Hartford Healthcare Selects Lazard Multi Asset for Emerging Markets Defined Contribution Investment Option

Business Wire


Lazard Asset Management LLC (LAM) is pleased to announce that the Lazard Emerging Markets Multi-Strategy Portfolio (EMMIX) has been selected by Hartford HealthCare as the first emerging markets investment option for its defined contribution retirement plan.

The Lazard Emerging Markets Multi-Strategy Portfolio (the “Portfolio”) is a multi-asset fund that seeks total return from current income and capital appreciation by allocating capital across Lazard’s emerging markets equity, debt and currency strategies based on the portfolio management team’s assessment of the changing economic landscape. By combining emerging markets asset classes and periodically readjusting allocations, the Portfolio seeks to avoid the extreme outcomes typically found in emerging markets and, thereby, to create a less volatile pattern of returns.

“The Lazard Emerging Markets Multi-Strategy Portfolio’s multi-asset approach allows for diverse emerging markets exposure across equity, debt and currency asset classes in a single investment option, an attractive solution for the defined contribution market,” said Jai Jacob, Managing Director and lead Portfolio Manager for the Portfolio. “In addition to diversification benefits, a lower volatility portfolio can also help serve to reduce point-of-entry risk.”

“Our intention is to give our employees access to some of the best thinking behind our top performing endowment funds, namely to capture the market growth potential of emerging economies without subjecting employees’ savings to the full risks of emerging stock markets,” said David Holmgren, Chief Investment Officer of Hartford HealthCare.

Hartford HealthCare (HHC) is a premier health care network in Connecticut with more than 18,000 employees and approximately $700 million in defined contribution assets across its 401(k), 403(b) and 457(b) plans. The Lazard Emerging Markets Multi-Strategy Portfolio represents the first emerging markets offering for HHC’s defined contribution plan and has been offered to participants as of January 1, 2014.

An indirect subsidiary of Lazard Ltd (LAZ), LAM offers a range of equity, fixed-income, and alternative investment products worldwide. As of September 30, 2013, LAM and affiliated asset management companies in the Lazard Group managed $176 billion worth of client assets. For more information about LAM, please visit www.Lazardnet.com.

About Lazard

Lazard, one of the world’s preeminent financial advisory and asset management firms, operates from 40 cities across 26 countries in North America, Europe, Asia, Australia, Central and South America. With origins dating to 1848, the firm provides advice on mergers and acquisitions, strategic matters, restructuring and capital structure, capital raising and corporate finance, as well as asset management services to corporations, partnerships, institutions, governments and individuals.

Equity securities will fluctuate in price; the value of your investment will thus fluctuate, and this may result in a loss. Securities in certain non-domestic countries may be less liquid, more volatile, and less subject to governmental supervision than in one’s home market. The values of these securities may be affected by changes in currency rates, application of a country’s specific tax laws, changes in government administration, and economic and monetary policy. Small- and mid-capitalization stocks may be subject to higher degrees of risk, their earnings may be less predictable, their prices more volatile, and their liquidity less than that of large-capitalization or more established companies’ securities. Emerging-market securities carry special risks, such as less developed or less efficient trading markets, a lack of company information, and differing auditing and legal standards. The securities markets of emerging-market countries can be extremely volatile; performance can also be influenced by political, social, and economic factors affecting companies in emerging-market countries. An investment in fixed income securities involves risks, including, but not limited to, interest rate risk and credit risk. Investments denominated in currencies other than US dollars may experience a decline in value, in US dollar terms, due solely to fluctuations in currency exchange rates. Currency investments could be adversely affected by delays in, or a refusal to grant, repatriation of funds or conversion of emerging market currencies. Forward currency contracts and other derivatives transactions, including those entered into for hedging purposes, may reduce returns or increase volatility, perhaps substantially. Forward currency contracts, over-the-counter options on securities (including options on ETFs) and currencies, structured notes and swap agreements are subject to the risk of default by the counterparty and can be illiquid. These derivatives transactions, as well as the exchange-traded options in which the Portfolio may invest, are subject to many of the risks of, and can be highly sensitive to changes in the value of, the related currency, security or other reference asset. As such, a small investment could have a potentially large impact on the Portfolio’s performance. Use of derivatives transactions, even if entered into for hedging purposes, may cause the Portfolio to experience losses greater than if the Portfolio had not engaged in such transactions. The lack of a readily available market may limit the ability of the Portfolio to sell certain securities at the time and price it would like. The size of certain securities offerings of emerging markets issuers may be relatively smaller in size than offerings in more developed markets and, in some cases, the Portfolio, by itself or together with other Portfolios or other accounts managed by the Investment Manager, may hold a position in a security that is large relative to the typical trading volume for that security; these factors can make it difficult for the Portfolio to dispose of the position at the desired time or price.

The Portfolio invests a portion of its assets in stocks believed by Lazard to be undervalued, but that may not realize their perceived value for extended periods of time or may never realize their perceived value. The Portfolio invests a portion of its assets in stocks believed by Lazard to have the potential for growth, but that may not realize such perceived potential for extended periods of time or may never realize such perceived growth potential. Such stocks may be more volatile than other stocks because they can be more sensitive to investor perceptions of the issuing company’s growth potential. The stocks in which the Portfolio invests may respond differently to market and other developments than other types of stocks. The Portfolio’s ability to achieve its investment objective depends in part on Lazard’s skill in determining the Portfolio’s allocation between the investment strategies. Lazard’s evaluations and assumptions underlying its allocation decisions may differ from actual market conditions.

Please consider a fund’s investment objectives, risks, charges, and expenses carefully before investing. For more complete information about The Lazard Funds, Inc. and current performance, you may obtain a prospectus or summary prospectus by calling 800-823-6300 or going to www.LazardNet.com. Read the prospectus or summary prospectus carefully before you invest. The prospectus and summary prospectus contain investment objectives, risks, charges, expenses, and other information about the Portfolio and The Lazard Funds that may not be detailed in this document. The Lazard Funds are distributed by Lazard Asset Management Securities LLC.

Judi Mackey, +1 212-632-1428
Clare Pickett, +1 212-632-6963
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