Harding Loevner is a fee-only investment advisor focused on investing in publicly-traded global equities. The financial advisor provides advice within multi-manager wealth management programs. Harding Loevner currently has more than $50 billion in assets under management (AUM). The firm serves more than 6,100 clients.
Harding Loevner Background
Harding Loevner was founded in 1989. The firm operates independently of Affiliated Managers Group, Inc., a company that owns the firm’s general partner. Additionally, a considerable distinction worth noting is that Harding Loevner primarily provides investment advice, and none of its advisors are registered as broker-dealers.
What Types of Clients Does Harding Loevner Accept?
Harding Loevner provides advice to a range of clients, including individuals, foundations and endowments, sovereign wealth funds, religious institutions, retirement plans, trusts, broker-dealers, banks, investment advisors, insurance companies and mutual funds (Harding Loevner Funds, Inc.). The firm also serves as a sub-advisor to collective investment trust funds, offshore funds and external mutual funds.
Harding Loevner Minimum Account Sizes
The minimum investment amount varies depending on the investment strategy a client selects. For the global equity (ordinary shares), world equity, international equity (ordinary shares), EAFE equity and global equity research strategies, the firm requires a minimum of $50 million. Clients using the global equity (ADRs) and international equity (ADRs) strategies will need a minimum of $2.5 million. For the multi-asset global, international small companies equity and global small companies equity, the firm requires a $25 million minimum investment amount. Clients using the emerging markets equity and frontier emerging markets equity will need a minimum of $100 million. For the emerging markets research strategy, you’ll need at least $150 million.
Clients interested in wrap programs will need to request the minimum investment amount from the program’s sponsor. For Harding Loevner mutual fund and sub-fund portfolios, the minimum amounts are specified in each fund’s prospectus. Clients interested in the firm’s collective investment trusts will need to contact the firm to request the minimum investment value.
Services Offered by Harding Loevner
Harding Loevner provides its clients with a wide selection of services, investment strategies and products. The firm offers portfolio management for individuals and/or small businesses, investment companies and pooled investment vehicles.
- Portfolio Management
- Investment Strategies
- Global equity (ordinary shares)
- Global equity (ADRs)
- World equity
- Multi-Asset global
- International equity (ordinary shares)
- International equity (ADRs)
- EAFE equity
- Global small companies equity
- International small companies equity
- Emerging markets
- Frontier emerging markets
- International equity research
- Global equity research
- Emerging markets research
- Separately managed accounts
- U.S. mutual funds
- UCITS funds
- Collective investment trusts
Harding Loevner believes in taking a long-term investment approach in growing businesses, as well as using fundamental research to analyze both the competitive standing of individual companies and the structure of global industries. When investing on behalf of its clients, Harding Loevner looks for four key qualities in the companies it selects: quality management, competitive advantages, financial strength and sustainable growth potential.
The firm’s research team has analysts that seek out high-quality companies on a worldwide level. It also has regional analysts who focus on companies in Japan and China, companies in frontier markets and companies in emerging markets.
Fees Under Harding Loevner
Harding Loevner bases its annual fee on the market value of AUM. In some cases the firm has a minimum fee. The fee schedules vary for different investment strategies, and it’s important to note that clients using the ADR strategies may be subject to a minimum quarterly fee. For the global equity and international equity ADRs, clients may encounter a quarterly fee of at least $1,200, which will be prorated for periods less than one full quarter. The annual rates range from 0.45% to 1.50% for the strategies.
The firm also charges for wrap fee programs, model programs and other funds not related to Harding Loevner Funds, Inc. These fees differ from the firm’s standard fee schedules. When it comes to payment, Harding Loevner bills fees quarterly in advance. Clients will be able to pay the fees as soon as they’re billed. The firm also specifies each account’s terms in its investment management agreements, and either the firm or the client may terminate the agreement on at least 30 days written notice.
What to Watch Out For
Though the firm has a fiduciary duty to its clients, it may use brokerage commissions paid by a client’s account for research that enhances its investment-related decision-making responsibilities. The firm may also use “soft dollars” as payment for brokerage services.
Harding Loevner doesn’t have any disclosures.
Opening an Account With Harding Loevner
Prospective clients will generally have a few options for opening an account with Harding Loevner. On its website, the firm provides a contact form that both existing and prospective clients can use to get in touch with a firm representative. You can also visit one of the firm’s physical locations, or you can call the firm’s headquarters at (908) 218-7900. In addition, the firm provides an inquiry-related contact email.
Where is Harding Loevner Located
Harding Loevner is headquartered in Bridgewater, New Jersey at 400 Crossing Boulevard. The firm also has offices in London and Wyoming.
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All information was accurate as of the writing of this article.