Quantcast
The MFWire
Manage Email Alerts | Sponsorships | About MFWire | Who We Are

Subscribe to MFWire.com's News Alerts [click]

Rating:Harbor Hires Stone Harbor Not Rated 0.0 Email Routing List Email & Route  Print Print
Monday, May 02, 2011

Harbor Hires Stone Harbor

Reported by Armie Margaret Lee

Harbor Funds tapped Stone Harbor Investments Partners as the sub-advisor for its Harbor Emerging Markets Debt Fund [ SEC filing]. The fund is one of two new products that Chicago-based Harbor added to its no-load mutual fund family today.

This marks the first time that Stone Harbor Investment Partners-- which is unaffiliated with Harbor Funds -- is sub-advising a mutual fund for Harbor, confirmed a Harbor Funds spokesman.

The emerging markets debt fund comes with expense ratios of 105 basis points for the institutional share class and 130 bps for the administrative share class.

The other newly launched fund is Harbor Convertible Securities, sub-advised by Shenkman Capital [SEC filing]

Expense ratios for the convertible securities fund are 85 bps for institutional shares, 110 bps for administrative shares and 122 bps for investor shares.

Shenkman sub-advises one other Harbor fund, the High-Yield Bond Fund.

As of end-March, Harbor Funds had total AUM of about $60.3 billion across its lineup of sub-advised, no-load mutual funds.
Company Press Release on Harbor Emerging Markets Debt Fund

Harbor Funds Adds Mutual Fund Focusing on Emerging Markets Debt

CHICAGO, May 2, 2011 -- Harbor Funds today announced the addition of the Harbor Emerging Markets Debt Fund to its lineup of no-load mutual funds. The new fund, which commences operations today, will be managed by Stone Harbor Investment Partners LP.

The Harbor Emerging Markets Debt Fund seeks to maximize total return by investing primarily in fixed income securities that are tied economically to countries with emerging securities markets. The Fund may invest in emerging market securities denominated in either U.S. dollars or local currencies, but will generally seek to maintain a target weighting of 50% of the Fund's portfolio exposed to U.S. dollar denominated securities and 50% to local currency denominated securities. The portfolio managers may tactically increase or decrease the Fund's local currency exposure based upon their view as to the relative attractiveness of individual local currencies relative to the U.S. dollar. The Fund may invest without limit in higher-risk, below-investment-grade debt securities, commonly referred to as high-yield or junk bonds. The portfolio managers use a "top-down" approach to identify emerging market countries they believe provide more attractive investment opportunities and then select individual investments from within those countries based upon their view of securities they believe offer the highest potential returns based upon the amount of credit, interest rate, liquidity, and other risks present.

"We are excited to partner with Stone Harbor on our first dedicated emerging markets fund," said David G. Van Hooser, Chairman and Chief Executive Officer of Harbor Capital Advisors. "Stone Harbor has substantial experience investing in emerging markets, making them ideally suited to subadvise this new fund."

Peter J. Wilby, CFA, Chief Investment Officer of Stone Harbor Investment Partners, along with Stone Harbor Portfolio Managers Pablo Cisilino, James E. Craige, CFA, Thomas K. Flanagan, CFA, David A. Oliver, CFA, and Christopher M. Wilder, CFA, will serve as portfolio managers of the Fund.

There is no guarantee that the Fund's investment goal will be achieved. Fixed income securities fluctuate in price and the value of a shareholder's investment in the Fund could go down. Because the Fund invests primarily in securities of emerging markets issuers, there is a greater risk that the Fund's share price will fluctuate more than if it invested only in domestic or developed-market securities. In addition, below-investment-grade securities are considered speculative because they have a high risk of issuer default, are subject to greater price volatility, and may be illiquid. Other risks also apply; these are discussed in the Fund's prospectus.

The Harbor Funds lineup of actively managed no-load mutual funds had combined net assets of approximately $60.3 billion as of March 31, 2011. Each Harbor fund is managed by an institutional investment firm chosen by Harbor Capital Advisors, Inc. because of its experience in a specific asset class.

Company Press Release on Harbor Convertible Securities Fund

Shenkman Capital to manage new Harbor Convertible Securities Fund

Chicago, Illinois, May 2, 2011 Harbor Funds today announced the addition of the Harbor Convertible Securities Fund to its lineup of no-load mutual funds. The new Fund, which commences operations today, will be managed by Shenkman Capital Management, Inc.

The Harbor Convertible Securities Fund seeks to maximize total return by investing primarily in a portfolio of convertible securities, with a focus on securities rated below investment grade, commonly referred to as high-yield or junk bonds. The portfolio manager selects securities issued by companies that are believed to have potential for positive credit momentum and credit-rating upgrade and/or equity appreciation. In addition to considering company fundamentals, the portfolio manager also considers a range of more technical factors related to the convertible nature of these securities. The portfolio manager will invest primarily in securities denominated in U.S. dollars, but may invest in securities denominated in other currencies.

"We are excited to partner with Shenkman Capital on another fund offering", said David G. Van Hooser, Chairman and Chief Executive Officer of Harbor Capital Advisors. Shenkman Capital's credit expertise and track record in the convertibles market makes them ideally suited to subadvise this fund."

Raymond F. Condon, a Senior Vice President and Portfolio Manager at Shenkman Capital, has over 34 years of investment experience and will serve as the portfolio manager for the Harbor Convertible Securities Fund. Shenkman Capital, with offices in New York, NY, Stamford, CT and London, U.K., has also managed the Harbor High-Yield Bond Fund since its inception in 2002.

There is no guarantee that the Fund's investment goal will be achieved. Convertible securities fluctuate in price and the value of a shareholder's investment in the Fund could go down. Convertible securities generally tend to be of lower credit quality; the value of a convertible security generally fluctuates with changes in the value of the underlying common stock and may also be sensitive to changes in interest rates. In addition, below-investment-grade securities are considered speculative because they have a high risk of issuer default, are subject to greater price volatility, and may be illiquid. The Fund charges a redemption fee of 1% on redemption of shares that are held for less than nine months. Other risks also apply; these are discussed in the Fund's prospectus.

The Harbor Funds lineup of actively managed no-load mutual funds had combined net assets of approximately $60.3 billion as of March 31, 2011. Each Harbor fund is managed by an institutional investment firm chosen by Harbor Capital Advisors, Inc. because of its experience in a specific asset class.
 

Stay ahead of the news ... Sign up for our email alerts now
CLICK HERE

0.0
 Do You Recommend This Story?



GO TO: MFWire
Return to Top
 News Archives
2019: Q4Q3Q2Q1
2018: Q4Q3Q2Q1
2017: Q4Q3Q2Q1
2016: Q4Q3Q2Q1
2015: Q4Q3Q2Q1
2014: Q4Q3Q2Q1
2013: Q4Q3Q2Q1
2012: Q4Q3Q2Q1
2011: Q4Q3Q2Q1
2010: Q4Q3Q2Q1
2009: Q4Q3Q2Q1
2008: Q4Q3Q2Q1
2007: Q4Q3Q2Q1
2006: Q4Q3Q2Q1
2005: Q4Q3Q2Q1
2004: Q4Q3Q2Q1
2003: Q4Q3Q2Q1
2002: Q4Q3Q2Q1
 Subscribe via RSS:
Raw XML
Add to My Yahoo!
follow us in feedly




©All rights reserved to InvestmentWires, Inc. 1997-2019
14 Wall Street | 20th Floor | New York, NY 10005 | P: 212-331-8968 | F: 212-331-8998
Privacy Policy :: Terms of Use