Federated Hermes MDT Balanced Fund
Portfolio of Investments
April 30, 2024 (unaudited)
Shares or Principal Amount | Value | ||
COMMON STOCKS—59.2% | |||
Communication Services—5.0% | |||
20,380 | 1 | Alphabet, Inc., Class A | $3,317,456 |
83,798 | 1 | Altice USA, Inc. | 161,730 |
19,336 | 1 | CarGurus, Inc. | 434,287 |
21,112 | 1 | Cars.com, Inc. | 352,782 |
2,819 | Comcast Corp., Class A | 107,432 | |
1,085 | Electronic Arts, Inc. | 137,600 | |
751 | 1 | Live Nation Entertainment, Inc. | 66,771 |
6,946 | 1 | Meta Platforms, Inc. | 2,987,961 |
263 | 1 | Netflix, Inc. | 144,818 |
9,323 | 1 | Spotify Technology SA | 2,614,542 |
20,247 | 1 | ZoomInfo Technologies, Inc. | 321,117 |
TOTAL | 10,646,496 | ||
Consumer Discretionary—6.4% | |||
27,106 | Advance Auto Parts, Inc. | 1,978,196 | |
1,952 | 1 | Airbnb, Inc. | 309,529 |
17,173 | 1 | Amazon.com, Inc. | 3,005,275 |
171 | 1 | AutoZone, Inc. | 505,544 |
7,708 | 1 | Cava Group, Inc. | 554,513 |
4,472 | 1 | DoorDash, Inc. | 578,051 |
4,559 | eBay, Inc. | 234,971 | |
7,687 | 1 | Expedia Group, Inc. | 1,034,901 |
22,641 | Ford Motor Co. | 275,088 | |
45,240 | Gap (The), Inc. | 928,325 | |
633 | Genuine Parts Co. | 99,514 | |
15,297 | 1 | Goodyear Tire & Rubber Co. | 182,952 |
1,392 | McDonald’s Corp. | 380,072 | |
644 | Murphy USA, Inc. | 266,500 | |
480 | 1 | O’Reilly Automotive, Inc. | 486,365 |
4,143 | PVH Corp. | 450,758 | |
7,071 | 1 | Royal Caribbean Cruises, Ltd. | 987,324 |
12,680 | 1 | Under Armour, Inc., Class A | 85,336 |
3,544 | Wingstop, Inc. | 1,363,696 | |
TOTAL | 13,706,910 | ||
Consumer Staples—3.9% | |||
11,638 | Albertsons Cos., Inc. | 237,415 | |
3,816 | 1 | Bellring Brands, Inc. | 210,529 |
271 | Coca-Cola Bottling Co. | 223,846 | |
17,312 | Colgate-Palmolive Co. | 1,591,319 | |
1,308 | Costco Wholesale Corp. | 945,553 | |
20,502 | 1 | Hain Celestial Group, Inc. | 125,882 |
4,345 | Kimberly-Clark Corp. | 593,223 | |
17,010 | Kroger Co. | 942,014 | |
10,331 | 1 | Maplebear, Inc. | 352,597 |
11,803 | PepsiCo, Inc. | 2,076,266 | |
4,699 | Procter & Gamble Co. | 766,877 |
1
Shares or Principal Amount | Value | ||
COMMON STOCKS—continued | |||
Consumer Staples—continued | |||
3,540 | WalMart, Inc. | $210,099 | |
TOTAL | 8,275,620 | ||
Energy—1.7% | |||
1,353 | Cheniere Energy, Inc. | 213,531 | |
2,715 | Devon Energy Corp. | 138,954 | |
21,158 | Marathon Oil Corp. | 568,092 | |
9,482 | Marathon Petroleum Corp. | 1,723,069 | |
383 | Valero Energy Corp. | 61,230 | |
7,194 | 1 | Weatherford International PLC | 889,322 |
TOTAL | 3,594,198 | ||
Financials—8.5% | |||
1,697 | Aflac, Inc. | 141,954 | |
4,652 | Ameriprise Financial, Inc. | 1,915,647 | |
878 | Aon PLC | 247,605 | |
4,434 | Apollo Global Management, Inc. | 480,557 | |
886 | 1 | Arch Capital Group Ltd. | 82,876 |
24,077 | Bank of New York Mellon Corp. | 1,360,110 | |
1,512 | Cboe Global Markets, Inc. | 273,899 | |
1,026 | Chubb Ltd. | 255,105 | |
1,375 | 1 | Coinbase Global, Inc. | 280,404 |
10,874 | 2 | Corebridge Financial, Inc. | 288,813 |
3,724 | 1 | Fiserv, Inc. | 568,543 |
2,807 | Globe Life, Inc. | 213,809 | |
9,581 | 1 | Green Dot Corp. | 83,834 |
928 | Hartford Financial Services Group, Inc. | 89,914 | |
15,952 | Huntington Bancshares, Inc. | 214,873 | |
9,784 | Interactive Brokers Group, Inc., Class A | 1,126,334 | |
23,666 | Jackson Financial, Inc. | 1,616,861 | |
3,965 | JPMorgan Chase & Co. | 760,249 | |
729 | Marsh & McLennan Cos., Inc. | 145,385 | |
516 | Mastercard, Inc. | 232,819 | |
367 | MSCI, Inc., Class A | 170,945 | |
8,618 | Northern Trust Corp. | 710,037 | |
7,605 | 1 | PayPal Holdings, Inc. | 516,532 |
1,156 | Progressive Corp., OH | 240,737 | |
20,690 | Prudential Financial, Inc. | 2,285,831 | |
1,354 | 1 | Ryan Specialty Group Holdings, Inc. | 66,806 |
11,415 | State Street Corp. | 827,473 | |
8,587 | The Travelers Cos., Inc. | 1,821,818 | |
10,476 | Virtu Financial, Inc. | 227,329 | |
1,957 | Visa, Inc., Class A | 525,670 | |
31,056 | Western Union Co. | 417,393 | |
TOTAL | 18,190,162 | ||
Health Care—7.5% | |||
22,267 | AbbVie, Inc. | 3,621,505 | |
377 | 1 | Align Technology, Inc. | 106,457 |
2,568 | Amgen, Inc. | 703,478 | |
7,913 | 1 | AnaptysBio, Inc. | 192,602 |
1,842 | 1 | Biogen, Inc. | 395,699 |
1,041 | Cardinal Health, Inc. | 107,265 |
2
Shares or Principal Amount | Value | ||
COMMON STOCKS—continued | |||
Health Care—continued | |||
12,949 | 1 | Centene Corp. | $946,054 |
15,524 | 1 | Community Health Systems, Inc. | 51,229 |
3,717 | CVS Health Corp. | 251,678 | |
51,357 | 1 | Elanco Animal Health, Inc. | 675,858 |
784 | Elevance Health, Inc. | 414,407 | |
1,814 | Eli Lilly & Co. | 1,416,915 | |
3,005 | 1 | GE HealthCare Technologies, Inc. | 229,101 |
16,697 | Gilead Sciences, Inc. | 1,088,644 | |
741 | 1 | Illumina, Inc. | 91,180 |
11,363 | 1 | Incyte Genomics, Inc. | 591,444 |
12,023 | Johnson & Johnson | 1,738,406 | |
525 | McKesson Corp. | 282,035 | |
11,624 | Merck & Co., Inc. | 1,502,053 | |
407 | 1 | Molina Healthcare, Inc. | 139,235 |
6,587 | 1 | Myriad Genetics, Inc. | 128,908 |
6,280 | 1 | Nevro Corp. | 66,442 |
5,672 | 1 | Omnicell, Inc. | 152,066 |
724 | Teleflex, Inc. | 151,135 | |
242 | The Cigna Group | 86,404 | |
1,377 | UnitedHealth Group, Inc. | 666,055 | |
1,001 | 1 | Vertex Pharmaceuticals, Inc. | 393,203 |
TOTAL | 16,189,458 | ||
Industrials—5.9% | |||
4,790 | 3M Co. | 462,283 | |
1,710 | AGCO Corp. | 195,265 | |
1,571 | Allegion PLC | 190,971 | |
8,207 | Allison Transmission Holdings, Inc. | 603,625 | |
12,831 | 1 | Atmus Filtration Technologies, Inc. | 388,651 |
248 | Automatic Data Processing, Inc. | 59,989 | |
5,262 | Booz Allen Hamilton Holding Corp. | 777,039 | |
478 | 1 | Builders Firstsource, Inc. | 87,388 |
1,301 | Caterpillar, Inc. | 435,276 | |
7,027 | 1 | Core & Main, Inc. | 396,815 |
576 | Emerson Electric Co. | 62,081 | |
2,051 | Fortive Corp. | 154,379 | |
3,650 | General Electric Co. | 590,643 | |
393 | Huntington Ingalls Industries, Inc. | 108,833 | |
238 | Illinois Tool Works, Inc. | 58,098 | |
2,095 | Lennox International, Inc. | 970,865 | |
1,342 | Manpower, Inc. | 101,254 | |
4,660 | Masco Corp. | 318,977 | |
19,520 | 1 | NEXTracker, Inc. | 835,261 |
6,288 | Otis Worldwide Corp. | 573,466 | |
1,430 | PACCAR, Inc. | 151,737 | |
9,954 | Paychex, Inc. | 1,182,635 | |
17,484 | Pitney Bowes, Inc. | 74,482 | |
592 | Rockwell Automation, Inc. | 160,408 | |
984 | Ryder System, Inc. | 119,900 | |
6,476 | 1 | SPX Technologies, Inc. | 788,841 |
902 | Trane Technologies PLC | 286,241 |
3
Shares or Principal Amount | Value | ||
COMMON STOCKS—continued | |||
Industrials—continued | |||
13,665 | 1 | Uber Technologies, Inc. | $905,579 |
6,593 | Verisk Analytics, Inc. | 1,437,010 | |
2,397 | 1 | XPO, Inc. | 257,582 |
TOTAL | 12,735,574 | ||
Information Technology—14.7% | |||
34,753 | Apple, Inc. | 5,919,478 | |
3,375 | 1 | AppLovin Corp. | 238,174 |
3,510 | 1 | Arista Networks, Inc. | 900,526 |
2,290 | 1 | Box, Inc. | 59,586 |
1,931 | 1 | Braze, Inc. | 80,909 |
916 | 1 | Cadence Design Systems, Inc. | 252,477 |
3,677 | 1 | Cerence, Inc. | 33,497 |
4,701 | 1 | Cirrus Logic, Inc. | 416,368 |
15,991 | Cisco Systems, Inc. | 751,257 | |
2,931 | 1 | Commvault Systems, Inc. | 300,340 |
5,370 | 1 | Crowdstrike Holdings, Inc. | 1,570,940 |
14,042 | 1 | DXC Technology Co. | 273,679 |
14,837 | 1 | GoDaddy, Inc. | 1,815,752 |
14,151 | Hewlett Packard Enterprise Co. | 240,567 | |
448 | 1 | HubSpot, Inc. | 270,982 |
14,555 | Microsoft Corp. | 5,666,698 | |
40,209 | 1 | Nutanix, Inc. | 2,440,686 |
4,293 | NVIDIA Corp. | 3,709,238 | |
17,959 | Pegasystems, Inc. | 1,067,124 | |
9,178 | Qualcomm, Inc. | 1,522,171 | |
2,634 | 1 | Salesforce, Inc. | 708,388 |
2,162 | 1 | ServiceNow, Inc. | 1,498,979 |
1,370 | TD SYNNEX Corp. | 161,441 | |
7,238 | Vishay Intertechnology, Inc. | 167,487 | |
1,978 | 1 | Workday, Inc. | 484,076 |
9,197 | Xerox Holdings Corp. | 122,228 | |
3,591 | 1 | Zoom Video Communications, Inc. | 219,410 |
4,334 | 1 | Zscaler, Inc. | 749,522 |
TOTAL | 31,641,980 | ||
Materials—1.0% | |||
3,051 | 1 | Axalta Coating Systems Ltd. | 95,923 |
2,792 | 1 | Berry Global Group, Inc. | 158,139 |
4,793 | 1 | Knife River Corp. | 374,765 |
5,479 | Mosaic Co./The | 171,986 | |
5,482 | PPG Industries, Inc. | 707,178 | |
1,194 | Sherwin-Williams Co. | 357,734 | |
1,682 | Steel Dynamics, Inc. | 218,862 | |
2,897 | 1 | Summit Materials, Inc. | 112,693 |
TOTAL | 2,197,280 | ||
Real Estate—2.8% | |||
12,500 | Acadia Realty Trust | 216,000 | |
4,600 | American Homes 4 Rent | 164,680 | |
700 | Avalonbay Communities, Inc. | 132,699 | |
14,000 | DiamondRock Hospitality Co. | 124,600 | |
3,400 | Digital Realty Trust, Inc. | 471,852 |
4
Shares or Principal Amount | Value | ||
COMMON STOCKS—continued | |||
Real Estate—continued | |||
1,750 | EastGroup Properties, Inc. | $271,880 | |
450 | Equinix, Inc. | 319,999 | |
700 | Essex Property Trust, Inc. | 172,375 | |
12,700 | Host Hotels & Resorts, Inc. | 239,649 | |
3,200 | Invitation Homes, Inc. | 109,440 | |
14,000 | Kite Realty Group Trust | 305,200 | |
24,500 | Macerich Co. (The) | 337,120 | |
22,000 | Park Hotels & Resorts, Inc. | 354,860 | |
11,000 | Pebblebrook Hotel Trust | 159,830 | |
3,800 | ProLogis, Inc. | 387,790 | |
3,500 | Rexford Industrial Realty, Inc. | 149,835 | |
2,900 | Ryman Hospitality Properties, Inc. | 305,892 | |
3,000 | Simon Property Group, Inc. | 421,590 | |
2,450 | Sun Communities, Inc. | 272,734 | |
2,200 | Ventas, Inc. | 97,416 | |
12,900 | VICI Properties, Inc. | 368,295 | |
5,400 | Welltower, Inc. | 514,512 | |
TOTAL | 5,898,248 | ||
Utilities—1.8% | |||
7,214 | Constellation Energy Corp. | 1,341,371 | |
34,183 | Vistra Corp. | 2,592,439 | |
TOTAL | 3,933,810 | ||
TOTAL COMMON STOCKS (IDENTIFIED COST $102,255,251) | 127,009,736 | ||
CORPORATE BONDS—10.1% | |||
Basic Industry - Chemicals—0.0% | |||
$ 10,000 | DuPont de Nemours, Inc., Sr. Unsecd. Note, 5.319%, 11/15/2038 | 9,484 | |
Basic Industry - Metals & Mining—0.1% | |||
200,000 | Anglo American Capital PLC, Sr. Unsecd. Note, 144A, 5.500%, 5/2/2033 | 195,154 | |
15,000 | Anglogold Ashanti Holdings PLC, Sr. Note, 6.500%, 4/15/2040 | 14,746 | |
TOTAL | 209,900 | ||
Capital Goods - Aerospace & Defense—0.5% | |||
200,000 | BAE Systems PLC, Sr. Unsecd. Note, 144A, 3.000%, 9/15/2050 | 127,453 | |
275,000 | Boeing Co., Sr. Unsecd. Note, 4.875%, 5/1/2025 | 271,644 | |
110,000 | Huntington Ingalls Industries, Inc., Sr. Unsecd. Note, Series WI, 3.844%, 5/1/2025 | 107,717 | |
300,000 | Leidos, Inc., Sr. Unsecd. Note, Series WI, 2.300%, 2/15/2031 | 242,091 | |
170,000 | Leidos, Inc., Sr. Unsecd. Note, Series WI, 3.625%, 5/15/2025 | 166,086 | |
15,000 | Spirit AeroSystems, Inc., Sr. Unsecd. Note, 4.600%, 6/15/2028 | 13,838 | |
40,000 | 3 | Textron Financial Corp., Jr. Sub. Note, 144A, 7.303% (CME Term SOFR 3 Month +1.996%), 2/15/2042 | 34,458 |
50,000 | Textron, Inc., Sr. Unsecd. Note, 4.000%, 3/15/2026 | 48,557 | |
TOTAL | 1,011,844 | ||
Capital Goods - Building Materials—0.1% | |||
200,000 | Allegion US Holdings Co., Inc., Sr. Unsecd. Note, 3.200%, 10/1/2024 | 197,717 | |
85,000 | Carrier Global Corp., Sr. Unsecd. Note, 6.200%, 3/15/2054 | 88,698 | |
TOTAL | 286,415 | ||
Capital Goods - Construction Machinery—0.2% | |||
205,000 | Ashtead Capital, Inc., Sr. Unsecd. Note, 144A, 5.550%, 5/30/2033 | 196,421 | |
255,000 | CNH Industrial Capital America LLC, Sr. Unsecd. Note, 4.550%, 4/10/2028 | 245,553 | |
TOTAL | 441,974 |
5
Shares or Principal Amount | Value | ||
CORPORATE BONDS—continued | |||
Capital Goods - Diversified Manufacturing—0.1% | |||
$60,000 | Lennox International, Inc., Sr. Unsecd. Note, 1.700%, 8/1/2027 | $53,387 | |
75,000 | Wabtec Corp., Sr. Unsecd. Note, 5.611%, 3/11/2034 | 73,756 | |
TOTAL | 127,143 | ||
Communications - Cable & Satellite—0.2% | |||
300,000 | Charter Communications Operating, LLC/Charter Communications Operating Capital Corp., Sec. Fac. Bond, 2.250%, 1/15/2029 | 250,491 | |
145,000 | Comcast Corp., Sr. Unsecd. Note, 2.800%, 1/15/2051 | 86,548 | |
15,000 | Comcast Corp., Sr. Unsecd. Note, 3.900%, 3/1/2038 | 12,435 | |
10,000 | Comcast Corp., Sr. Unsecd. Note, 4.400%, 8/15/2035 | 9,019 | |
TOTAL | 358,493 | ||
Communications - Media & Entertainment—0.0% | |||
30,000 | Grupo Televisa S.A., Sr. Unsecd. Note, 6.125%, 1/31/2046 | 27,753 | |
Communications - Telecom Wireless—0.5% | |||
250,000 | American Tower Corp., Sr. Unsecd. Note, 5.450%, 2/15/2034 | 242,990 | |
150,000 | Crown Castle, Inc., Sr. Unsecd. Note, 3.700%, 6/15/2026 | 144,048 | |
350,000 | Crown Castle, Inc., Sr. Unsecd. Note, 5.100%, 5/1/2033 | 330,705 | |
300,000 | T-Mobile USA, Inc., Sr. Unsecd. Note, 5.050%, 7/15/2033 | 287,560 | |
180,000 | T-Mobile USA, Inc., Sr. Unsecd. Note, 5.500%, 1/15/2055 | 169,110 | |
TOTAL | 1,174,413 | ||
Communications - Telecom Wirelines—0.2% | |||
12,000 | AT&T, Inc., Sr. Unsecd. Note, 3.500%, 9/15/2053 | 7,917 | |
300,000 | AT&T, Inc., Sr. Unsecd. Note, 3.650%, 6/1/2051 | 206,773 | |
11,000 | AT&T, Inc., Sr. Unsecd. Note, 3.650%, 9/15/2059 | 7,142 | |
5,000 | AT&T, Inc., Sr. Unsecd. Note, 4.500%, 5/15/2035 | 4,491 | |
150,000 | Telefonica Emisiones SAU, Sr. Unsecd. Note, 5.520%, 3/1/2049 | 135,848 | |
90,000 | Verizon Communications, Inc., Sr. Unsecd. Note, 3.150%, 3/22/2030 | 79,462 | |
TOTAL | 441,633 | ||
Consumer Cyclical - Automotive—0.3% | |||
275,000 | Ford Motor Credit Co. LLC, Sr. Unsecd. Note, 6.050%, 3/5/2031 | 270,583 | |
175,000 | General Motors Financial Co., Inc., Sr. Unsecd. Note, 3.100%, 1/12/2032 | 144,372 | |
175,000 | General Motors Financial Co., Inc., Sr. Unsecd. Note, 5.750%, 2/8/2031 | 172,962 | |
10,000 | Mercedes-Benz Finance NA LLC, Co. Guarantee, 8.500%, 1/18/2031 | 11,842 | |
TOTAL | 599,759 | ||
Consumer Cyclical - Retailers—0.3% | |||
170,000 | AutoNation, Inc., Sr. Unsecd. Note, 4.750%, 6/1/2030 | 159,458 | |
250,000 | AutoZone, Inc., Sr. Unsecd. Note, 3.250%, 4/15/2025 | 244,318 | |
250,000 | WalMart, Inc., Sr. Unsecd. Note, 4.500%, 4/15/2053 | 217,720 | |
TOTAL | 621,496 | ||
Consumer Cyclical - Services—0.1% | |||
125,000 | Amazon.com, Inc., Sr. Unsecd. Note, 3.800%, 12/5/2024 | 123,849 | |
15,000 | Expedia Group, Inc., Sr. Unsecd. Note, Series WI, 3.250%, 2/15/2030 | 13,236 | |
10,000 | University of Southern California, Sr. Unsecd. Note, 5.250%, 10/1/2111 | 9,418 | |
70,000 | Visa, Inc., Sr. Unsecd. Note, 3.150%, 12/14/2025 | 67,837 | |
15,000 | Visa, Inc., Sr. Unsecd. Note, 4.150%, 12/14/2035 | 13,664 | |
TOTAL | 228,004 | ||
Consumer Non-Cyclical - Food/Beverage—0.4% | |||
30,000 | Anheuser-Busch Cos LLC / Anheuser-Busch InBev Worldwide, Inc., Sr. Unsecd. Note, 4.700%, 2/1/2036 | 27,941 | |
300,000 | Constellation Brands, Inc., Sr. Unsecd. Note, 4.900%, 5/1/2033 | 283,121 | |
300,000 | Danone S.A., Sr. Unsecd. Note, 144A, 2.947%, 11/2/2026 | 282,823 | |
270,000 | Heineken NV, Sr. Unsecd. Note, 144A, 3.500%, 1/29/2028 | 254,045 |
6
Shares or Principal Amount | Value | ||
CORPORATE BONDS—continued | |||
Consumer Non-Cyclical - Food/Beverage—continued | |||
$15,000 | Kraft Heinz Foods Co., Sr. Unsecd. Note, 5.200%, 7/15/2045 | $13,534 | |
TOTAL | 861,464 | ||
Consumer Non-Cyclical - Health Care—0.2% | |||
15,000 | CVS Health Corp., Sr. Unsecd. Note, 4.100%, 3/25/2025 | 14,804 | |
105,000 | GE Healthcare Holding LLC, Sr. Unsecd. Note, 6.377%, 11/22/2052 | 111,992 | |
300,000 | HCA, Inc., Sr. Unsecd. Note, 5.500%, 6/1/2033 | 291,545 | |
TOTAL | 418,341 | ||
Consumer Non-Cyclical - Pharmaceuticals—0.2% | |||
500,000 | AbbVie, Inc., Sr. Unsecd. Note, 4.250%, 11/21/2049 | 408,863 | |
15,000 | Amgen, Inc., Sr. Unsecd. Note, 4.400%, 5/1/2045 | 12,318 | |
10,000 | Bristol-Myers Squibb Co., Sr. Unsecd. Note, Series WI, 4.125%, 6/15/2039 | 8,459 | |
15,000 | Johnson & Johnson, Sr. Unsecd. Note, 3.550%, 3/1/2036 | 12,823 | |
TOTAL | 442,463 | ||
Consumer Non-Cyclical - Tobacco—0.3% | |||
245,000 | BAT Capital Corp., Sr. Unsecd. Note, 6.000%, 2/20/2034 | 243,635 | |
450,000 | Philip Morris International, Inc., Sr. Unsecd. Note, 5.750%, 11/17/2032 | 453,218 | |
TOTAL | 696,853 | ||
Energy - Independent—0.1% | |||
125,000 | Cimarex Energy Co., Sr. Unsecd. Note, 3.900%, 5/15/2027 | 111,045 | |
20,000 | EQT Corp., Sr. Unsecd. Note, 3.900%, 10/1/2027 | 18,880 | |
125,000 | Ovintiv, Inc., Sr. Unsecd. Note, 7.100%, 7/15/2053 | 135,100 | |
TOTAL | 265,025 | ||
Energy - Integrated—0.4% | |||
135,000 | BP Capital Markets America, Inc., Sr. Unsecd. Note, 3.119%, 5/4/2026 | 129,296 | |
300,000 | BP Capital Markets America, Inc., Sr. Unsecd. Note, 3.937%, 9/21/2028 | 285,454 | |
170,000 | BP Capital Markets America, Inc., Sr. Unsecd. Note, 4.893%, 9/11/2033 | 163,409 | |
5,000 | ConocoPhillips Co., Sr. Unsecd. Note, 4.025%, 3/15/2062 | 3,686 | |
270,000 | Exxon Mobil Corp., Sr. Unsecd. Note, 2.992%, 3/19/2025 | 264,499 | |
TOTAL | 846,344 | ||
Energy - Midstream—0.4% | |||
125,000 | Boardwalk Pipeline Partners LP, Sr. Unsecd. Note, 3.600%, 9/1/2032 | 105,793 | |
115,000 | Energy Transfer LP, Sr. Unsecd. Note, 4.050%, 3/15/2025 | 113,265 | |
20,000 | Energy Transfer LP, Sr. Unsecd. Note, 5.500%, 6/1/2027 | 19,905 | |
115,000 | Energy Transfer LP, Sr. Unsecd. Note, 5.950%, 5/15/2054 | 108,461 | |
10,000 | Energy Transfer LP, Sr. Unsecd. Note, 6.125%, 12/15/2045 | 9,616 | |
170,000 | Enterprise Products Operating LLC, Sr. Unsecd. Note, 3.950%, 2/15/2027 | 164,325 | |
20,000 | Kinder Morgan Energy Partners LP, Sr. Unsecd. Note, Series MTN, 6.950%, 1/15/2038 | 21,330 | |
40,000 | MPLX LP, Sr. Unsecd. Note, 4.125%, 3/1/2027 | 38,573 | |
5,000 | MPLX LP, Sr. Unsecd. Note, 4.500%, 4/15/2038 | 4,275 | |
190,000 | ONEOK, Inc., Sr. Unsecd. Note, 6.100%, 11/15/2032 | 193,085 | |
70,000 | Targa Resources, Inc., Sr. Unsecd. Note, 4.200%, 2/1/2033 | 61,819 | |
10,000 | Western Gas Partners LP, Sr. Unsecd. Note, 4.750%, 8/15/2028 | 9,658 | |
TOTAL | 850,105 | ||
Energy - Oil Field Services—0.1% | |||
200,000 | Williams Cos., Inc., Sr. Unsecd. Note, 5.150%, 3/15/2034 | 191,078 | |
Energy - Refining—0.0% | |||
15,000 | HF Sinclair Corp., Sr. Unsecd. Note, 5.875%, 4/1/2026 | 15,042 | |
15,000 | Marathon Petroleum Corp., Sr. Unsecd. Note, 4.500%, 4/1/2048 | 11,935 | |
10,000 | Marathon Petroleum Corp., Sr. Unsecd. Note, 6.500%, 3/1/2041 | 10,377 |
7
Shares or Principal Amount | Value | ||
CORPORATE BONDS—continued | |||
Energy - Refining—continued | |||
$15,000 | Valero Energy Corp., Sr. Unsecd. Note, 4.350%, 6/1/2028 | $14,411 | |
TOTAL | 51,765 | ||
Financial Institution - Banking—2.3% | |||
350,000 | Bank of America Corp., Sr. Unsecd. Note, 5.288%, 4/25/2034 | 337,288 | |
300,000 | Bank of America Corp., Sr. Unsecd. Note, Series GMTN, 3.500%, 4/19/2026 | 289,414 | |
200,000 | Bank of America Corp., Sub. Note, Series L, 3.950%, 4/21/2025 | 196,546 | |
15,000 | Bank of America Corp., Sub. Note, Series MTN, 4.200%, 8/26/2024 | 14,925 | |
15,000 | Bank of America Corp., Sub., Series MTN, 4.450%, 3/3/2026 | 14,698 | |
20,000 | Bank of New York Mellon, N.A., Sr. Unsecd. Note, 3.400%, 5/15/2024 | 19,982 | |
165,000 | Citigroup, Inc., Sr. Unsecd. Note, 3.057%, 1/25/2033 | 136,516 | |
250,000 | Citigroup, Inc., Sr. Unsecd. Note, 3.300%, 4/27/2025 | 244,426 | |
170,000 | Citigroup, Inc., Sr. Unsecd. Note, 3.400%, 5/1/2026 | 163,173 | |
300,000 | Citigroup, Inc., Sr. Unsecd. Note, 3.785%, 3/17/2033 | 260,761 | |
370,000 | Citigroup, Inc., Sr. Unsecd. Note, 5.610%, 9/29/2026 | 369,295 | |
15,000 | Citigroup, Inc., Sub. Note, 4.450%, 9/29/2027 | 14,439 | |
75,000 | Citizens Financial Group, Inc., Sr. Unsecd. Note, 5.841%, 1/23/2030 | 73,474 | |
195,000 | 3 | Citizens Financial Group, Inc., Sr. Unsecd. Note, 6.645% (SOFR +2.325%), 4/25/2035 | 195,631 |
30,000 | Comerica, Inc., 3.800%, 7/22/2026 | 28,421 | |
250,000 | FNB Corp. (PA), Sr. Unsecd. Note, 5.150%, 8/25/2025 | 245,923 | |
150,000 | Goldman Sachs Group, Inc., Sr. Unsecd. Note, 6.250%, 2/1/2041 | 156,731 | |
10,000 | 4 | JPMorgan Chase & Co., Jr. Sub. Deb., Series X, 6.100%, 4/1/2072 | 10,028 |
25,000 | 4 | JPMorgan Chase & Co., Jr. Sub. Note, Series FF, 5.000%, 2/1/2172 | 24,891 |
15,000 | JPMorgan Chase & Co., Sr. Unsecd. Note, 3.882%, 7/24/2038 | 12,496 | |
110,000 | JPMorgan Chase & Co., Sr. Unsecd. Note, 5.336%, 1/23/2035 | 106,676 | |
150,000 | KeyCorp, Sr. Unsecd. Note, 6.401%, 3/6/2035 | 147,618 | |
100,000 | Morgan Stanley, Sr. Unsecd. Note, 2.943%, 1/21/2033 | 82,577 | |
180,000 | Morgan Stanley, Sr. Unsecd. Note, 5.250%, 4/21/2034 | 172,791 | |
105,000 | 3 | Morgan Stanley, Sr. Unsecd. Note, 5.831% (SOFR +1.580%), 4/19/2035 | 104,997 |
15,000 | Morgan Stanley, Sr. Unsecd. Note, Series GMTN, 4.000%, 7/23/2025 | 14,717 | |
240,000 | PNC Financial Services Group, Inc., Sr. Unsecd. Note, 5.582%, 6/12/2029 | 238,982 | |
300,000 | State Street Corp., Sr. Unsecd. Note, 5.159%, 5/18/2034 | 290,042 | |
10,000 | State Street Corp., Sub. Deb., 3.031%, 11/1/2034 | 8,672 | |
300,000 | Truist Financial Corp., Sr. Unsecd. Note, Series MTN, 5.867%, 6/8/2034 | 294,487 | |
300,000 | US Bancorp, Sr. Unsecd. Note, 5.836%, 6/12/2034 | 296,656 | |
250,000 | US Bancorp, Sr. Unsecd. Note, Series MTN, 1.375%, 7/22/2030 | 195,848 | |
10,000 | Wells Fargo & Co., Series MTN, 4.100%, 6/3/2026 | 9,692 | |
200,000 | Wells Fargo & Co., Sr. Unsecd. Note, 5.499%, 1/23/2035 | 194,350 | |
10,000 | Westpac Banking Corp., Sub., Series GMTN, 4.322%, 11/23/2031 | 9,591 | |
TOTAL | 4,976,754 | ||
Financial Institution - Broker/Asset Mgr/Exchange—0.1% | |||
80,000 | Invesco Finance PLC, Sr. Unsecd. Note, 3.750%, 1/15/2026 | 77,510 | |
70,000 | Nuveen LLC, Sr. Unsecd. Note, 144A, 4.000%, 11/1/2028 | 66,555 | |
TOTAL | 144,065 | ||
Financial Institution - Finance Companies—0.1% | |||
220,000 | Air Lease Corp., Sr. Unsecd. Note, 5.850%, 12/15/2027 | 220,591 | |
Financial Institution - Insurance - Health—0.1% | |||
300,000 | UnitedHealth Group, Inc., Sr. Unsecd. Note, 4.750%, 5/15/2052 | 261,175 | |
Financial Institution - Insurance - Life—0.2% | |||
400,000 | AIA Group Ltd., Sub., 144A, 3.200%, 9/16/2040 | 284,031 | |
15,000 | 3 | MetLife, Inc., Jr. Sub. Note, 6.400% (3-month USLIBOR +2.205%), 12/15/2036 | 14,956 |
8
Shares or Principal Amount | Value | ||
CORPORATE BONDS—continued | |||
Financial Institution - Insurance - Life—continued | |||
$10,000 | 3 | MetLife, Inc., Jr. Sub. Note, 10.750% (3-month USLIBOR +7.548%), 8/1/2039 | $13,228 |
15,000 | Penn Mutual Life Insurance Co., Sr. Note, 144A, 7.625%, 6/15/2040 | 16,210 | |
50,000 | Prudential Financial, Inc., Sr. Unsecd. Note, Series MTN, 6.200%, 11/15/2040 | 50,837 | |
TOTAL | 379,262 | ||
Financial Institution - Insurance - P&C—0.0% | |||
10,000 | Berkshire Hathaway Finance Corp., Sr. Unsecd. Note, 4.200%, 8/15/2048 | 8,314 | |
55,000 | Nationwide Mutual Insurance Co., Sub., 144A, 4.350%, 4/30/2050 | 40,850 | |
TOTAL | 49,164 | ||
Financial Institution - REIT - Apartment—0.1% | |||
200,000 | UDR, Inc., Sr. Unsecd. Note, Series MTN, 2.100%, 8/1/2032 | 151,575 | |
70,000 | UDR, Inc., Sr. Unsecd. Note, Series MTN, 2.950%, 9/1/2026 | 65,787 | |
TOTAL | 217,362 | ||
Financial Institution - REIT - Healthcare—0.1% | |||
185,000 | Welltower, Inc., Sr. Unsecd. Note, 2.700%, 2/15/2027 | 171,887 | |
Financial Institution - REIT - Office—0.0% | |||
70,000 | Alexandria Real Estate Equities, Inc., Sr. Unsecd. Note, 3.950%, 1/15/2028 | 66,127 | |
Financial Institution - REITs—0.0% | |||
60,000 | Camden Property Trust, Sr. Unsecd. Note, 2.800%, 5/15/2030 | 51,815 | |
Technology—0.7% | |||
10,000 | Apple, Inc., Sr. Unsecd. Note, 3.850%, 5/4/2043 | 8,200 | |
70,000 | Broadcom, Inc., Sr. Unsecd. Note, 144A, 3.750%, 2/15/2051 | 50,116 | |
220,000 | Broadcom, Inc., Sr. Unsecd. Note, 144A, 4.150%, 4/15/2032 | 198,151 | |
20,000 | Corning, Inc., Unsecd. Note, 4.750%, 3/15/2042 | 17,339 | |
171,000 | Dell International LLC / EMC Corp., Sr. Unsecd. Note, 6.020%, 6/15/2026 | 172,061 | |
110,000 | Fiserv, Inc., Sr. Unsecd. Note, 3.500%, 7/1/2029 | 100,244 | |
5,000 | Global Payments, Inc., Sr. Unsecd. Note, 3.200%, 8/15/2029 | 4,413 | |
265,000 | Intel Corp., Sr. Unsecd. Note, 3.400%, 3/25/2025 | 260,026 | |
7,000 | Microsoft Corp., Sr. Unsecd. Note, 2.921%, 3/17/2052 | 4,617 | |
8,000 | Microsoft Corp., Sr. Unsecd. Note, 3.450%, 8/8/2036 | 6,817 | |
500,000 | Oracle Corp., Sr. Unsecd. Note, 6.250%, 11/9/2032 | 518,824 | |
175,000 | Roper Technologies, Inc., Sr. Unsecd. Note, 2.000%, 6/30/2030 | 143,255 | |
TOTAL | 1,484,063 | ||
Transportation - Airlines—0.1% | |||
30,000 | Delta Air Lines, Inc., Sr. Unsecd. Note, 2.900%, 10/28/2024 | 29,576 | |
110,000 | Southwest Airlines Co., Sr. Unsecd. Note, 5.250%, 5/4/2025 | 109,392 | |
TOTAL | 138,968 | ||
Transportation - Railroads—0.1% | |||
225,000 | Canadian Pacific Railway Co., Sr. Unsecd. Note, 3.125%, 6/1/2026 | 213,834 | |
Transportation - Services—0.2% | |||
15,000 | Enterprise Rent-A-Car USA Finance Co., Sr. Unsecd. Note, 144A, 5.625%, 3/15/2042 | 14,676 | |
20,000 | FedEx Corp., Sr. Unsecd. Note, 3.900%, 2/1/2035 | 17,279 | |
210,000 | Penske Truck Leasing Co. LP & PTL Finance Corp., Sr. Unsecd. Note, 144A, 5.550%, 5/1/2028 | 208,706 | |
125,000 | United Parcel Service, Inc., Sr. Unsecd. Note, 3.900%, 4/1/2025 | 123,336 | |
TOTAL | 363,997 | ||
Utility - Electric—1.0% | |||
200,000 | Alabama Power Co., Sr. Unsecd. Note, 3.000%, 3/15/2052 | 127,003 | |
90,000 | Ameren Corp., Sr. Unsecd. Note, 1.950%, 3/15/2027 | 81,717 | |
70,000 | Electricite de France S.A., Note, 144A, 5.600%, 1/27/2040 | 66,560 | |
300,000 | Electricite de France S.A., Sr. Unsecd. Note, 144A, 4.500%, 9/21/2028 | 286,010 | |
140,000 | Emera US Finance LP, Sr. Unsecd. Note, 4.750%, 6/15/2046 | 109,271 |
9
Shares or Principal Amount | Value | ||
CORPORATE BONDS—continued | |||
Utility - Electric—continued | |||
$170,000 | EverSource Energy, Sr. Unsecd. Note, 3.350%, 3/15/2026 | $162,595 | |
200,000 | Exelon Corp., Sr. Unsecd. Note, 3.400%, 4/15/2026 | 192,205 | |
110,000 | National Rural Utilities Cooperative Finance Corp., Sr. Sub. Note, 5.250%, 4/20/2046 | 107,045 | |
25,000 | National Rural Utilities Cooperative Finance Corp., Sr. Unsecd. Note, Series MTNC, 8.000%, 3/1/2032 | 28,489 | |
250,000 | PPL Capital Funding, Inc., Sr. Unsecd. Note, 3.100%, 5/15/2026 | 239,122 | |
175,000 | Southern Co., Sr. Unsecd. Note, 3.250%, 7/1/2026 | 166,920 | |
250,000 | Virginia Electric & Power Co., Sr. Unsecd. Note, 5.450%, 4/1/2053 | 234,541 | |
300,000 | WEC Energy Group, Inc., Sr. Unsecd. Note, 1.800%, 10/15/2030 | 239,762 | |
170,000 | WEC Energy Group, Inc., Sr. Unsecd. Note, 5.150%, 10/1/2027 | 168,253 | |
TOTAL | 2,209,493 | ||
Utility - Natural Gas—0.2% | |||
445,000 | National Fuel Gas Co., Sr. Unsecd. Note, 5.500%, 1/15/2026 | 442,018 | |
5,000 | TransCanada PipeLines Ltd., Sr. Unsecd. Note, 6.200%, 10/15/2037 | 5,018 | |
TOTAL | 447,036 | ||
Utility - Other—0.1% | |||
125,000 | National Grid-SP PLC, Sr. Unsecd. Note, 5.602%, 6/12/2028 | 124,921 | |
TOTAL CORPORATE BONDS (IDENTIFIED COST $23,292,656) | 21,682,263 | ||
U.S. TREASURIES—4.5% | |||
U.S. Treasury Bond—1.5% | |||
1,200,000 | 5 | United States Treasury Bond, 2.000%, 8/15/2051 | 688,638 |
780,000 | United States Treasury Bond, 2.250%, 2/15/2052 | 475,313 | |
125,000 | United States Treasury Bond, 3.000%, 8/15/2052 | 90,195 | |
50,000 | United States Treasury Bond, 3.250%, 5/15/2042 | 40,133 | |
225,000 | United States Treasury Bond, 3.375%, 8/15/2042 | 183,445 | |
65,000 | United States Treasury Bond, 3.625%, 5/15/2053 | 53,097 | |
1,600,000 | United States Treasury Bond, 4.125%, 8/15/2053 | 1,432,000 | |
425,000 | United States Treasury Bond, 4.250%, 2/15/2054 | 389,009 | |
TOTAL | 3,351,830 | ||
U.S. Treasury Note—3.0% | |||
500,000 | United States Treasury Note, 2.375%, 3/31/2029 | 448,517 | |
275,000 | United States Treasury Note, 2.500%, 3/31/2027 | 257,403 | |
500,000 | United States Treasury Note, 2.750%, 5/31/2029 | 455,475 | |
550,000 | United States Treasury Note, 3.125%, 8/31/2029 | 508,664 | |
2,150,000 | United States Treasury Note, 4.000%, 1/31/2029 | 2,083,032 | |
100,000 | United States Treasury Note, 4.000%, 7/31/2030 | 96,121 | |
450,000 | United States Treasury Note, 4.000%, 1/31/2031 | 431,508 | |
605,000 | United States Treasury Note, 4.000%, 2/15/2034 | 572,859 | |
600,000 | United States Treasury Note, 4.125%, 9/30/2027 | 586,645 | |
595,000 | United States Treasury Note, 4.125%, 7/31/2028 | 580,186 | |
350,000 | United States Treasury Note, 4.375%, 11/30/2030 | 343,230 | |
TOTAL | 6,363,640 | ||
TOTAL U.S. TREASURIES (IDENTIFIED COST $10,902,635) | 9,715,470 | ||
ASSET-BACKED SECURITIES—2.5% | |||
Auto Receivables—1.3% | |||
300,000 | Citizens Auto Receivables Trust 2024-2, Class A3, 5.330%, 8/15/2028 | 298,667 | |
300,000 | Ford Credit Auto Owner Trust/Ford Credit 2023-2, Class SUB, 5.920%, 2/15/2036 | 301,452 | |
300,000 | General Motors 2024-2A, Class B, 5.350%, 3/17/2031 | 298,861 | |
250,000 | Huntington Auto Trust 2024-1A, Class A3, 5.230%, 1/16/2029 | 248,012 | |
150,000 | M&T Bank Auto Receivables Trust 2024-1A, Class A3, 5.220%, 2/17/2032 | 148,514 |
10
Shares or Principal Amount | Value | ||
ASSET-BACKED SECURITIES—continued | |||
Auto Receivables—continued | |||
$100,000 | Navistar Financial Dealer Note Master Trust 2023-1, Class A, 6.180%, 8/25/2028 | $100,287 | |
116,934 | Santander Bank Auto Credit-Linked Notes 2022-B, Class D, 6.793%, 8/16/2032 | 116,524 | |
300,000 | Santander Drive Auto Receivables Trust 2023-1, Class C, 5.090%, 5/15/2030 | 293,733 | |
250,000 | Santander Drive Auto Receivables Trust 2023-3, Class C, 5.770%, 11/15/2030 | 250,600 | |
225,000 | SFS Auto Receivables Securitization Trust 2023-1A, Class C, 5.970%, 2/20/2031 | 221,362 | |
250,000 | Tesla Auto Lease Trust 2023-A, Class B, 6.410%, 7/20/2027 | 251,023 | |
250,000 | Toyota Auto Loan Extended Note 2023-1A, Class A, 4.930%, 6/25/2036 | 245,672 | |
90,000 | World Omni Auto Receivables Trust 2021-A, Class C, 0.890%, 8/16/2027 | 85,815 | |
TOTAL | 2,860,522 | ||
Credit Card—0.3% | |||
345,000 | First National Master Note Trust 2023-1, Class A, 5.130%, 4/15/2029 | 340,802 | |
400,000 | Master Credit Card Trust 2022-2A, Class C, 2.730%, 7/21/2028 | 355,208 | |
TOTAL | 696,010 | ||
Equipment Lease—0.7% | |||
200,000 | Dell Equipment Finance Trust 2023-2, Class C, 6.060%, 1/22/2029 | 197,963 | |
200,000 | DLLMT LLC 2023-1A, Class A4, 5.350%, 3/20/2031 | 196,594 | |
500,000 | HPEFS Equipment Trust 2022-1A, Class C, 1.960%, 5/21/2029 | 490,669 | |
300,000 | Kubota Credit Owner Trust 2023-2A, Class A4, 5.230%, 6/15/2028 | 294,136 | |
300,000 | MMAF Equipment Finance LLC 2023-A, Class A4, 5.500%, 12/13/2038 | 299,624 | |
TOTAL | 1,478,986 | ||
Other—0.1% | |||
225,000 | PFS Financing Corp. 2023-B, Class A, 5.270%, 5/15/2028 | 224,415 | |
Student Loans—0.1% | |||
174,382 | Navient Student Loan Trust 2021-A, Class A, 0.840%, 5/15/2069 | 151,549 | |
TOTAL ASSET-BACKED SECURITIES (IDENTIFIED COST $5,525,478) | 5,411,482 | ||
COLLATERALIZED MORTGAGE OBLIGATIONS—0.6% | |||
Commercial Mortgage—0.2% | |||
150,000 | Bank 2023-BNK46, Class A4, 5.745%, 8/15/2056 | 150,311 | |
190,000 | Bank, Class A4, 3.488%, 11/15/2050 | 174,007 | |
200,000 | JPMDB Commercial Mortgage Securities Trust 2016-C4, Class A3, 3.141%, 12/15/2049 | 182,965 | |
TOTAL | 507,283 | ||
Federal Home Loan Mortgage Corporation—0.2% | |||
1,398 | Federal Home Loan Mortgage Corp. REMIC, Series 2497, Class JH, 6.000%, 9/15/2032 | 1,400 | |
250,000 | Federal Home Loan Mortgage Corp. REMIC, Series K-161, Class A2, 4.900%, 10/25/2033 | 244,851 | |
200,000 | Federal Home Loan Mortgage Corp. REMIC, Series K754, Class A2, 4.940%, 11/25/2030 | 196,669 | |
TOTAL | 442,920 | ||
Federal National Mortgage Association—0.0% | |||
178 | Federal National Mortgage Association REMIC, Series 2003-35, Class UC, 3.750%, 5/25/2033 | 174 | |
Non-Agency Mortgage—0.2% | |||
8 | 4 | Bear Stearns Mortgage Securities, Inc. 1997-6, Class 1A, 7.874%, 3/25/2031 | 9 |
374,323 | GS Mortgage-Backed Securities Trust 2023-PJ1, Class A4, 3.500%, 2/25/2053 | 314,533 | |
TOTAL | 314,542 | ||
TOTAL COLLATERALIZED MORTGAGE OBLIGATIONS (IDENTIFIED COST $1,341,203) | 1,264,919 | ||
COMMERCIAL MORTGAGE-BACKED SECURITIES—0.5% | |||
Commercial Mortgage—0.2% | |||
200,000 | BMO Mortgage Trust 2023-5C1, Class A3, 6.534%, 8/15/2056 | 204,337 | |
200,000 | BMO Mortgage Trust 2023-C4, Class A5, 5.116%, 2/15/2056 | 190,944 | |
TOTAL | 395,281 |
11
Shares or Principal Amount | Value | ||
COMMERCIAL MORTGAGE-BACKED SECURITIES—continued | |||
Federal Home Loan Mortgage Corporation—0.3% | |||
$6,249 | Federal Home Loan Mortgage Corp. REMIC, Series K055, Class A1, 2.263%, 4/25/2025 | $6,188 | |
232,238 | Federal Home Loan Mortgage Corp. REMIC, Series K106, Class A1, 1.783%, 10/25/2029 | 208,657 | |
350,000 | Federal Home Loan Mortgage Corp. REMIC, Series K737, Class A2, 2.525%, 10/25/2026 | 326,831 | |
TOTAL | 541,676 | ||
TOTAL COMMERCIAL MORTGAGE-BACKED SECURITIES (IDENTIFIED COST $1,012,250) | 936,957 | ||
MORTGAGE-BACKED SECURITIES—0.1% | |||
Federal Home Loan Mortgage Corporation—0.0% | |||
19,075 | Federal Home Loan Mortgage Corp., Pool G07801, 4.000%, 10/1/2044 | 17,561 | |
Federal National Mortgage Association—0.1% | |||
4,789 | Federal National Mortgage Association, Pool 357761, 5.500%, 5/1/2035 | 4,818 | |
516 | Federal National Mortgage Association, Pool 728709, 5.500%, 7/1/2033 | 518 | |
19,546 | Federal National Mortgage Association, Pool 932864, 4.000%, 12/1/2040 | 18,196 | |
34,306 | Federal National Mortgage Association, Pool AB7859, 3.500%, 2/1/2043 | 30,950 | |
24,815 | Federal National Mortgage Association, Pool AD6938, 4.500%, 6/1/2040 | 23,744 | |
12,059 | Federal National Mortgage Association, Pool AQ0945, 3.000%, 11/1/2042 | 10,527 | |
14,531 | Federal National Mortgage Association, Pool AT2127, 3.000%, 4/1/2043 | 12,681 | |
6,586 | Federal National Mortgage Association, Pool AT7861, 3.000%, 6/1/2028 | 6,319 | |
13,863 | Federal National Mortgage Association, Pool BM4388, 4.000%, 8/1/2048 | 12,633 | |
7,674 | Federal National Mortgage Association, Pool BM5024, 3.000%, 11/1/2048 | 6,503 | |
10,163 | Federal National Mortgage Association, Pool BM5246, 3.500%, 11/1/2048 | 8,909 | |
12,481 | Federal National Mortgage Association, Pool CA0833, 3.500%, 12/1/2047 | 10,968 | |
9,311 | Federal National Mortgage Association, Pool CA4427, 3.000%, 10/1/2049 | 7,815 | |
6,298 | Federal National Mortgage Association, Pool FM0008, 3.500%, 8/1/2049 | 5,517 | |
20,045 | Federal National Mortgage Association, Pool FM1000, 3.000%, 4/1/2047 | 17,024 | |
9,210 | Federal National Mortgage Association, Pool FM1221, 3.500%, 7/1/2049 | 8,085 | |
14,481 | Federal National Mortgage Association, Pool MA0500, 5.000%, 8/1/2040 | 14,243 | |
16,807 | Federal National Mortgage Association, Pool MA0666, 4.500%, 3/1/2041 | 16,063 | |
20,315 | Federal National Mortgage Association, Pool MA1430, 3.000%, 5/1/2043 | 17,700 | |
18,313 | Federal National Mortgage Association, Pool MA2803, 2.500%, 11/1/2031 | 17,011 | |
TOTAL | 250,224 | ||
Government National Mortgage Association—0.0% | |||
11,609 | Government National Mortgage Association, Pool MA0625, 3.500%, 12/20/2042 | 10,522 | |
7,396 | Government National Mortgage Association, Pool MA1376, 4.000%, 10/20/2043 | 6,874 | |
TOTAL | 17,396 | ||
TOTAL MORTGAGE-BACKED SECURITIES (IDENTIFIED COST $320,812) | 285,181 | ||
GOVERNMENT AGENCY—0.1% | |||
Federal National Mortgage Association—0.1% | |||
250,000 | Federal National Mortgage Association Notes, 0.625%, 4/22/2025 (IDENTIFIED COST $249,898) | 239,022 | |
MUNICIPAL BOND—0.0% | |||
30,000 | Texas State Transportation Commission - State Highway Fund, 5.178%, 4/1/2030 (IDENTIFIED COST $32,520) | 29,831 | |
EXCHANGE-TRADED FUNDS—5.1% | |||
40,700 | iShares Core MSCI Emerging Markets ETF | 2,102,155 | |
113,000 | iShares MSCI EAFE ETF | 8,731,510 | |
Total Exchange-Traded Funds (IDENTIFIED COST $9,438,921) | 10,833,665 | ||
INVESTMENT COMPANIES—17.3% | |||
90,660 | Bank Loan Core Fund | 793,275 |
12
Shares or Principal Amount | Value | ||
INVESTMENT COMPANIES—continued | |||
492,469 | Emerging Markets Core Fund | $4,117,037 | |
296,037 | Federated Hermes Government Obligations Fund, Premier Shares, 5.22%6 | 296,037 | |
4,312,080 | Federated Hermes Institutional Prime Value Obligations Fund, Institutional Shares, 5.34%6 | 4,312,080 | |
370,811 | High Yield Bond Core Fund | 2,028,337 | |
2,625,125 | Mortgage Core Fund | 20,922,244 | |
534,593 | Project and Trade Finance Core Fund | 4,731,149 | |
TOTAL INVESTMENT COMPANIES (IDENTIFIED COST $40,013,057) | 37,200,159 | ||
TOTAL INVESTMENT IN SECURITIES—100% (IDENTIFIED COST $194,384,681) | 214,608,685 | ||
OTHER ASSETS AND LIABILITIES - NET—0.0%7 | 74,780 | ||
TOTAL NET ASSETS—100% | $214,683,465 |
At April 30, 2024, the Fund had the following outstanding futures contracts:
Description | Number of Contracts | Notional Value | Expiration Date | Value and Unrealized Appreciation (Depreciation) |
Long Futures: | ||||
United States Treasury Long Bond Long Futures | 2 | $227,625 | June 2024 | $(10,125) |
United States Treasury Notes 2-Year Long Futures | 53 | $10,740,781 | June 2024 | $(51,422) |
United States Treasury Notes 5-Year Long Futures | 56 | $5,865,563 | June 2024 | $(118,353) |
United States Treasury Notes 10-Year Long Futures | 5 | $537,187 | June 2024 | $(5,355) |
Short Futures: | ||||
United States Treasury Notes 10-Year Ultra Short Futures | 11 | $1,212,406 | June 2024 | $7,021 |
United States Treasury Ultra Bond Short Futures | 6 | $717,375 | June 2024 | $48,822 |
NET UNREALIZED DEPRECIATION ON FUTURES CONTRACTS | $(129,412) |
The average notional value of long and short futures contracts held by the Fund throughout the period was $16,442,904 and $1,739,950, respectively. This is based on the contracts held as of each month-end throughout the nine-month fiscal period.
Net Unrealized Depreciation on Futures Contracts is included in “Other Assets and Liabilities—Net.”
Transactions with affiliated investment companies, which are funds managed by the Adviser or an affiliate of the Adviser, during the period ended April 30, 2024, were as follows:
Affiliates | Value as of 7/31/2023 | Purchases at Cost | Proceeds from Sales | Change in Unrealized Appreciation/ Depreciation | Net Realized Gain/ (Loss) | Value as of 4/30/2024 | Shares Held as of 4/30/2024 | Dividend Income |
Bank Loan Core Fund | $11,640 | $782,125 | $— | $(490) | $— | $793,275 | 90,660 | $7,126 |
Emerging Markets Core Fund | $1,790,027 | $2,579,594 | $(382,000) | $116,685 | $12,731 | $4,117,037 | 492,469 | $150,141 |
Federated Hermes Government Obligations Fund, Premier Shares* | $404,597 | $120,815,967 | $(120,924,527) | $— | $— | $296,037 | 296,037 | $— |
Federated Hermes Institutional Prime Value Obligations Fund, Institutional Shares* | $2,602,447 | $37,626,056 | $(35,916,002) | $(436) | $15 | $4,312,080 | 4,312,080 | $181,903 |
High Yield Bond Core Fund | $1,929,131 | $203,182 | $(123,000) | $23,148 | $(4,124) | $2,028,337 | 370,811 | $93,785 |
Mortgage Core Fund | $21,650,227 | $3,099,144 | $(2,892,750) | $(682,111) | $(252,266) | $20,922,244 | 2,625,125 | $720,146 |
Project and Trade Finance Core Fund | $4,440,858 | $238,067 | $— | $52,224 | $— | $4,731,149 | 534,593 | $238,205 |
TOTAL OF AFFILIATED TRANSACTIONS | $32,828,927 | $165,344,135 | $(160,238,279) | $(490,980) | $(243,644) | $37,200,159 | 8,721,775 | $1,391,306 |
* | All or a portion of the balance/activity for the fund relates to cash collateral received on securities lending transactions. |
1 | Non-income-producing security. |
2 | All or a portion of these securities are temporarily on loan to unaffiliated broker/dealers. As of April 30, 2024, securities subject to this type of arrangement and related collateral were as follows: |
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Fair Value of Securities Loaned | Collateral Received |
$285,918 | $296,037 |
3 | Floating/variable note with current rate and current maturity or next reset date shown. |
4 | Perpetual Bond Security. The maturity date reflects the next call date. |
5 | All or a portion of this security is pledged as collateral to ensure the Fund is able to satisfy the obligations of its outstanding futures contracts. |
6 | 7-day net yield. |
7 | Assets, other than investments in securities, less liabilities. |
Note: The categories of investments are shown as a percentage of total net assets at April 30, 2024.
Investment Valuation
In calculating its net asset value (NAV), the Fund generally values investments as follows:
■ Equity securities listed on an exchange or traded through a regulated market system are valued at their last reported sale price or official closing price in their principal exchange or market.
■ Fixed-income securities are fair valued using price evaluations provided by a pricing service approved by Federated MDTA LLC (the “Adviser”).
■ Shares of other mutual funds or non-exchange-traded investment companies are valued based upon their reported NAVs, or NAV per share practical expedient, as applicable.
■ Derivative contracts listed on exchanges are valued at their reported settlement or closing price, except that options are valued at the mean of closing bid and ask quotations.
■ Over-the-counter (OTC) derivative contracts are fair valued using price evaluations provided by a pricing service approved by the Adviser.
■ For securities that are fair valued in accordance with procedures established by and under the general supervision of the Adviser, certain factors may be considered, such as: the last traded or purchase price of the security, information obtained by contacting the issuer or dealers, analysis of the issuer’s financial statements or other available documents, fundamental analytical data, the nature and duration of restrictions on disposition, the movement of the market in which the security is normally traded, public trading in similar securities or derivative contracts of the issuer or comparable issuers, movement of a relevant index, or other factors including but not limited to industry changes and relevant government actions.
If any price, quotation, price evaluation or other pricing source is not readily available when the NAV is calculated, if the Fund cannot obtain price evaluations from a pricing service or from more than one dealer for an investment within a reasonable period of time as set forth in the Adviser’s valuation policies and procedures for the Fund, or if information furnished by a pricing service, in the opinion of the Adviser’s valuation committee (“Valuation Committee”), is deemed not representative of the fair value of such security, the Fund uses the fair value of the investment determined in accordance with the procedures described below. There can be no assurance that the Fund could obtain the fair value assigned to an investment if it sold the investment at approximately the time at which the Fund determines its NAV per share, and the actual value obtained could be materially different.
Fair Valuation and Significant Events Procedures
Pursuant to Rule 2a-5 under the Investment Company Act of 1940, the Fund’s Board of Trustees (the “Trustees”) has designated the Adviser as the Fund’s valuation designee to perform any fair value determinations for securities and other assets held by the Fund. The Adviser is subject to the Trustees’ oversight and certain reporting and other requirements intended to provide the Trustees the information needed to oversee the Adviser’s fair value determinations.
The Adviser, acting through its Valuation Committee, is responsible for determining the fair value of investments for which market quotations are not readily available. The Valuation Committee is comprised of officers of the Adviser and certain of the Adviser’s affiliated companies and determines fair value and oversees the calculation of the NAV. The Valuation Committee is also authorized to use pricing services to provide fair value evaluations of the current value of certain investments for purposes of calculating the NAV. The Valuation Committee employs various methods for reviewing third-party pricing-service evaluations including periodic reviews of third-party pricing services’ policies, procedures and valuation methods (including key inputs, methods, models and assumptions), transactional back-testing, comparisons of evaluations of different pricing services, and review of price challenges by the Adviser based on recent market activity. In the event that market quotations and price evaluations are not available for an investment, the Valuation Committee determines the fair value of the investment in accordance with procedures adopted by the Adviser. The Trustees periodically review the fair valuations made by the Valuation Committee. The Trustees have also approved the Adviser’s fair valuation and significant events procedures as part of the Fund’s compliance program and will review any changes made to the procedures.
Factors considered by pricing services in evaluating an investment include the yields or prices of investments of comparable quality, coupon, maturity, call rights and other potential prepayments, terms and type, reported transactions, indications as to values from dealers and general market conditions. Some pricing services provide a single price evaluation reflecting the bid-side of the market for an investment (a “bid” evaluation). Other pricing services offer both bid evaluations and price evaluations indicative of a price between the prices bid and ask for the investment (a “mid” evaluation). The Fund normally uses bid evaluations for any U.S. Treasury and Agency securities, mortgage-backed securities and municipal securities. The Fund normally uses mid evaluations for any other types of fixed-income securities and any OTC derivative contracts. In the event that market quotations and price evaluations are not available for an investment, the fair value of the investment is determined in accordance with procedures adopted by the Adviser.
The Adviser has also adopted procedures requiring an investment to be priced at its fair value whenever the Valuation Committee determines that a significant event affecting the value of the investment has occurred between the time as of which the price of the investment would otherwise be determined and the time as of which the NAV is computed. An event is considered significant if there is
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both an affirmative expectation that the investment’s value will change in response to the event and a reasonable basis for quantifying the resulting change in value. Examples of significant events that may occur after the close of the principal market on which a security is traded, or after the time of a price evaluation provided by a pricing service or a dealer, include:
■ With respect to securities traded principally in foreign markets, significant trends in U.S. equity markets or in the trading of foreign securities index futures contracts;
■ Political or other developments affecting the economy or markets in which an issuer conducts its operations or its securities are traded;
■ Announcements concerning matters such as acquisitions, recapitalizations, litigation developments, or a natural disaster affecting the issuer’s operations or regulatory changes or market developments affecting the issuer’s industry.
The Adviser has adopted procedures whereby the Valuation Committee uses a pricing service to provide factors to update the fair value of equity securities traded principally in foreign markets from the time of the close of their respective foreign stock exchanges to the pricing time of the Fund. For other significant events, the Fund may seek to obtain more current quotations or price evaluations from alternative pricing sources. If a reliable alternative pricing source is not available, the Valuation Committee will determine the fair value of the investment in accordance with the fair valuation procedures approved by the Adviser. The Trustees periodically review fair valuations made in response to significant events.
Various inputs are used in determining the value of the Fund’s investments. These inputs are summarized in the three broad levels listed below:
Level 1—quoted prices in active markets for identical securities.
Level 2—other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.). Also includes securities valued at amortized cost.
Level 3—significant unobservable inputs (including the Fund’s own assumptions in determining the fair value of investments).
The inputs or methodology used for valuing securities are not an indication of the risk associated with investing in those securities.
The following is a summary of the inputs used, as of April 30, 2024, in valuing the Fund’s assets carried at fair value:
Valuation Inputs | ||||
Level 1— Quoted Prices | Level 2— Other Significant Observable Inputs | Level 3— Significant Unobservable Inputs | Total | |
Equity Securities: | ||||
Common Stocks | ||||
Domestic | $121,359,827 | $— | $— | $121,359,827 |
International | 5,649,909 | — | — | 5,649,909 |
Debt Securities: | ||||
Corporate Bonds | — | 21,682,263 | — | 21,682,263 |
U.S. Treasuries | — | 9,715,470 | — | 9,715,470 |
Asset-Backed Securities | — | 5,411,482 | — | 5,411,482 |
Collateralized Mortgage Obligations | — | 1,264,919 | — | 1,264,919 |
Commercial Mortgage-Backed Securities | — | 936,957 | — | 936,957 |
Mortgage-Backed Securities | — | 285,181 | — | 285,181 |
Government Agencies | — | 239,022 | — | 239,022 |
Municipal Bonds | — | 29,831 | — | 29,831 |
Exchange-Traded Funds | 10,833,665 | — | — | 10,833,665 |
Investment Companies | 32,469,010 | — | — | 32,469,010 |
Other Investments1 | — | — | — | 4,731,149 |
TOTAL SECURITIES | $170,312,411 | $39,565,125 | $— | $214,608,685 |
Other Financial Instruments:2 | ||||
Assets | $55,843 | $— | $— | $55,843 |
Liabilities | (185,255) | — | — | (185,255) |
TOTAL OTHER FINANCIAL INSTRUMENTS | $(129,412) | $— | $— | $(129,412) |
1 | As permitted by U.S. generally accepted accounting principles (GAAP), an Investment Company valued at $4,731,149 is measured at fair value using the net asset value (NAV) per share practical expedient and has not been categorized in the fair value hierarchy chart above. The price of shares redeemed of Project and Trade Finance Core Fund (PTCORE), a portfolio of Federated Hermes Core Trust III, may be determined as of the closing NAV of the fund up to twenty-four days after receipt of a shareholder redemption request. The investment objective of PTCORE is to provide total return. Copies of the PTCORE financial statements are available on the EDGAR database on the SEC’s website or upon request from the Fund. |
2 | Other financial instruments are futures contracts. |
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