(PUB) Investing 2016

5

March 2016

Morningstar FundInvestor

Data through February 29, 2016 FINRA members: For internal or institutional use only. Harding Loevner Emerging Markets Advisor

Ticker HLEMX

Yield 0.6%

Total Assets $2,068 mil

Mstar Category DiversifiedEmergingMkts

Benchmark 1: MSCI EM NR USD Benchmark 2: MSCI ACWI Ex USA NR USD Morningstar Analyst Rating 02-29-16 „

Investment Style Equity

Historical Profile Return Risk Rating Above Avg Below Avg QQQQ Above Avg

7 4 7 4 7 7 4 4

12.5 15.0 17.5 20.0

Growth of $10,000

Investment Values of Fund Investment Values of Benchmark 1

Morningstar Pillars Process

∞ Positive ∞ Positive ∞ Positive ∞ Positive ¶ Neutral

10.0

Performance

People Parent

7.5

Performance Quartile (within Category)

) ( * ) * * & & * * * 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 02-16 44.76 57.46 26.38 42.99 51.80 42.37 48.47 48.77 45.62 39.22 37.17 28.73 35.94 -52.33 63.46 20.98 -17.52 22.73 4.18 -1.66 -13.55 -5.23 -3.42 -3.48 1.01 -15.05 2.10 0.91 4.51 6.78 0.53 1.37 1.41 2.07 19.29 -6.80 22.01 9.83 -3.81 5.90 -11.11 2.21 -7.89 2.64 0.07 0.26 1.79 0.48 0.47 0.67 0.84 0.83 0.79 0.48 0.00 28.66 35.68 -54.11 62.98 20.51 -18.18 21.89 3.35 -2.45 -14.02 -5.23 0.02 0.12 1.03 0.13 0.20 0.35 0.36 0.40 0.39 0.22 0.00 0.00 3.28 0.00 0.00 0.00 0.00 3.15 1.29 1.93 0.00 0.00 1.63 1.60 1.61 1.64 1.58 1.50 1.49 1.47 1.45 1.45 . 0.61 0.36 2.10 0.56 0.60 0.63 0.80 0.83 0.98 0.57 . 77 55 34 85 28 26 16 19 37 43 28

Price

History

Morningstar Analyst Rating Morningstar evaluates mutual funds based on five key pillars, which its analysts believe lead to funds that are more likely to outperform over the long term on a risk-adjusted basis. Analyst Rating Spectrum Œ „ ´ ‰ Á

NAV

Total Return % +/- Bmark 1 +/- Bmark 2 Income Return % Capital Return % Capital Gains $ Expense Ratio % Income Ratio % Turnover Rate % Net Assets $mil Total Rtn % Rank Cat Income $

Pillar Spectrum ∞ Positive

§ Negative

¶ Neutral

Performance 02-29-16 1st Qtr 2nd Qtr

3rd Qtr

4th Qtr

Total

2011 2012 2013 2014 2015

-1.70 0.02 -21.21 6.47 -17.52 15.88 -6.80 6.86 6.34 22.73 -0.64 -5.46 6.02 4.61 4.18 0.72 6.64 -4.75 -3.87 -1.66 1.42 0.28 -15.56 0.66 -13.55

.

59

29

46

48

25

33

36

26

28

30

1,646 2,375

963 1,672 2,172 1,492 1,731 2,123 2,353 2,204 2,068

Rating and Risk Time Period Load-Adj Return %

Portfolio Analysis 12-31-15 Total Stocks: 77 Share change since 09-30-15

Morningstar Rtn vs Cat

Morningstar Risk vs Cat

Morningstar Risk-Adj Rating

Sector

Country

% Assets

Trailing

Total Return%

+/- Bmark 1

+/- Bmark 2

%Rank Cat

Growth of $10,000

Y Taiwan Semiconductor Manu Technology Taiwan

4.07 3.80 3.11 2.97 2.32 2.17 2.13 2.04 1.81 1.81 1.79 1.78 1.77 1.75 1.75 1.72 1.66 1.64 1.63 1.61

1 Yr 3 Yr 5 Yr

-20.22 -5.59 -2.03 2.51 10.45

3 Mo 6 Mo

-8.97 -0.25 0.64 -7.30 1.55 1.99 -20.22 3.19 -2.85 -5.59 3.31 -3.39 -2.03 3.38 -0.73 2.51 0.68 1.08 8.77 1.07 -1.42

50 9,103 36 9,270 34 7,978 20 8,415 14 9,027 30 12,812 22 35,305

T Samsung Electronics Co Lt

Technology South Korea Finan Svcs Hong Kong

Avg QQQQ -Avg QQQQ -Avg QQQQ

+Avg +Avg +Avg

Y AIA Group Ltd

1 Yr

Y Tencent Holdings Ltd Y Ctrip.com International L Y China Mobile Ltd ADR Y Naspers Ltd Class N Y Grupo Financiero Banorte Y Bank Rakyat Indonesia (Pe

Technology China Cnsmr Cyc China Comm Svcs China

10 Yr Incept

3 Yr Avg 5 Yr Avg 10 Yr Avg 15 Yr Avg

Technology South Africa Finan Svcs Mexico Finan Svcs Indonesia

Other Measures

Standard Index

Best Fit Index

Alpha

-3.4 0.99

1.8

Beta

0.93

Tax Analysis

Tax Adj Rtn% %Rank Cat Tax-Cost Rat %Rank Cat

Y Sberbank of Russia PJSC A Finan Svcs Russia

R-Squared

83

92

3 Yr (estimated) 5 Yr (estimated) 10 Yr (estimated)

-6.39 -2.81 1.83

19 14 24

0.85 0.80 0.66

72 77 18

T Baidu Inc ADR Y Axis Bank Ltd

Technology China Finan Svcs India Cnsmr Cyc Mexico Finan Svcs India Cnsmr Cyc Macao Technology Taiwan Comm Svcs India Cnsmr Def India

Standard Deviation

13.86 -5.59 -0.35

Mean

T Grupo Televisa SAB ADR

Sharpe Ratio

Y Dabur India Ltd

Potential Capital Gain Exposure: -6% of assets

Y Housing Development Finan

Morningstar's Take by William Samuel Rocco 02-29-16 Harding Loevner Emerging Markets Fund can’t escape when stocks sink in the developing world, of course, but it generally outperforms in regional downturns. It also has a strong overall record and other advantages. The fund emerging-markets stocks have cratered during the past year.Someofco-leadmanagersRustyJohnsonandCraig Shaw’s pharmaceutical, beverage, and frontier-markets picks have bucked the trends and posted nice gains. The managers’ quality bias and price consciousness have helped as well. The fund declined 20.4% during the 12 months through Feb. 26, whereas its average peer dropped 21.8% and the MSCI Emerging Markets Index fell 23.7%. Thanks to the managers’ stock selection, as well as the conservative components of their strategy, this fund also posted relatively modest losses in the 2014, 2011, and early 2000s sell-offs. And its five-, 10-, and 15-year Morningstar Risk Scores, which focus on downside volatility, are significantly better than those of its typical rival and the benchmark. merits a Morningstar Analyst Rating of Silver. This fund has held up relatively well as most

T Sands China Ltd

Y Hon Hai Precision Ind Co

Although the tamer aspects of the managers’ strategy have held back returns in more-exuberant rallies —such as one that occurred during the last 9.5 months of 2009—this fund has usually fared well in more moderate upswings and in sideways markets. It has comfortably outgained both its average peer and the benchmark in the medium and long term. This fund has much more than superior risk-adjusted returns going for it. Johnson and Shaw have superior credentials as well as strong support. Plus, the quality- growth strategy that they are using here has also earned good results at siblings Harding Loevner Global Equity HLMGX, Harding Loevner International Equity HLMIX, and Harding Loevner Frontier Emerging Markets HLFMX. Thus, investors seeking an emerging-markets fund for the long run have ample reason to look here.

Y Bharti Airtel Ltd T Discovery Ltd

Finan Svcs South Africa Hlth Care South Africa

T Aspen Pharmacare Holdings

Current Investment Style

Sector Weightings h Cyclical r BasicMat t CnsmrCyc y FinanSvcs u Real Est j Sensitive i CommSrvs o Energy p Industrl a Technlgy k Defensive s CnsmrDef d Hlthcare f Utilities

% of Stocks

Rel Bmark 1

Market Cap % Giant 52.4 Large 30.6 Mid 13.5 Small 3.5 Micro 0.0 Avg $mil: 17,300

Value Blend Growth

Large Mid Small

43.99 0.99 3.14 0.41 12.26 1.25 28.59 1.20 0.00 0.00 40.20 0.97 4.20 0.59 4.62 0.67 6.77 1.24 24.61 1.12 15.80 1.11 8.96 1.11 5.78 2.05 1.06 0.32

Value Measures

Rel Category

Price/Earnings 13.29

1.07 1.06 1.20 1.09 0.90

Price/Book Price/Sales

1.82 1.56

Price/Cash Flow 6.34 Dividend Yield % 2.93

Growth Measures

% Rel Category

Long-Term Erngs 9.63

0.78

Regional Exposure % Stock UK/W. Europe 5 N. America 1 Japan 0 Latn America 16 Asia X Japan 56 Other 21

Book Value

-6.69 -13.56

Sales

5.03 -3.75

-2.20 0.70 -1.12

Address:

Harding, Loevner Funds, Inc. c/o The Northern Trust Company

Minimum Purchase:

$5000

Add: — IRA: —

Cash Flow

Historical Erngs 5.94

Chicago, IL 60680-4766

Min Auto Inv Plan:

— Add: —

Country Exposure

% Stock

877-435-8105

Sales Fees:

No-load, 2.00%R

Composition - Net Cash

China India

19 10 10

South Africa 8 Mexico 7

Web Address:

www.hardingloevnerfunds.com

Management Fee:

1.15% mx./1.09% mn. Mgt:1.13% Dist:—

2.3 Bonds

0.0 0.0

Inception:

11-09-98

Actual Fees:

Stocks 97.7 Other

Advisor:

Harding Loevner LP

Expense Projections: Income Distribution:

3Yr:$459 5Yr:$792 10Yr:$1735

Taiwan

Foreign (% of Stock)

98.6

Subadvisor:

None

Annually

A

ß ® Mutual Funds

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