Hartford Multifactor International Small Company ETF

Hartford Multifactor International Small Company ETF (ROIS) is an index fund holding about 300 small companies in developed markets outside the US and in emerging markets. Its index uses a rules-based model to favor cheaper, rising and financially sound stocks while aiming to dampen price swings. It costs 0.49% a year, above the 0.41% average for similar funds, and held only about $5 million in assets as of March 31, 2025.

• Over the year to Oct 27, 2026, ROIS returned 0.0%, 7th of 7 among similar funds.
• Its worst full calendar year was 2025 (+16.3%); its best was 2025 (+16.3%).
• The deepest fall in its price history was 10.6% (Sep 26, 2024 to Apr 8, 2025), recovered by Apr 28, 2025.

As of Mar 31, 2025, the fund held 303 securities; the ten largest made up 10.23% of assets.

• Over the three months to Mar 31, 2025, investors added a net $0.00 (creations minus redemptions, per the N-PORT report).
• Monthly total returns reported for that quarter: +0.68%, +0.56%, +2.80%.

ROIS tracks the Hartford Multifactor International Small Company Index (LROISOX). Lattice Strategies, the fund's adviser, designed the index, and Solactive AG calculates it. The starting pool is small companies in developed markets outside the US and in emerging markets. Size cutoffs are set country by country. The companies that make up the top 85% of a country's free-float market value (the value of shares available to the public) are left out, and the next slice, up to 98%, qualifies. As of December 31, 2024, that meant companies worth about $292 million to $8.7 billion.

A rules-based optimization, a computer process that balances several targets at once, then picks typically 250 to 350 stocks and sets their weights. It aims for positive scores on value (cheaper shares), momentum (shares that have been rising) and quality (financially sound firms). It keeps sector, country and size weights within limits and seeks to reduce volatility (how much prices swing) by up to 15% over a complete market cycle. The index resets its holdings and weights twice a year, in March and September.

The fund is passive: it does not try to beat the index or move to cash when markets fall. It keeps at least 80% of assets in index stocks and depositary receipts (certificates representing foreign shares). It may hold cash or other securities to help track the index.

• ROIS charges 0.49% a year, versus an average of 0.41% for the similar funds below (5th of 7, cheapest first).
• Using the prospectus's standard example, $10,000 invested would cost about $50 in the first year and $616 over 10 years (assuming a 5% annual return).

International small companies can broaden a US-focused portfolio, but a short record and only about $5 million in assets as of March 31, 2025, point to a small side position rather than a foundation.

ROIS could broaden a US-heavy portfolio with smaller companies in Japan, India, Taiwan and other developed and emerging markets. It launched March 19, 2024, so it has no record through the 2008, 2020 or 2022 downturns. Its only full calendar year, 2025, returned 16.3%. Its deepest drop, 10.6% from September 26, 2024 to April 8, 2025, took less than three weeks to recover. One mild decline says little about a long bear market, when someone drawing on savings might have to cash out at low prices.

It paid no income in the 12 months to October 27, 2026. The 0.49% fee, above the 0.41% peer average, comes to $50 in year one on $10,000 under the SEC's standard example. Assets of about $5 million as of March 31, 2025, raise closure risk. Past results don't predict the future, and a plan needs to weigh the whole portfolio, not one fund.

Matched by closest holdings overlap from the latest N-PORT reports (no similar fund shares 20% or more of its holdings).