Harbor International All Cap Fund Edged Benchmark in Q1

The Harbor Diversified International All Cap Fund (HAIDX) returned 1.17% in the first quarter of 2026, beating its benchmark index over the period.

Portfolio managers attributed the outperformance to stock selection in the financials and industrials sectors, where holdings in European banks and Japanese automation firms added the most value. A lighter weighting in energy, which lagged during the quarter, also helped relative returns.

The fund's largest country allocations at quarter-end were to Japan, the United Kingdom, and France. Top individual holdings included Novartis, ASML, and Toyota Motor.

Currency effects were a modest headwind. A stronger U.S. dollar trimmed about 0.3 percentage points from the fund's return, the managers noted.

Cash and equivalents stood at 3.8% of assets as of March 31, down from 4.5% at the end of 2025, reflecting deployment into new positions during the quarter.

The fund's expense ratio remains 0.89%.

For more on international equity positioning, see our broader stock market analysis.