Harbor Capital Advisors Launches EFFI and EFFE ETFs Targeting Alpha and Resource Efficiency

How These ETFs Work

Both EFFI and EFFE are actively managed ETFs built on Osmosis Investment Management’s proprietary MoRE (Model of Resource Efficiency) quantitative model. This approach identifies companies in international and emerging markets that demonstrate superior resource efficiency in carbon, water, and waste management relative to their benchmarks, including the MSCI World ex USA and MSCI Emerging Markets Indices.

EFFI targets resource-efficient companies in non-U.S. developed markets, while EFFE focuses on similar opportunities within the emerging markets universe. Both ETFs exclude tobacco-related investments and adhere to the UN Global Compact Principles for governance and social responsibility. This meticulous, data-driven methodology aims to combine environmental impact reduction with the potential for superior risk-adjusted returns.

Why Investors Should Consider These ETFs

EFFI and EFFE cater to investors seeking differentiated international and emerging markets exposure with a focus on sustainability. Both funds are positioned as core allocations, offering potential alpha alongside meaningful reductions in carbon, water, and waste footprints compared to their benchmarks.

Kristof Gleich, President & CIO of Harbor Capital Advisors, highlighted their appeal: “Finding specialized boutiques with a distinct alpha edge is what we live and breathe at Harbor, and I believe we have found another strong partner to add to our line-up of managers. EFFI and EFFE offer differentiated, alpha-seeking approaches to international equity investing while aiming to meaningfully lower the portfolio’s carbon, water, and waste footprint.”

As environmental concerns and sustainable investing gain traction, these ETFs provide investors with innovative tools to align their portfolios with their values without sacrificing performance potential.

About the Issuer

Harbor Capital Advisors manages over $63.1 billion in assets as of September 30, 2024, offering a diverse suite of active ETFs, mutual funds, and collective investment trusts. Known for its focus on boutique managers and distinct investment approaches, Harbor aims to deliver bold, high-conviction solutions for its clients.

With the launch of EFFI and EFFE, Harbor continues to expand its offerings, providing investors with innovative strategies that balance sustainability with competitive returns. These ETFs further exemplify the firm’s commitment to delivering differentiated products that meet the evolving needs of today’s market.

Please note this article is for information purposes only and does not in any way constitute investment advice. It is essential that you seek advice from a registered financial professional prior to making any investment decision.