Federated Investors Inc B

Federated Hermes currently pays a dividend of $0.38 per share, yielding 2.7%, which exceeds the Financial - Investment Management industry average of 2.57% and the S&P 500's 1.45%. The company's annualized dividend of $1.52 is up 14.3% from last year, and it has increased its dividend three times over the past five years. With a payout ratio of 26% and expected fiscal year 2026 earnings of $5.09 per share, representing 2.21% year-over-year growth, the stock holds a Zacks Rank of #3 (Hold).

Federated Hermes has launched the Federated Hermes Ultrashort Bond ETF, an actively managed exchange-traded fund designed to deliver attractive income while maintaining a conservative risk profile. The ETF, trading under the ticker FUSD on CBOE, invests primarily in a diversified portfolio of investment-grade debt securities and limits its effective duration to one year or less to minimize interest rate risk. The portfolio management team, led by Nicholas Tripodes, Daniel Mastalski, and Bradley Payne, actively adjusts positioning based on the firm's fixed-income framework, which emphasizes sector allocation, security selection, and interest-rate positioning. Federated Hermes managed $42.9 billion in short-duration fixed-income assets as of March 31, 2026, and the new ETF reflects more than 55 years of fixed-income investing experience. The launch expands the firm's actively managed ETF lineup, which had more than $2.6 billion in ETF assets as of May 31, 2026, and is part of a broader strategy to meet client needs across various market conditions.

Federated Hermes has appointed Kathryn Glass as the next head of its high-yield fixed-income group, effective December 31, 2026, succeeding Mark Durbiano upon his retirement after 44 years with the firm. Glass, a senior portfolio manager and current co-head of the group since February 2025, brings 29 years of investment experience and has been part of Federated Hermes' domestic high-yield sector for 27 years. She will lead a 19-person team that averages 19 years of industry experience and manages approximately $11 billion in US high-yield fixed-income strategies, which are part of the firm's $100 billion in total fixed-income assets as of March 31, 2026. The appointment is part of the company's long-established investment management succession plan, according to John Fisher, Chairman of the Federated Advisory Companies.

Federated Hermes has launched the Federated Hermes International Leaders ETF, an actively managed fund providing exposure to established global companies. The ETF, trading under the ticker FHIL on CBOE, seeks long-term capital growth by investing in 60 to 85 undervalued developed-market stocks using fundamental analysis. It is managed by Richard Winkowski, Jr. and Dariusz Czoch, who also oversee the $1.5 billion Federated Hermes International Leaders Fund. The launch expands Federated Hermes' ETF lineup, which now manages more than $2.6 billion in ETF assets as of May 31, 2026, part of the firm's $907.1 billion in total assets under management.

Franklin Templeton launched its Preferred Partner Program, an expansion of its Canvas platform that lets third-party asset managers offer tax-managed versions of their strategies. MFS Investment Management, Federated Hermes, and T. Rowe Price are the first to join, starting with separately managed accounts that pair each manager's investment expertise with Canvas's tax overlay capabilities. The platform provides tax-loss harvesting, tax-aware transitions, annual tax budgets, concentrated stock diversification, client-specific restrictions, and after-tax reporting at the individual account level. Franklin Templeton says the program broadens advisor choice and makes tax-aware customization more accessible across a wider range of strategies.