
Harbor Corporate Culture Leaders ETF (HAPY)
Access a data-driven strategy that seeks to capture the link between strong corporate culture and equity value
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Welcome
Research Suggests That Doing the Right Thing Pays.
Harbor Capital has partnered with Irrational Capital to develop a data-driven strategy built on the Human Capital Factor.
What is the Human Capital Factor? It’s a systematic measure of corporate culture that seeks to deeply understand the importance and value created between human capital and potential equity performance. In other words, the Human Capital Factor is based on the premise that happy and motivated employees can generate better outcomes for companies and investors.
The index underlying HAPY takes a socially conscious approach that seeks to access the potential alpha opportunity of strong corporate culture.

Additional Resources

Dan Ariely
Behavioral Economist, Co-Founder, Irrational Capital
Of all the investments companies make, creating a strong corporate culture is one of the best ways to create value. This is why employee behavior and motivation can be such an important element of stock market performance.



The above figures represent Irrational Capital’s full data set. A subset of this data is used in constructing HAPY. Source: Irrational Capital. As of 3/31/2023.
- Irrational Capital looks to identify companies with strong employer/employee relationships.
- The Human Capital Factor seeks to deeply understand company culture and intrinsic employee motivation as a potential driver of stock performance.
- Focused on capturing and investing in the benefits that strong corporate culture may have on a company's stock price.

The Human Capital Factor measures intrinsic and extrinsic motivation that establishes the relationship between employee well-being and business fundamentals which, in turn, could impact equity performance.

The index underlying HAPY takes a socially conscious approach that aims to access the potential alpha opportunity of strong corporate culture.

The Human Capital Factor is grounded in proprietary data that seeks to prove "doing the right thing" can pay.
Help Clients Be Their Better Selves
Dan Ariely shares the important role that advisors play during times of market volatility.
Overview
Investment Team
Morningstar Medalist Rating™

10
77
The Morningstar Medalist Rating™ is the summary expression of Morningstar’s forward-looking analysis of investment strategies as offered via specific vehicles using a rating scale of Gold, Silver, Bronze, Neutral, and Negative. The Medalist Ratings indicate which investments Morningstar believes are likely to outperform a relevant index or peer group average on a risk-adjusted basis over time. |
"Of all the investments companies make, creating a strong corporate culture is one of the best ways to create value. This is why employee behavior and motivation can be such an important element of stock market performance."
Dan Ariely
Behavioral Economist, Co-Founder, Irrational Capital
Performance
Distribution History
Ex-Date
Record Date
Payable Date
Ordinary Income
Short Term Capital Gains
Long Term Capital Gains
Total Distribution
12/21/2022
12/22/2022
12/27/2022
0.02561
--
--
0.02561
Holdings
Full Holdings
As of 6/1/2023
Company Name [Ticker]
Category Name
Country
Cusip
Shares
Current Price ($)
Market Value ($)
% of Net Assets
TWILIO INC A COMMON STOCK USD.001 [TWLO]
Equity
90138F102
2,822
67.30
189,920.60
1.9
MONDAY.COM LTD COMMON STOCK [MNDY]
Equity
M7S64H106
983
181.82
178,729.06
1.8
NVIDIA CORP COMMON STOCK USD.001 [NVDA]
Equity
67066G104
448
397.70
178,169.60
1.7
GLOBANT SA COMMON STOCK USD1.2 [GLOB]
Equity
L44385109
938
186.75
175,171.50
1.7
ATLASSIAN CORP CL A COMMON STOCK USD.00001 [TEAM]
Equity
049468101
964
177.26
170,878.64
1.7
ADOBE INC COMMON STOCK USD.0001 [ADBE]
Equity
00724F101
385
426.75
164,298.75
1.6
GITLAB INC CL A COMMON STOCK USD.0000025 [GTLB]
Equity
37637K108
4,515
35.94
162,269.10
1.6
ZOOMINFO TECHNOLOGIES INC COMMON STOCK [ZI]
Equity
98980F104
6,262
25.91
162,248.42
1.6
SERVICENOW INC COMMON STOCK USD.001 [NOW]
Equity
81762P102
283
542.96
153,657.68
1.5
NETFLIX INC COMMON STOCK USD.001 [NFLX]
Equity
64110L106
378
403.13
152,383.14
1.5
ZSCALER INC COMMON STOCK USD.001 [ZS]
Equity
98980G102
1,124
135.09
151,841.16
1.5
SYNCHRONY FINANCIAL COMMON STOCK USD.001 [SYF]
Equity
87165B103
4,768
31.55
150,430.40
1.5
SENTINELONE INC CLASS A COMMON STOCK USD.0001 [S]
Equity
81730H109
7,184
20.72
148,852.48
1.5
TRADE DESK INC/THE CLASS A COMMON STOCK USD.000001 [TTD]
Equity
88339J105
2,031
73.26
148,791.06
1.5
CADENCE DESIGN SYS INC COMMON STOCK USD.01 [CDNS]
Equity
127387108
636
232.39
147,800.04
1.4
META PLATFORMS INC CLASS A COMMON STOCK USD.000006 [META]
Equity
30303M102
542
272.61
147,754.62
1.4
TERADYNE INC COMMON STOCK USD.125 [TER]
Equity
880770102
1,426
103.10
147,020.60
1.4
EPAM SYSTEMS INC COMMON STOCK USD.001 [EPAM]
Equity
29414B104
569
257.94
146,767.86
1.4
DELTA AIR LINES INC COMMON STOCK USD.0001 [DAL]
Equity
247361702
3,888
36.38
141,445.44
1.4
SILICON LABORATORIES INC COMMON STOCK USD.0001 [SLAB]
Equity
826919102
971
145.34
141,125.14
1.4
MONGODB INC COMMON STOCK USD.001 [MDB]
Equity
60937P106
480
293.96
141,100.80
1.4
ROKU INC COMMON STOCK USD.0001 [ROKU]
Equity
77543R102
2,396
58.55
140,285.80
1.4
PINNACLE FINANCIAL PARTNERS COMMON STOCK USD1.0 [PNFP]
Equity
72346Q104
2,778
50.41
140,038.98
1.4
KKR + CO INC COMMON STOCK USD.01 [KKR]
Equity
48251W104
2,670
52.43
139,988.10
1.4
TRANSUNION COMMON STOCK USD.01 [TRU]
Equity
89400J107
1,910
72.81
139,067.10
1.4
VMWARE INC CLASS A W/I COMMON STOCK USD.01 [VMW]
Equity
928563402
1,035
133.94
138,627.90
1.4
MORNINGSTAR INC COMMON STOCK [MORN]
Equity
617700109
678
203.96
138,284.88
1.4
ROBLOX CORP CLASS A COMMON STOCK USD.0001 [RBLX]
Equity
771049103
3,274
42.13
137,933.62
1.4
AIRBNB INC CLASS A COMMON STOCK USD.0001 [ABNB]
Equity
009066101
1,229
112.16
137,844.64
1.4
ALPHABET INC CL C COMMON STOCK USD.001 [GOOG]
Equity
02079K107
1,108
124.37
137,801.96
1.3
INTEL CORP COMMON STOCK USD.001 [INTC]
Equity
458140100
4,422
31.13
137,656.86
1.3
ALPHABET INC CL A COMMON STOCK USD.001 [GOOGL]
Equity
02079K305
1,111
123.72
137,452.92
1.3
SPOTIFY TECHNOLOGY SA COMMON STOCK EUR.000625 [SPOT]
Equity
L8681T102
893
153.92
137,450.56
1.3
MICROSOFT CORP COMMON STOCK USD.00000625 [MSFT]
Equity
594918104
412
332.58
137,022.96
1.3
GE HEALTHCARE TECHNOLOGY COMMON STOCK [GEHC]
Equity
36266G107
1,709
79.83
136,429.47
1.3
CREDIT ACCEPTANCE CORP COMMON STOCK USD.01 [CACC]
Equity
225310101
302
449.24
135,670.48
1.3
GUIDEWIRE SOFTWARE INC COMMON STOCK USD.0001 [GWRE]
Equity
40171V100
1,628
82.84
134,863.52
1.3
DROPBOX INC CLASS A COMMON STOCK USD.00001 [DBX]
Equity
26210C104
5,805
23.19
134,617.95
1.3
ASGN INC COMMON STOCK USD.01 [ASGN]
Equity
00191U102
2,020
66.42
134,168.40
1.3
SALESFORCE INC COMMON STOCK USD.001 [CRM]
Equity
79466L302
630
212.90
134,127.00
1.3
THOUGHTWORKS HOLDING INC COMMON STOCK USD.001 [TWKS]
Equity
88546E105
16,789
7.87
132,129.43
1.3
S+P GLOBAL INC COMMON STOCK USD1.0 [SPGI]
Equity
78409V104
358
368.99
132,098.42
1.3
SPIRIT REALTY CAPITAL INC REIT USD.05 [SRC]
Equity
84860W300
3,366
38.58
129,860.28
1.3
MSCI INC COMMON STOCK USD.01 [MSCI]
Equity
55354G100
278
466.97
129,817.66
1.3
CONOCOPHILLIPS COMMON STOCK USD.01 [COP]
Equity
20825C104
1,296
99.53
128,990.88
1.3
INTUITIVE SURGICAL INC COMMON STOCK USD.001 [ISRG]
Equity
46120E602
415
310.54
128,874.10
1.3
COMMERCIAL METALS CO COMMON STOCK USD.01 [CMC]
Equity
201723103
2,959
43.22
127,887.98
1.3
FIRST AMERICAN FINANCIAL COMMON STOCK USD.00001 [FAF]
Equity
31847R102
2,287
55.76
127,523.12
1.2
TPG INC COMMON STOCK [TPG]
Equity
872657101
4,780
26.52
126,765.60
1.2
SAMSARA INC CL A COMMON STOCK USD.0001 [IOT]
Equity
79589L106
6,657
19.01
126,549.57
1.2
PIONEER NATURAL RESOURCES CO COMMON STOCK USD.01 [PXD]
Equity
723787107
629
200.80
126,303.20
1.2
INTUIT INC COMMON STOCK USD.01 [INTU]
Equity
461202103
299
422.12
126,213.88
1.2
FACTSET RESEARCH SYSTEMS INC COMMON STOCK USD.01 [FDS]
Equity
303075105
323
390.29
126,063.67
1.2
PROLOGIS INC REIT USD.01 [PLD]
Equity
74340W103
1,024
122.64
125,583.36
1.2
ZIFF DAVIS INC COMMON STOCK USD.01 [ZD]
Equity
48123V102
2,066
60.40
124,786.40
1.2
MASTERCARD INC A COMMON STOCK USD.0001 [MA]
Equity
57636Q104
336
370.88
124,615.68
1.2
JOHNSON + JOHNSON COMMON STOCK USD1.0 [JNJ]
Equity
478160104
796
154.54
123,013.84
1.2
STEEL DYNAMICS INC COMMON STOCK USD.005 [STLD]
Equity
858119100
1,334
92.17
122,954.78
1.2
BOSTON SCIENTIFIC CORP COMMON STOCK USD.01 [BSX]
Equity
101137107
2,387
51.50
122,930.50
1.2
DOXIMITY INC CLASS A COMMON STOCK USD.001 [DOCS]
Equity
26622P107
3,876
31.55
122,287.80
1.2
SBA COMMUNICATIONS CORP REIT USD.01 [SBAC]
Equity
78410G104
547
220.69
120,717.43
1.2
TRADEWEB MARKETS INC CLASS A COMMON STOCK USD.01 [TW]
Equity
892672106
1,759
68.00
119,612.00
1.2
ALNYLAM PHARMACEUTICALS INC COMMON STOCK USD.01 [ALNY]
Equity
02043Q107
626
188.67
118,107.42
1.2
RLI CORP COMMON STOCK USD1.0 [RLI]
Equity
749607107
952
123.82
117,876.64
1.2
CONSOLIDATED EDISON INC COMMON STOCK USD.1 [ED]
Equity
209115104
1,283
91.82
117,805.06
1.2
PPL CORP COMMON STOCK USD.01 [PPL]
Equity
69351T106
4,513
26.10
117,789.30
1.2
PROCTER + GAMBLE CO/THE COMMON STOCK [PG]
Equity
742718109
817
143.96
117,615.32
1.2
AGILENT TECHNOLOGIES INC COMMON STOCK USD.01 [A]
Equity
00846U101
1,011
116.26
117,538.86
1.2
COLGATE PALMOLIVE CO COMMON STOCK USD1.0 [CL]
Equity
194162103
1,555
74.90
116,469.50
1.1
AES CORP COMMON STOCK USD.01 [AES]
Equity
00130H105
5,820
19.88
115,701.60
1.1
INTELLIA THERAPEUTICS INC COMMON STOCK USD.0001 [NTLA]
Equity
45826J105
2,953
38.16
112,686.48
1.1
ETSY INC COMMON STOCK USD.001 [ETSY]
Equity
29786A106
1,374
81.99
112,654.26
1.1
LULULEMON ATHLETICA INC COMMON STOCK USD.005 [LULU]
Equity
550021109
340
328.35
111,639.00
1.1
SAREPTA THERAPEUTICS INC COMMON STOCK USD.0001 [SRPT]
Equity
803607100
857
124.28
106,507.96
1.0
AGILON HEALTH INC COMMON STOCK USD.01 [AGL]
Equity
00857U107
5,272
19.27
101,591.44
1.0
Total
--
--
--
--
--
10,170
99.7
Cash and Other Assets Less Liabilities
--
--
--
--
--
--
0.3
Total Net Assets
--
--
--
--
--
--
100%
Sector Allocation
As of 4/30/2023
Corporate Culture Leaders ETF (HAPY)
Human Capital Factor Unconstrained Index
Information Technology
HAPY: 31.5%
Benchmark: 31.5%
Financials
HAPY: 16.7%
Benchmark: 16.7%
Health Care
HAPY: 14.6%
Benchmark: 14.6%
Communication Services
HAPY: 13.2%
Benchmark: 13.2%
Utilities
HAPY: 4.2%
Benchmark: 4.2%
Consumer Discretionary
HAPY: 4.1%
Benchmark: 4.1%
Real Estate
HAPY: 3.9%
Benchmark: 3.9%
Industrials
HAPY: 3.8%
Benchmark: 3.8%
Consumer Staples
HAPY: 3.1%
Benchmark: 3.1%
Energy
HAPY: 2.6%
Benchmark: 2.6%
Materials
HAPY: 2.3%
Benchmark: 2.3%
HAPY: Corporate Culture Leaders ETF
Benchmark: Human Capital Factor Unconstrained Index
Investment Team

The Fund employs an indexing investment approach designed to track the performance of the Human Capital Factor Unconstrained Index (“The Index”). The Fund invests at least 80% of its total assets in securities that are included in the Index.
The Index is designed to deliver exposure to equity securities of large cap U.S. companies that demonstrate high employee engagement, based on scores produced by Irrational Capital LLC (“Irrational Capital” or the “Index Provider”). Large cap companies are defined by the Fund as those with market capitalizations over $1 billion at the time of Index reconstitution. The Index is equally weighted and composed of approximately 70 to 100 companies with top “Human Capital Factor” scores at the time of Index reconstitution.
Harbor Capital serves as the investment adviser.
Documents
Name
Date
Investing involves risk, principal loss is possible. Unlike mutual funds, ETFs may trade at a premium or discount to their net asset value. Harbor ETFs are new and have limited operating history to judge.
Shares are bought and sold at market price not net asset value (NAV). Market price returns are based upon the closing composite market price and do not represent the returns you would receive if you traded shares at other times.
There is no guarantee that the investment objective of the Fund will be achieved. Stock markets are volatile and equity values can decline significantly in response to adverse issuer, political, regulatory, market and economic conditions. The Fund may not exactly track the performance of the Index with perfect accuracy at all times. Tracking error may occur because of pricing differences, timing and costs incurred by the fund or during times of heightened market volatility. The Fund relies on the Index provider's methodology in assessing whether a company may be considered a corporate culture leader. There is no guarantee that the construction methodology will accurately assess a company to include or exclude it from the index which could have an adverse effect on the Fund's returns. The Fund's assets may be concentrated in a particular sector or industries to the extent the Index is concentrated and is subject to the risk that economic, political, or other market conditions that have a negative effect on that sector or industry will negatively impact the value of the Fund.
The views expressed herein may not be reflective of current opinions, are subject to change without prior notice, and should not be considered investment advice.
Bid/Ask Mid Price: the midpoint between the highest bid and the lowest offer, as of the time that the Fund’s NAV is calculated, typically 4 p.m. Eastern Time.
Premium/Discount ($): the difference between the Fund’s market price and NAV, expressed as a percentage of NAV. A premium is the amount that the Fund is trading above the reported NAV. A discount is the amount that the Fund is trading below the reported NAV.
30-Day Median Bid/Ask Spread: calculated by identifying national best bid and national best offer ("NBBO") for each fund as of the end of each 10 second interval during each trading day of the last 30 calendar days and dividing the difference between each such bid and offer by the midpoint of the NBBO. The median of those values is identified and that value is expressed as a percentage (rounded to the nearest hundredth).
Weighted Average Market Capitalization: The average size of the companies in a portfolio or index as measured by the market value of outstanding shares.
Price/Book: The price-to-book (P/B) ratio evaluates a firm's market value relative to its book value.
Adjusted Trailing P/E Ratio: The Adjusted Trailing P/E (Price/Earnings) Ratio is the closing stock price divided by the sum of the last 12 months actual EPS.
% EPS Growth – Past 3 year: Earnings per share refers to the bottom-line measure of a company’s profitability defined as net income divided by the number of outstanding shares.
Return on Equity: Return on equity (ROE) is a measure of financial performance calculated by dividing net income by shareholders' equity.
Forecasted P/E Ratio: a measure of the P/E (price-to-earnings) ratio using forecasted earnings for the P/E calculation.
Alpha refers to excess returns earned on an investment.
Irrational Capital LLC is a third-party index provider to the Fund. The Fund is managed by Harbor Capital Advisors, Inc.
The Morningstar Medalist Ratings are shown for funds that have received a rating of Gold, Silver, or Bronze The funds shown without Medalist Ratings may not have received a Medalist Rating or may have received lower ratings.
The Morningstar Medalist Rating™ is the summary expression of Morningstar’s forward-looking analysis of investment strategies as offered via specific vehicles using a rating scale of Gold, Silver, Bronze, Neutral, and Negative. The Medalist Ratings indicate which investments Morningstar believes are likely to outperform a relevant index or peer group average on a risk-adjusted basis over time. Investment products are evaluated on three key pillars (People, Parent, and Process) which, when coupled with a fee assessment, forms the basis for Morningstar’s conviction in those products’ investment merits and determines the Medalist Rating they’re assigned. Pillar ratings take the form of Low, Below Average, Average, Above Average, and High. Pillars may be evaluated via an analyst’s qualitative assessment (either directly to a vehicle the analyst covers or indirectly when the pillar ratings of a covered vehicle are mapped to a related uncovered vehicle) or using algorithmic techniques. Vehicles are sorted by their expected performance into rating groups defined by their Morningstar Category and their active or passive status. When analysts directly cover a vehicle, they assign the three pillar ratings based on their qualitative assessment, subject to the oversight of the Analyst Rating Committee, and monitor and reevaluate them at least every 14 months. When the vehicles are covered either indirectly by analysts or by algorithm, the ratings are assigned monthly. For more detailed information about these ratings, including their methodology, please go to global.morningstar.com/managerdisclosures/.
The Morningstar Medalist Ratings are not statements of fact, nor are they credit or risk ratings. The Morningstar Medalist Rating (i) should not be used as the sole basis in evaluating an investment product, (ii) involves unknown risks and uncertainties which may cause expectations not to occur or to differ significantly from what was expected, (iii) are not guaranteed to be based on complete or accurate assumptions or models when determined algorithmically, (iv) involve the risk that the return target will not be met due to such things as unforeseen changes in management, technology, economic development, interest rate development, operating and/or material costs, competitive pressure, supervisory law, exchange rate, tax rates, exchange rate changes, and/or changes in political and social conditions, and (v) should not be considered an offer or solicitation to buy or sell the investment product. A change in the fundamental factors underlying the Morningstar Medalist Rating can mean that the rating is subsequently no longer accurate.
©2023 Morningstar, Inc. All rights reserved. The information contained herein: (1) is proprietary to Morningstar and/or its content providers; (2) may not be copied or distributed; and (3) is not warranted to be accurate, complete, or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information. Past performance is no guarantee of future results.
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