The Hartford Mutual Funds has announced that, effective July 1, permanent mutual fund expense reductions have taken effect on 36 funds. The change affects institutional and retirement share classes, as well as the retail share classes of six funds.
Keith Sloane, senior vice president of the Hartford Mutual Funds, said in a statement, "We're seeing high demand for these products and we want to keep that momentum going. Strong-performing funds like Value, Fundamental Growth, and International Opportunities were specifically targeted for significant expense reductions to be more competitive in their Morningstar categories."
Net operating expenses have dropped up to 30 basis points for the following funds' institutional, retirement, and retail share classes:
? The Hartford Diversified International Fund2
? The Hartford Fundamental Growth Fund3
? The Hartford Global Research Fund2
? The Hartford International Growth Fund4
? The Hartford International Opportunities Fund2
? The Hartford Value Fund5 (includes an additional temporary management fee waiver of five basis points for one year, ending June 30, 2011).
A drop of 15 basis points in net operating expenses is effective on the institutional and retirement share classes of 30 other funds.
Joseph Eck, vice president of The Hartford's investment-only business, said in a statement that the change was made because "we want to expand our institutional market share and the expense reductions enhance our offerings for investment consultants and financial advisors."
Advisors moving to an RIA model, Eck said, "want lower expenses and fee transparency for small- and mid-size retirement plans." The changes are designed to make The Hartford more competitive across the retirement market, including defined benefit plans, 401(k) and 403(b) programs, and endowments and foundations already offering the funds as options.
See The Hartford's new expense tables it its updated Summary Prospectus and supplements.