Harbor Alpha Layering ETF (HOLD)

Overview

The company operates as a sophisticated investment entity, focusing on the management of a diversified portfolio comprising various fixed income securities. Its primary goal is to achieve the fund's investment objectives through strategic investments in a broad spectrum of fixed income assets, including bonds, mortgage-backed securities (MBS), and asset-backed securities (ABS), issued by both U.S. and foreign entities. The company prioritizes investments in debt securities that are considered investment grade, typically rated Baa- or higher by major rating agencies such as Moody's Investors Service, Inc., Standard & Poor's Ratings Services, or Fitch, Inc. For securities that are not rated, the company relies on its sub-advisor's expertise to assess and determine their quality, ensuring they meet the fund’s stringent investment criteria. This approach allows the company to maintain a balance between risk and return, targeting stable and secure yields for its investors.

Products and Services

• Investment Grade Fixed Income Securities

  The company invests in high-quality fixed income securities, specifically selecting bonds that have been rated Baa- or higher by reputable rating agencies like Moody's, S&P, or Fitch. This product aims to provide investors with a dependable source of income while minimizing the risk of default. It encompasses a wide range of issuers, including both U.S. and foreign governments, agencies, and corporations, making it a cornerstone of the company’s investment strategy.

• Mortgage-Backed Securities (MBS) and Asset-Backed Securities (ABS)

  As part of its diversified investment approach, the company also allocates funds to mortgage-backed and asset-backed securities. These investments offer the dual advantages of regular income streams and a level of risk mitigation, as they are backed by pools of loans and other assets. The company focuses on MBS and ABS that meet its high-quality investment criteria, adding depth and resilience to the investment portfolio.

• Unrated Securities Assessment

  In instances where securities do not have a formal rating, the company leverages the expertise of its sub-advisor to conduct a thorough evaluation based on predefined metrics. This rigorous assessment ensures that only securities of a quality equivalent to those rated Baa- or higher are included in the fund. This service underscores the company’s commitment to maintaining high investment standards and safeguarding investor capital through meticulous selection and analysis.