which commenced operations on 1/1/15 and, since that time, implemented its investment strategy indirectly through its investment in a master fund, which had the same general partner, investment manager, investment policies, objectives, guidelines and restrictions as the Predecessor Fund. Regardless of whether the Predecessor Fund operated as a stand-alone fund or invested indirectly through a master fund, Disciplined Alpha managed the Predecessor Fund assets using investment policies, objectives, guidelines and restrictions that were in all material respects equivalent to those of the Fund. However, the Predecessor Fund was not a registered fund and so it was not subject to the same investment and tax restrictions as the Fund. If it had been, the Predecessor Fund’s performance may have been lower.

The views expressed herein may not be reflective of current opinions, are subject to change without prior notice, should not be considered investment advice or a recommendation to purchase a particular security.

Shares are bought and sold at market price not net asset value (NAV). Market price returns are based upon the closing composite market price and do not represent the returns you would receive if you traded shares at other times.

Foreside Fund Services, LLC is the Distributor of the Harbor Long-Short Equity ETF.

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