Fund Evaluator:
Horizon Defined Risk Investor (HNDRX)
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Best Performing in Equity Hedged Over the Last Year
| 16.4% | Fidelity Advisor Hedged Equity Z (FEQZX) |
| 15.6% | Parametric Volatil Risk Prm-Defensv I (EIVPX) |
| 14.8% | T. Rowe Price Hedged Equity Z (PZHEX) |
| 14.6% | Cavanal Hill Hedged Equity Income Inv (APLIX) |
| 11.7% | Horizon Defined Risk Investor (HNDRX) |
Fund Details
Horizon Defined Risk Investor Overview
Horizon Defined Risk Investor (HNDRX) is an actively managed Nontraditional Equity Equity Hedged fund. Horizon Investments launched the fund in 2017.
The investment seeks capital appreciation and capital preservation. The fund's investment adviser seeks to achieve the fund's investment objective by investing in a broadly diversified portfolio of equity securities (the "Equity Portfolio"), while seeking to generate income, hedge volatility and reduce the downside risk of the Equity Portfolio by buying and selling put and call options (the "Options Portfolio"). The Equity Portfolio typically focuses on investing in individual stocks. The Options Portfolio will generally consist of options "collars".
About Horizon Defined Risk Investor (HNDRX)
There are 3 members of the management team with an average tenure of 7.43 years: Scott Ladner (2016), Michael Dickson (2018), Zachary Hill (2022). Management tenure is more important for actively managed funds than passive index funds.
The fund has 2 primary benchmarks: S&P 500 (TR) (1970) index with a weighting of 100% and Bloomberg US Treasury 1-3 Yr TR USD index with a weighting of 100%. Horizon Defined Risk Investor has 516 securities in its portfolio. The top 10 holdings constitute 36.2% of the fund’s assets. The fund meets the SEC requirement of being classified as a diversified fund. The fund is not considered to have an ESG focus with its investment selection and management.
Horizon Defined Risk Investor is part of the Equity global asset class and is within the Nontraditional Equity fund group. Horizon Defined Risk Investor has 0.6% of its portfolio invested in foreign issues. The overall assets allocated to domestic stock is 100.5%. There is 0.6% allocated to foreign stock, and 0.0% is allocated to preferred stocks. The bond allocation as a percentage of total assets is 0.0% (0.0% domestic bond, 0.0% foreign bond and 0.0% convertible bond). Horizon Defined Risk Investor has -0.9% of the portfolio in cash.
Assets Under Management
The fund has $1 billion in total assets, which is above the $440 million average for the Equity Hedged category. Normally, lower assets under management translates to higher average expense ratios, and greater total assets are desired. However, for some investment categories, such as small-cap investing, it may be difficult for the manager to fully employ the desired active strategy if assets grow too large or too quickly.
HNDRX Performance and Fees
The expense ratio measures how much of a fund’s assets are used for administrative expenses and operating expenses, including adviser fees and fees for the transfer agent and custodial services. The Horizon Defined Risk Investor expense ratio is high compared to funds in the Equity Hedged category. Horizon Defined Risk Investor has an expense ratio of 1.04%, which is 24% lower than its category average, making the fund expense ratio grade a B. While it is difficult to predict returns, it is known that high annual expense ratios reduce your rate of return, and excessive fees are difficult to overcome. Active management normally comes with higher expense ratios than passive index management. Certain investment categories such as small company and foreign also normally have higher expense ratios. It is best to compare fund expense ratios against the category averages for meaningful assessments.
High portfolio turnover can translate to higher expenses and lower aftertax returns. Horizon Defined Risk Investor has a portfolio turnover rate of 13%, indicating that holds its assets around 0.1 years. By way of comparison, the average portfolio turnover is 82% for the Equity Hedged category.
Recently, in the month of June 2026, Horizon Defined Risk Investor returned 0.5%, which earned it a grade of A, as the Equity Hedged category had an average return of -0.4%. The letter grades of A, B, C, D and F are based upon relative rankings within the investment category. A grade of A, for example, would indicate that the return is in the highest 20% for that time period compared to all funds in that category.
Horizon Defined Risk Investor has a trailing yield of 0.20%, which is below the 0.93% category average. The fund normally distributes its income annually and its capital gains annually.
It’s natural to seek the best-performing investments, but you must consider the relationship between risk and return and the impact of costs and taxes on your realized returns.
Horizon Defined Risk Investor Grades
Year to date, the fund has returned 5.3%, 0.2 percentage points worse than the category, which translates into a grade of C. The fund has returned 11.7% over the past year (grade of C), 12.5% over the past three years (grade of B) and 8.7% per year over the past five years (grade of A).
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HNDRX Trailing NAV Total Returns Data as of 6/30/26
| Last Month |
Last Quarter |
Ann'l. 1Yr |
Ann'l. 3Yr |
Ann'l. 5Yr |
Ann'l. 10Yr |
|
| HNDRX Return (NAV) | 0.5% | 7.0% | 11.7% | 12.5% | 8.7% | na |
| HNDRX Grade | A | D | C | B | A | na |
| +/- Category | 0.9% | -0.6% | -0.1% | 2.2% | 2.6% | na |
| Equity Hedged Avg | -0.4% | 7.6% | 11.8% | 10.3% | 6.1% | 6.8% |
| HNDRX Tax Cost Ratio | na | na | 0.1% | 0.1% | 0.2% | na |
HNDRX Annual NAV Total ReturnsData as of 6/30/26
| 2026 | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 | |
| HNDRX Return (NAV) | 5.3% | 10.8% | 15.4% | 15.0% | -9.0% | 13.1% | 7.2% | 13.2% | -2.8% | na | na |
| HNDRX Grade | C | B | B | B | B | C | C | C | C | na | na |
| +/- Category | -0.2% | 1.4% | 3.2% | 2.7% | 0.8% | 1.8% | -3.6% | -0.9% | -0.0% | na | na |
| Equity Hedged Avg | 5.5% | 9.4% | 12.2% | 12.3% | -9.8% | 11.3% | 10.8% | 14.1% | -2.7% | 8.9% | 4.5% |
| Risk Measures | |
| Standard Deviation: | 5.6% |
| Total Risk Index: | 0.46 - Low |
| Category Risk Index: | 0.71 - Low |
| Category Risk Grade: | A (19% Rank) |
| Beta: | 0.42 |
| R-Squared: | 95% |
| Leveraged Fund: | No |
| Inverse Fund: | No |
| Portfolio Characteristics | |
| Equity Investment Style: | Large-Cap Blend |
| Bond Investment Style: | na |
| Yield: | 0.2% |
| Dividend Distribution: | Annually |
| Cap Gains Distribution: | Annually |
| Total Assets: | $1087 Mil |
| Fund Total Assets: | $1,073 Mil |
| Share Class Type: | Inv |
| Portfolio Turnover: | 13% |
Management Team
| Number of Managers: 3 | |||
| Longest Tenure: 9.7 years | |||
| Average Tenure: 7.4 years | |||
| Managers (Year): Ladner Scott (2016), Dickson Michael (2018), Hill Zachary (2022) | |||
Portfolio Composition (as of 3/31/26)
| # of Holdings: | 516 |
| % in Top 10 Holdings: | 36.2% |
| Fund is Non-Diversified: | No |
| % in Foreign Issues: | 0.6% |
Portfolio Allocation |
|
| Domestic Stock: | 100.5% |
| Foreign Stock: | 0.6% |
| Preferred Stock: | 0.0% |
| Domestic Bond: | 0.0% |
| Foreign Bond: | 0.0% |
| Convertible Bond: | 0.0% |
| Other: | -0.2% |
| Cash: | -0.9% |
Purchase Information
| Fund Family: | Horizon Investments |
| Phone Number: | 855-754-7932 |
| Website: | www.horizonmutualfunds.com |
| Status: | Open |
| Inception Date: | December 28, 2017 |
| Min. Initial Purchase: | $2,500 |
| Min. Initial IRA Purchase: | $ 0 |
| True No-Load: | Yes |
| Front Load Maximum: | 0.00% |
| Deferred Charge Maximum: | 0.00% |
| Redemption Charge Maximum: | 0.00% |
| 12b-1 Fee: | 0.10% |
Expenses and Fees | |
| Expense Ratio (%): | 1.04% ( Rating : High ) |
| Category Average Expense Ratio (%): | 1.37% |
| Share Class: | Horizon Defined Risk Investor |
| Min. Subsequent Purchase: | $ 250 |
| Min. Subsequent IRA Purchase: | $ 0 |
