Federated Hermes makes available the following disclosures to provide transparent information to help institutional investors evaluate how as an asset manager, we act in your best long-term interests:
The Federated Hermes Stewardship Report outlines
- How Federated Hermes’ strategy and its implementation contributes to the medium to long-term performance of the assets or the fund the Institutional Investor is invested in
- Whether and how Federated Hermes makes decisions by evaluating the medium to long-term performance of the investee company, including non-financial performance
- The key material medium to long-term risks associated with the investments
- The use of proxy advisors for engagement activities
- The policy on Securities Lending
The Stewardship Report is available on the Policies and Disclosures page of our website.
Voting Disclosures and our Voting Policy and Guidelines are available on the Policies and Disclosures page of our website.
The Voting Disclosure covers all voting decisions of Federated Hermes on a quarterly basis. This includes information on the meeting ID and date, the region and the company name and International Securities Identification Number (ISIN). Company meetings where we have recommended voting in line with management on all resolutions are condensed.
We provide the rationale behind our decision when we have voted against management on one or more resolutions. On occasions when our policy may suggest a vote against management but engagement with the company provided additional insight – for example, a company that has committed to making a change but that will not implement it until the following year – we may vote ‘for, by exception’ to our policy. These instances are highlighted in our voting disclosures and are within the scope of our overall voting policy.
Portfolio composition, turnover and turnover costs
- For Segregated Account Clients, your periodic reports detail the composition of your portfolio. The turnover of equities within a portfolio will vary in relation to the investment strategy. The turnover of equities and other securities within your portfolio is detailed within your portfolio transaction reports included in the periodic reporting you receive from us. The transaction costs associated with the turnover of financial instruments within your portfolio are provided in accordance with MiFID within the ex-post cost disclosure of your statements.
For Direct Fund Investors:
- For investors of FHL funds within the scope of SRD II, the portfolio composition can be found within the annual reports in the Literature Section of the fund product page of our website and summarised holdings within the fund fact sheet.
- The portfolio turnover of equities within a portfolio will vary in relation to the investment strategy. For your relevant fund investments, the Portfolio Turnover Rate of all securities within the fund can be found within this summary table.
- The transaction costs associated with the turnover of all instruments within the relevant Federated Hermes Fund produced in accordance with MiFID is available within the ex-post cost disclosure of the European MiFID Template (EMT).