Northern Cross Investments' Hakan Castegren, who bagged Morningstar's International Stock Fund Manager of the Year award for 1996 and was part of the team that won the honor in 2007, passed away Saturday. He was 75.
Castegren was a portfolio manager of the Harbor International Fund. He served as the sole PM from the fund's inception in December 1987 until February 2009, when four principals
of Northern Cross LLC joined him in running the fund. With Castegren's passing, Northern Cross LLC is now the sole sub-advisor to the fund.
Northern Cross, LLC becomes Sole Subadviser of Harbor International Fund after Hakan Castegren Passes Away
October 04, 2010
Hakan Castegren, of Northern Cross Investments Ltd. and a portfolio manager of the Harbor International Fund, died Saturday evening, October 2, 2010 in Switzerland following a brief illness. Mr. Castegren would have been 76 on October 9.
Mr. Castegren had been the sole portfolio manager of the Harbor International Fund from its inception on December 29, 1987 until February 12, 2009, when the four principals of Northern Cross, LLC--Edward E. Wendell, Jr., James LaTorre, CFA, Howard Appleby, CFA, and Jean-Francois Ducrest--joined Mr. Castegren as portfolio managers of the Harbor International Fund. The five portfolio managers, including Mr. Castegren, have managed the Fund using a team approach, with Northern Cross, LLC having final responsibility for all investment and trading decisions for the Harbor International Fund. The four principals of Northern Cross, LLC had supported Mr. Castegren in managing the Harbor International Fund for many years prior to their appointment as portfolio managers in February 2009.
"We are deeply saddened by the passing of our esteemed friend and colleague, Hakan Castegren," said David G. Van Hooser, Chairman of the Board of Harbor Funds. "Hakan was a recognized leader in international investing. Shareholders of the Harbor International Fund have benefited greatly over the years from his thoughtful, disciplined, low-turnover approach to investing. Always aware of the need for a long-term perspective, Hakan had worked with the Harbor Funds Board of Trustees in recent years to plan for an eventual succession of the management of the fund to Northern Cross, LLC. His colleagues at Northern Cross, LLC had assisted Hakan in managing the Harbor International Fund for many years. Although past performance is never a guarantee of future results, his Northern Cross, LLC colleagues will continue as portfolio managers of the Harbor International Fund using the same investment philosophies and processes."
Northern Cross, LLC issued the following statement: "Northern Cross, LLC mourns the loss of our respected colleague, Hakan Castegren, who passed away on October 2 at the age of 75. During a career that spanned five decades, Hakan was a leader in the investment management industry and will be remembered as a pioneer in international equity investing. The partners at Northern Cross, LLC, who had worked with Hakan for up to 25 years on the Harbor International Fund and other international equity portfolios, will miss our friend, mentor and colleague. Hakan's legacy of disciplined, long-term investing will live on through the Northern Cross team."
Northern Cross, LLC will continue as the subadviser of the Harbor International Fund. There will be no change in the Fund's investment strategies, policies or guidelines.
Mr. Castegren and the Northern Cross, LLC team of Mr. Wendell, Mr. LaTorre, Mr. Appleby and Mr. Ducrest were jointly named Morningstar 2007 Fund Managers of the Year, International. Mr. Castegren was also named a Morningstar Fund Manager of the Year for 1996. The Fund Manager of the Year award winners are chosen based on Morningstar's proprietary research and in-depth evaluation by its fund analysts of managers' performance and alignment of interests with shareholders.
The Harbor Funds' lineup of actively managed no-load mutual funds, including the Harbor International Fund, had combined net assets of $53 billion as of September 30, 2010. Each Harbor fund is managed by an institutional investment firm chosen by Harbor Capital Advisors, Inc., the Harbor Funds' investment adviser, because of the investment firm's experience in the relevant asset class.