High-growth stocks, especially those within Harbor Capital Appreciation's bailiwick, have seen their share prices come under pressure in early 2022. Year to date through March 14, 2022, the mutual fund's institutional shares fell 25.3%, which was 5.3 and 6.1 percentage points worse than the typical large-growth Morningstar Category rival and Russell 1000 Growth Index, respectively. Former market darling and top-10 holding Shopify SHOP, whose shares are down a staggering 62.8%, detracted the most from returns during the two-and-a-half-month period. Such a sharp decline is uncomfortable but not necessarily surprising given this strategy's long-standing bold approach. It is behaving as expected, and its share classes retain their Morningstar Analyst Ratings of Gold or Silver, depending on fees.
Harbor Capital Appreciation Instl HACAX
Adjusted Expense Ratio excludes certain variable investment-related expenses, such as interest from borrowings and dividends on borrowed securities, allowing for more consistent cost comparisons across funds.
Morningstar’s Analysis
The Morningstar Analysis section contains a thorough evaluation of an investment’s merits and drawbacks and often discusses the most important or decisive factors leading to the fund’s overall rating.
The Morningstar Analysis section contains a thorough evaluation of an investment’s merits and drawbacks and often discusses the most important or decisive factors leading to the fund’s overall rating.
Will HACAX outperform in future?
Get our overall rating based on a fundamental assessment of the pillars below.
Process Pillar
The Process Pillar is our assessment of how sensible, clearly defined, and repeatable HACAX’s performance objective and investment process is for both security selection and portfolio construction.
People Pillar
The People Pillar is our evaluation of the HACAX management team’s experience and ability. We find that high-quality management teams deliver superior performance relative to their benchmarks and/or peers.
Parent Pillar
The Parent Pillar is our rating of HACAX’s parent organization’s priorities and whether they’re in line with investors’ interests.
Harbor Capital Appreciation's Volatility Is a Feature Not a Bug
