United States
Securities and Exchange Commission
Washington, D.C. 20549
Form N-CSR
Certified Shareholder Report of Registered Management Investment Companies
811-7193
(Investment Company Act File Number)
Federated Hermes Institutional Trust
______________________________________________________________
(Exact Name of Registrant as Specified in Charter)
Federated Hermes Funds
4000 Ericsson Drive
Warrendale, PA 15086-7561
(Address of Principal Executive Offices)
(412) 288-1900
(Registrant's Telephone Number)
Peter J. Germain, Esquire
1001 Liberty Avenue
Pittsburgh, Pennsylvania 15222-3779
(Name and Address of Agent for Service)
(Notices should be sent to the Agent for Service)
Date of Fiscal Year End: 08/31/23
Date of Reporting Period: Six months ended 02/28/23
Item 1. | Reports to Stockholders |
Share Class | Ticker | A | FGCAX | Institutional | FGCIX | Service | FGCSX | R6 | SRBRX |
Federated Hermes Short-Intermediate Total Return Bond Fund
A Portfolio of Federated Hermes Institutional Trust
Security Type | Percentage of Total Net Assets |
U.S. Treasury Securities | 49.4% |
Corporate Debt Securities | 29.5% |
Project and Trade Finance Core Fund | 5.3% |
Bank Loan Core Fund | 4.9% |
Mortgage Core Fund | 4.3% |
Asset-Backed Securities | 2.8% |
Emerging Markets Core Fund | 2.6% |
Collateralized Mortgage Obligations | 0.7% |
Mortgage-Backed Securities2 | 0.1% |
Cash Equivalents3 | 0.5% |
Derivative Contracts4,5 | 0.0% |
Other Assets and Liabilities—Net6 | (0.1)% |
TOTAL | 100% |
1 | See the Fund’s Prospectus and Statement of Additional Information for a description of the types of securities in which the Fund invests. As of the date specified above, the Fund owned shares of one or more affiliated investment companies. For purposes of this table, affiliated investment companies (other than an affiliated money market mutual fund) in which the Fund invested less than 10% of its net assets, are listed individually in the table. |
2 | For purposes of this table, Mortgage-Backed Securities may include mortgage-backed securities guaranteed by Government Sponsored Entities and adjustable rate mortgage-backed securities. |
3 | Cash Equivalents include any investments in money market mutual funds and/or overnight repurchase agreements other than those representing cash collateral for securities lending. |
4 | Based upon net unrealized appreciation (depreciation) or value of the derivative contracts as applicable. Derivative contracts may consist of futures, forwards, options and swaps. The impact of a derivative contract on the Fund’s performance may be larger than its unrealized appreciation (depreciation) or value may indicate. In many cases, the notional value or amount of a derivative contract may provide a better indication of the contract’s significance to the portfolio. More complete information regarding the Fund’s direct investments in derivative contracts, including unrealized appreciation (depreciation), value and notional values or amounts of such contracts, can be found in the table at the end of the Portfolio of Investments included in this Report. |
5 | Represents less than 0.1%. |
6 | Assets, other than investments in securities and derivative contracts, less liabilities. See Statement of Assets and Liabilities. |
Principal Amount or Shares | Value | ||
U.S. TREASURIES— 49.4% | |||
U.S. Treasury Notes— 49.4% | |||
$ 5,000,000 | United States Treasury Notes, 0.250%, 5/15/2024 | $ 4,715,970 | |
10,000,000 | United States Treasury Notes, 0.250%, 6/15/2024 | 9,396,290 | |
23,500,000 | United States Treasury Notes, 0.250%, 5/31/2025 | 21,280,660 | |
65,000,000 | United States Treasury Notes, 0.250%, 6/30/2025 | 58,743,984 | |
52,500,000 | United States Treasury Notes, 0.250%, 7/31/2025 | 47,282,482 | |
27,500,000 | United States Treasury Notes, 0.250%, 8/31/2025 | 24,689,973 | |
27,500,000 | United States Treasury Notes, 0.250%, 9/30/2025 | 24,644,922 | |
10,000,000 | United States Treasury Notes, 0.250%, 10/31/2025 | 8,928,274 | |
15,000,000 | United States Treasury Notes, 0.375%, 4/30/2025 | 13,659,712 | |
7,500,000 | United States Treasury Notes, 0.375%, 11/30/2025 | 6,698,456 | |
22,750,000 | United States Treasury Notes, 0.375%, 1/31/2026 | 20,204,812 | |
12,500,000 | United States Treasury Notes, 0.500%, 3/31/2025 | 11,452,339 | |
30,000,000 | United States Treasury Notes, 0.625%, 10/15/2024 | 27,977,601 | |
30,000,000 | United States Treasury Notes, 0.625%, 7/31/2026 | 26,418,399 | |
15,000,000 | United States Treasury Notes, 0.750%, 5/31/2026 | 13,333,740 | |
12,500,000 | United States Treasury Notes, 0.750%, 8/31/2026 | 11,027,520 | |
10,000,000 | United States Treasury Notes, 0.875%, 6/30/2026 | 8,909,627 | |
10,000,000 | United States Treasury Notes, 1.125%, 2/28/2025 | 9,302,024 | |
18,000,000 | United States Treasury Notes, 1.375%, 1/31/2025 | 16,868,079 | |
17,000,000 | 1 | United States Treasury Notes, 1.750%, 6/30/2024 | 16,272,441 |
7,500,000 | United States Treasury Notes, 1.750%, 7/31/2024 | 7,158,638 | |
20,000,000 | United States Treasury Notes, 1.875%, 2/28/2027 | 18,206,120 | |
9,500,000 | United States Treasury Notes, 2.000%, 5/31/2024 | 9,142,088 | |
425,000 | United States Treasury Notes, 2.625%, 4/15/2025 | 406,609 | |
31,150,000 | United States Treasury Notes, 2.750%, 4/30/2027 | 29,308,319 | |
5,000,000 | United States Treasury Notes, 2.750%, 7/31/2027 | 4,695,370 | |
3,000,000 | United States Treasury Notes, 2.875%, 11/30/2023 | 2,950,646 | |
55,000,000 | United States Treasury Notes, 3.125%, 8/31/2027 | 52,469,455 | |
3,000,000 | United States Treasury Notes, 3.500%, 9/15/2025 | 2,920,544 | |
35,000,000 | United States Treasury Notes, 3.500%, 1/31/2028 | 33,922,598 | |
12,500,000 | United States Treasury Notes, 3.875%, 11/30/2027 | 12,316,294 | |
10,000,000 | United States Treasury Notes, 4.000%, 12/15/2025 | 9,864,904 | |
32,000,000 | United States Treasury Notes, 4.125%, 9/30/2027 | 31,819,606 | |
25,000,000 | United States Treasury Notes, 4.250%, 9/30/2024 | 24,713,267 |
Principal Amount or Shares | Value | ||
U.S. TREASURIES— continued | |||
U.S. Treasury Notes— continued | |||
$ 5,000,000 | United States Treasury Notes, 4.250%, 10/15/2025 | $ 4,956,628 | |
TOTAL U.S. TREASURIES (IDENTIFIED COST $673,403,473) | 626,658,391 | ||
CORPORATE BONDS— 29.5% | |||
Basic Industry - Metals & Mining— 0.2% | |||
2,493,000 | Glencore Funding LLC, Sr. Unsecd. Note, 144A, 1.625%, 9/1/2025 | 2,267,508 | |
Capital Goods - Aerospace & Defense— 1.3% | |||
1,000,000 | Boeing Co., Sr. Unsecd. Note, 1.875%, 6/15/2023 | 989,263 | |
1,705,000 | Boeing Co., Sr. Unsecd. Note, 1.950%, 2/1/2024 | 1,647,083 | |
2,000,000 | Boeing Co., Sr. Unsecd. Note, 2.196%, 2/4/2026 | 1,817,197 | |
2,000,000 | Boeing Co., Sr. Unsecd. Note, 4.508%, 5/1/2023 | 1,997,230 | |
2,480,000 | Huntington Ingalls Industries, Inc., Sr. Unsecd. Note, 0.670%, 8/16/2023 | 2,425,880 | |
1,000,000 | Leidos, Inc., Sr. Unsecd. Note, Series WI, 2.950%, 5/15/2023 | 994,838 | |
905,000 | Leidos, Inc., Sr. Unsecd. Note, Series WI, 3.625%, 5/15/2025 | 870,778 | |
1,500,000 | Northrop Grumman Corp., Sr. Unsecd. Note, 2.930%, 1/15/2025 | 1,436,642 | |
5,000,000 | Teledyne Technologies, Inc., Sr. Unsecd. Note, 1.600%, 4/1/2026 | 4,469,261 | |
40,000 | 2 | Textron Financial Corp., Jr. Sub. Note, 144A, 6.598% (3-month USLIBOR +1.735%), 2/15/2042 | 31,400 |
TOTAL | 16,679,572 | ||
Capital Goods - Building Materials— 0.1% | |||
1,500,000 | Allegion US Holdings Co., Inc., Sr. Unsecd. Note, 3.200%, 10/1/2024 | 1,440,889 | |
Capital Goods - Construction Machinery— 0.8% | |||
2,000,000 | CNH Industrial Capital America LLC, Sr. Unsecd. Note, 1.450%, 7/15/2026 | 1,769,938 | |
2,000,000 | CNH Industrial Capital America LLC, Sr. Unsecd. Note, 1.875%, 1/15/2026 | 1,820,995 | |
1,575,000 | CNH Industrial Capital America LLC, Sr. Unsecd. Note, 1.950%, 7/2/2023 | 1,556,283 | |
560,000 | Deere & Co., Sr. Unsecd. Note, 2.750%, 4/15/2025 | 534,347 | |
5,385,000 | Weir Group PLC/The, Sr. Unsecd. Note, 144A, 2.200%, 5/13/2026 | 4,719,215 | |
TOTAL | 10,400,778 | ||
Capital Goods - Diversified Manufacturing— 0.6% | |||
415,000 | Lennox International, Inc., Sr. Unsecd. Note, 3.000%, 11/15/2023 | 407,875 | |
3,410,000 | Roper Technologies, Inc., Sr. Unsecd. Note, 1.000%, 9/15/2025 | 3,073,785 | |
3,335,000 | Vontier Corp., Sr. Unsecd. Note, Series WI, 1.800%, 4/1/2026 | 2,910,638 | |
790,000 | Wabtec Corp., Sr. Unsecd. Note, 3.200%, 6/15/2025 | 744,072 | |
TOTAL | 7,136,370 | ||
Communications - Cable & Satellite— 0.2% | |||
2,000,000 | Comcast Corp., Sr. Unsecd. Note, 3.700%, 4/15/2024 | 1,964,538 |
Principal Amount or Shares | Value | ||
CORPORATE BONDS— continued | |||
Communications - Cable & Satellite— continued | |||
$ 590,000 | Comcast Corp., Sr. Unsecd. Note, 5.350%, 11/15/2027 | $ 598,893 | |
TOTAL | 2,563,431 | ||
Communications - Media & Entertainment— 0.6% | |||
5,000,000 | Netflix, Inc., Sr. Unsecd. Note, 4.375%, 11/15/2026 | 4,827,425 | |
444,000 | Paramount Global, Sr. Unsecd. Note, 4.750%, 5/15/2025 | 435,263 | |
1,000,000 | Walt Disney Co., Sr. Unsecd. Note, 1.750%, 1/13/2026 | 913,858 | |
195,000 | Walt Disney Co., Sr. Unsecd. Note, 4.000%, 10/1/2023 | 193,490 | |
750,000 | Walt Disney Co., Sr. Unsecd. Note, Series MTN, 1.850%, 7/30/2026 | 675,960 | |
TOTAL | 7,045,996 | ||
Communications - Telecom Wireless— 1.0% | |||
1,055,000 | American Tower Corp., Sr. Unsecd. Note, 2.400%, 3/15/2025 | 990,734 | |
1,000,000 | American Tower Corp., Sr. Unsecd. Note, 3.375%, 5/15/2024 | 973,549 | |
2,500,000 | Bell Canada, Sr. Unsecd. Note, Series US-3, 0.750%, 3/17/2024 | 2,390,027 | |
1,000,000 | Crown Castle, Inc., 3.150%, 7/15/2023 | 992,169 | |
1,000,000 | Crown Castle International Corp., Sr. Unsecd. Note, 3.200%, 9/1/2024 | 966,324 | |
3,500,000 | T-Mobile USA, Inc., Series WI, 1.500%, 2/15/2026 | 3,134,730 | |
1,000,000 | T-Mobile USA, Inc., Series WI, 3.500%, 4/15/2025 | 958,089 | |
2,000,000 | 2 | Vodafone Group PLC, Sr. Unsecd. Note, 5.782% (3-month USLIBOR +0.990%), 1/16/2024 | 2,011,268 |
TOTAL | 12,416,890 | ||
Communications - Telecom Wirelines— 0.5% | |||
5,100,000 | Rogers Communications, Inc., Sr. Unsecd. Note, 144A, 3.200%, 3/15/2027 | 4,690,949 | |
2,071,000 | Verizon Communications, Inc., Sr. Unsecd. Note, 0.850%, 11/20/2025 | 1,848,991 | |
TOTAL | 6,539,940 | ||
Consumer Cyclical - Automotive— 1.8% | |||
2,510,000 | Daimler Trucks Financial NA, Sr. Unsecd. Note, 144A, 2.000%, 12/14/2026 | 2,221,712 | |
3,000,000 | Ford Motor Credit Co. LLC, Sr. Unsecd. Note, 6.950%, 3/6/2026 | 3,005,408 | |
550,000 | General Motors Co., Sr. Unsecd. Note, 6.125%, 10/1/2025 | 556,131 | |
1,000,000 | General Motors Financial Co., Inc., Sr. Unsecd. Note, 1.700%, 8/18/2023 | 981,343 | |
400,000 | General Motors Financial Co., Inc., Sr. Unsecd. Note, 4.150%, 6/19/2023 | 398,504 | |
5,175,000 | Mercedes-Benz NA LLC, Sr. Unsub., 144A, 1.450%, 3/2/2026 | 4,645,868 | |
4,000,000 | Stellantis Finance US, Inc., Sr. Unsecd. Note, 144A, 5.625%, 1/12/2028 | 4,020,544 | |
3,000,000 | Stellantis N.V., Sr. Unsecd. Note, 5.250%, 4/15/2023 | 2,995,425 | |
4,000,000 | Volkswagen Group of America Finance LLC, Sr. Unsecd. Note, 144A, 1.250%, 11/24/2025 | 3,583,488 | |
1,000,000 | Volkswagen Group of America Finance LLC, Sr. Unsecd. Note, 144A, 3.350%, 5/13/2025 | 958,919 | |
TOTAL | 23,367,342 |
Principal Amount or Shares | Value | ||
CORPORATE BONDS— continued | |||
Consumer Cyclical - Retailers— 0.0% | |||
$ 500,000 | CVS Health Corp., Sr. Unsecd. Note, 2.625%, 8/15/2024 | $ 481,825 | |
Consumer Non-Cyclical - Food/Beverage— 1.4% | |||
2,000,000 | 2 | Anheuser-Busch InBev Worldwide, Inc., Sr. Unsecd. Note, Series 5FRN, 5.546% (3-month USLIBOR +0.740%), 1/12/2024 | 2,005,039 |
4,725,000 | International Flavors & Fragrances, Inc., Sr. Unsecd. Note, 144A, 1.230%, 10/1/2025 | 4,186,869 | |
1,400,000 | JDE Peet’s B.V., Sr. Unsecd. Note, 144A, 0.800%, 9/24/2024 | 1,289,356 | |
9,100,000 | Kerry Group Financial Services, Sr. Unsecd. Note, 144A, 3.200%, 4/9/2023 | 9,076,127 | |
1,000,000 | McCormick & Co., Inc., Sr. Unsecd. Note, 3.150%, 8/15/2024 | 966,655 | |
TOTAL | 17,524,046 | ||
Consumer Non-Cyclical - Health Care— 0.8% | |||
4,000,000 | Becton Dickinson & Co., Sr. Unsecd. Note, 3.363%, 6/6/2024 | 3,898,913 | |
3,000,000 | GE Healthcare Holding LLC, Sr. Unsecd. Note, 144A, 5.650%, 11/15/2027 | 3,041,994 | |
2,215,000 | PerkinElmer, Inc., Sr. Unsecd. Note, 0.850%, 9/15/2024 | 2,061,822 | |
1,225,000 | Stryker Corp., Sr. Unsecd. Note, 0.600%, 12/1/2023 | 1,182,984 | |
TOTAL | 10,185,713 | ||
Consumer Non-Cyclical - Pharmaceuticals— 1.3% | |||
3,720,000 | Abbott Laboratories, Sr. Unsecd. Note, 3.400%, 11/30/2023 | 3,677,220 | |
1,000,000 | AbbVie, Inc., Sr. Unsecd. Note, 2.850%, 5/14/2023 | 995,698 | |
2,000,000 | AbbVie, Inc., Sr. Unsecd. Note, 3.600%, 5/14/2025 | 1,925,212 | |
2,500,000 | AbbVie, Inc., Sr. Unsecd. Note, 3.800%, 3/15/2025 | 2,425,977 | |
3,250,000 | Amgen, Inc., Sr. Unsecd. Note, 5.150%, 3/2/2028 | 3,238,142 | |
1,000,000 | Bayer US Finance II LLC, Sr. Unsecd. Note, 144A, 3.875%, 12/15/2023 | 986,716 | |
246,000 | Bristol-Myers Squibb Co., Sr. Unsecd. Note, Series WI, 2.900%, 7/26/2024 | 238,524 | |
1,500,000 | Merck & Co., Inc., Sr. Unsecd. Note, 0.750%, 2/24/2026 | 1,327,935 | |
1,800,000 | Shire Acquisitions Investments Ireland DAC, Sr. Unsecd. Note, 2.875%, 9/23/2023 | 1,773,603 | |
TOTAL | 16,589,027 | ||
Consumer Non-Cyclical - Tobacco— 0.5% | |||
365,000 | Altria Group, Inc., Sr. Unsecd. Note, 3.800%, 2/14/2024 | 358,959 | |
750,000 | BAT Capital Corp., Sr. Unsecd. Note, 2.789%, 9/6/2024 | 719,205 | |
1,000,000 | BAT Capital Corp., Sr. Unsecd. Note, 3.222%, 8/15/2024 | 964,235 | |
1,400,000 | BAT International Finance PLC, Sr. Unsecd. Note, 1.668%, 3/25/2026 | 1,244,051 | |
1,000,000 | Philip Morris International, Inc., Sr. Unsecd. Note, 1.500%, 5/1/2025 | 925,489 | |
2,000,000 | Philip Morris International, Inc., Sr. Unsecd. Note, 5.125%, 11/17/2027 | 1,991,889 | |
TOTAL | 6,203,828 | ||
Energy - Integrated— 0.0% | |||
500,000 | Chevron Corp., Sr. Unsecd. Note, 1.141%, 5/11/2023 | 496,234 |
Principal Amount or Shares | Value | ||
CORPORATE BONDS— continued | |||
Energy - Midstream— 0.8% | |||
$ 255,000 | Eastern Energy Gas Holdings, Sr. Unsecd. Note, Series A, 2.500%, 11/15/2024 | $ 243,445 | |
910,000 | Energy Transfer LP, Sr. Unsecd. Note, 5.550%, 2/15/2028 | 907,343 | |
500,000 | Energy Transfer Partners LP, Sr. Unsecd. Note, 2.900%, 5/15/2025 | 472,070 | |
150,000 | Energy Transfer Partners LP, Sr. Unsecd. Note, 4.900%, 2/1/2024 | 148,861 | |
1,000,000 | Enterprise Products Operating LLC, 3.900%, 2/15/2024 | 984,754 | |
2,437,000 | Enterprise Products Operating LLC, Sr. Unsecd. Note, 3.350%, 3/15/2023 | 2,435,265 | |
2,000,000 | Kinder Morgan Energy Partners LP, Sr. Unsecd. Note, 4.150%, 2/1/2024 | 1,973,495 | |
500,000 | Kinder Morgan Energy Partners LP, Sr. Unsecd. Note, 4.300%, 5/1/2024 | 493,000 | |
1,165,000 | MPLX LP, Sr. Unsecd. Note, 1.750%, 3/1/2026 | 1,042,427 | |
2,000,000 | Oneok Partners LP, Sr. Unsecd. Note, 4.900%, 3/15/2025 | 1,973,320 | |
TOTAL | 10,673,980 | ||
Energy - Oil Field Services— 0.2% | |||
2,000,000 | Sunoco Logistics Partners LP, Sr. Unsecd. Note, 3.900%, 7/15/2026 | 1,889,134 | |
Energy - Refining— 0.6% | |||
2,000,000 | Marathon Petroleum Corp., Sr. Unsecd. Note, 4.700%, 5/1/2025 | 1,972,453 | |
1,845,000 | Phillips 66, Sr. Unsecd. Note, 1.300%, 2/15/2026 | 1,645,605 | |
2,000,000 | Valero Energy Corp., Sr. Unsecd. Note, 1.200%, 3/15/2024 | 1,919,124 | |
2,270,000 | Valero Energy Corp., Sr. Unsecd. Note, 2.850%, 4/15/2025 | 2,152,073 | |
TOTAL | 7,689,255 | ||
Financial Institution - Banking— 7.2% | |||
1,000,000 | American Express Co., Sr. Unsecd. Note, 3.400%, 2/22/2024 | 979,689 | |
910,000 | American Express Co., Sr. Unsecd. Note, 5.850%, 11/5/2027 | 937,311 | |
1,000,000 | Associated Banc-Corp., Sub. Note, 4.250%, 1/15/2025 | 970,414 | |
1,000,000 | Bank of America Corp., 3.550%, 3/5/2024 | 999,872 | |
2,000,000 | Bank of America Corp., Sr. Unsecd. Note, 5.080%, 1/20/2027 | 1,979,657 | |
2,000,000 | Bank of America Corp., Sr. Unsecd. Note, Series MTN, 0.981%, 9/25/2025 | 1,856,873 | |
2,000,000 | Bank of America Corp., Sr. Unsecd. Note, Series MTN, 1.197%, 10/24/2026 | 1,780,737 | |
1,000,000 | Bank of America Corp., Sr. Unsecd. Note, Series MTN, 1.319%, 6/19/2026 | 907,532 | |
3,500,000 | Bank of America Corp., Sr. Unsecd. Note, Series MTN, 2.456%, 10/22/2025 | 3,323,026 | |
1,500,000 | 2 | Bank of America Corp., Sr. Unsecd. Note, Series MTN, 5.555% (3-month USLIBOR +0.790%), 3/5/2024 | 1,500,001 |
1,500,000 | Bank of America Corp., Sub. Note, Series MTN, 4.000%, 1/22/2025 | 1,462,057 | |
3,000,000 | Bank of New York Mellon Corp., Sr. Unsecd. Note, Series MTN, 1.600%, 4/24/2025 | 2,782,752 | |
2,000,000 | Citigroup, Inc., Sr. Unsecd. Note, 1.462%, 6/9/2027 | 1,749,252 |
Principal Amount or Shares | Value | ||
CORPORATE BONDS— continued | |||
Financial Institution - Banking— continued | |||
$ 2,500,000 | Citigroup, Inc., Sr. Unsecd. Note, 1.678%, 5/15/2024 | $ 2,479,404 | |
1,855,000 | Citigroup, Inc., Sr. Unsecd. Note, 3.352%, 4/24/2025 | 1,805,428 | |
4,290,000 | 2 | Citigroup, Inc., Sr. Unsecd. Note, 5.977% (3-month USLIBOR +1.100%), 5/17/2024 | 4,297,229 |
2,000,000 | Citizens Bank, N.A., Providence, Sr. Unsecd. Note, 6.064%, 10/24/2025 | 2,012,030 | |
500,000 | Citizens Bank, N.A., Providence, Sr. Unsecd. Note, Series BKNT, 2.250%, 4/28/2025 | 467,575 | |
500,000 | Fifth Third Bancorp, Sr. Unsecd. Note, 2.375%, 1/28/2025 | 472,391 | |
655,000 | Fifth Third Bancorp, Sr. Unsecd. Note, 3.650%, 1/25/2024 | 645,824 | |
2,000,000 | Fifth Third Bancorp, Sr. Unsecd. Note, 6.361%, 10/27/2028 | 2,061,450 | |
1,990,000 | FNB Corp. (PA), Sr. Unsecd. Note, 5.150%, 8/25/2025 | 1,965,857 | |
500,000 | Goldman Sachs Group, Inc., Sr. Unsecd. Note, 3.272%, 9/29/2025 | 480,913 | |
1,000,000 | Goldman Sachs Group, Inc., Sr. Unsecd. Note, 3.500%, 11/16/2026 | 939,380 | |
2,000,000 | Goldman Sachs Group, Inc., Sr. Unsecd. Note, 3.500%, 1/23/2025 | 1,933,466 | |
1,500,000 | Goldman Sachs Group, Inc., Sr. Unsecd. Note, 3.625%, 2/20/2024 | 1,473,457 | |
2,010,000 | Goldman Sachs Group, Inc., Sr. Unsecd. Note, 5.700%, 11/1/2024 | 2,022,752 | |
1,000,000 | 2 | Goldman Sachs Group, Inc., Sr. Unsecd. Note, Series MTN, 6.553% (3-month USLIBOR +1.600%), 11/29/2023 | 1,008,909 |
775,000 | Goldman Sachs Group, Inc., Sr. Unsecd. Note, Series VAR, 1.093%, 12/9/2026 | 682,574 | |
1,000,000 | Huntington Bancshares, Inc., Sr. Unsecd. Note, 2.625%, 8/6/2024 | 962,073 | |
1,000,000 | Huntington National Bank, Sr. Unsecd. Note, Series BKNT, 3.550%, 10/6/2023 | 990,012 | |
2,000,000 | JPMorgan Chase & Co., Sr. Unsecd. Note, 1.045%, 11/19/2026 | 1,772,294 | |
3,000,000 | JPMorgan Chase & Co., Sr. Unsecd. Note, 2.005%, 3/13/2026 | 2,791,657 | |
2,000,000 | JPMorgan Chase & Co., Sr. Unsecd. Note, 3.125%, 1/23/2025 | 1,927,847 | |
2,500,000 | JPMorgan Chase & Co., Sr. Unsecd. Note, 3.559%, 4/23/2024 | 2,491,837 | |
1,000,000 | JPMorgan Chase & Co., Sr. Unsecd. Note, 3.625%, 5/13/2024 | 982,330 | |
725,000 | JPMorgan Chase & Co., Sub. Note, 3.375%, 5/1/2023 | 722,890 | |
3,000,000 | Manufacturers & Traders Trust Co., Sr. Unsecd. Note, 4.700%, 1/27/2028 | 2,913,130 | |
5,500,000 | Morgan Stanley, Sr. Unsecd. Note, 0.985%, 12/10/2026 | 4,840,681 | |
640,000 | Morgan Stanley, Sr. Unsecd. Note, 5.050%, 1/28/2027 | 632,917 | |
2,000,000 | Morgan Stanley, Sr. Unsecd. Note, Series I, 0.864%, 10/21/2025 | 1,843,155 | |
2,000,000 | Morgan Stanley, Sr. Unsecd. Note, Series MTN, 2.720%, 7/22/2025 | 1,918,520 | |
500,000 | Morgan Stanley, Sub. Note, Series MTN, 4.100%, 5/22/2023 | 498,909 | |
3,000,000 | PNC Financial Services Group, Inc., Sr. Unsecd. Note, 2.200%, 11/1/2024 | 2,863,815 | |
1,000,000 | PNC Financial Services Group, Inc., Sr. Unsecd. Note, 3.500%, 1/23/2024 | 984,544 | |
1,500,000 | PNC Financial Services Group, Inc., Sr. Unsecd. Note, 5.671%, 10/28/2025 | 1,506,375 |
Principal Amount or Shares | Value | ||
CORPORATE BONDS— continued | |||
Financial Institution - Banking— continued | |||
$ 2,330,000 | Regions Financial Corp., Sr. Unsecd. Note, 2.250%, 5/18/2025 | $ 2,178,804 | |
1,250,000 | Truist Bank, Sr. Unsecd. Note, Series BKNT, 1.500%, 3/10/2025 | 1,161,160 | |
2,500,000 | Truist Financial Corp., Sr. Unsecd. Note, Series MTN, 1.200%, 8/5/2025 | 2,275,262 | |
2,500,000 | Truist Financial Corp., Sr. Unsecd. Note, Series MTN, 1.267%, 3/2/2027 | 2,225,925 | |
2,520,000 | US Bancorp, Sr. Unsecd. Note, 1.450%, 5/12/2025 | 2,326,178 | |
2,500,000 | US Bancorp, Sr. Unsecd. Note, 2.400%, 7/30/2024 | 2,402,305 | |
1,000,000 | Wells Fargo & Co., Sr. Unsecd. Note, Series MTN, 3.000%, 2/19/2025 | 957,767 | |
1,000,000 | Wells Fargo & Co., Sr. Unsecd. Note, Series MTN, 3.750%, 1/24/2024 | 985,225 | |
TOTAL | 91,133,424 | ||
Financial Institution - Finance Companies— 0.5% | |||
4,435,000 | AerCap Ireland Capital Ltd. / AerCap Global Aviation Trust, Sr. Unsecd. Note, 1.750%, 1/30/2026 | 3,922,405 | |
1,665,000 | AerCap Ireland Capital Ltd. / AerCap Global Aviation Trust, Sr. Unsecd. Note, 2.450%, 10/29/2026 | 1,468,653 | |
1,455,000 | Air Lease Corp., Sr. Unsecd. Note, Series MTN, 0.700%, 2/15/2024 | 1,386,982 | |
TOTAL | 6,778,040 | ||
Financial Institution - Insurance - Health— 0.8% | |||
2,900,000 | Centene Corp., Sr. Unsecd. Note, 2.450%, 7/15/2028 | 2,437,856 | |
271,000 | CIGNA Group, Sr. Unsecd. Note, 3.750%, 7/15/2023 | 269,151 | |
2,000,000 | 2 | CIGNA Group, Sr. Unsecd. Note, 5.682% (3-month USLIBOR +0.890%), 7/15/2023 | 2,003,567 |
3,000,000 | Elevance Health, Inc., Sr. Unsecd. Note, 1.500%, 3/15/2026 | 2,684,246 | |
300,000 | Elevance Health, Inc., Sr. Unsecd. Note, 5.350%, 10/15/2025 | 300,398 | |
2,000,000 | UnitedHealth Group, Inc., Sr. Unsecd. Note, 5.250%, 2/15/2028 | 2,028,220 | |
TOTAL | 9,723,438 | ||
Financial Institution - Insurance - Life— 1.7% | |||
1,000,000 | AIA Group Ltd., Sr. Unsecd. Note, 144A, 3.200%, 3/11/2025 | 959,042 | |
3,000,000 | AIA Group Ltd., Sr. Unsecd. Note, 144A, 5.625%, 10/25/2027 | 3,071,915 | |
1,000,000 | AIG Global Funding, Sr. Secd. Note, 144A, 0.450%, 12/8/2023 | 963,478 | |
2,500,000 | Met Life Global Funding I, Sec. Fac. Bond, 144A, 0.400%, 1/7/2024 | 2,397,439 | |
1,110,000 | Met Life Global Funding I, Sec. Fac. Bond, 144A, 0.900%, 6/8/2023 | 1,097,008 | |
4,415,000 | Northwestern Mutual Global, Sr. Secd. Note, 144A, 0.800%, 1/14/2026 | 3,916,742 | |
2,500,000 | Pacific Life Global Funding II, Sec. Fac. Bond, 144A, 1.200%, 6/24/2025 | 2,263,296 | |
2,500,000 | PRICOA Global Funding I, Sec. Fac. Bond, 144A, 0.800%, 9/1/2025 | 2,237,705 | |
1,000,000 | PRICOA Global Funding I, Sec. Fac. Bond, 144A, 3.450%, 9/1/2023 | 990,555 | |
1,035,000 | Principal Life Global Funding II, Sec. Fac. Bond, 144A, 0.500%, 1/8/2024 | 993,348 | |
2,000,000 | Principal Life Global Funding II, Sec. Fac. Bond, 144A, 1.250%, 6/23/2025 | 1,815,479 |
Principal Amount or Shares | Value | ||
CORPORATE BONDS— continued | |||
Financial Institution - Insurance - Life— continued | |||
$ 1,000,000 | Principal Life Global Funding II, Sec. Fac. Bond, 144A, 2.250%, 11/21/2024 | $ 945,379 | |
TOTAL | 21,651,386 | ||
Financial Institution - Insurance - P&C— 0.0% | |||
500,000 | Liberty Mutual Group, Inc., Sr. Unsecd. Note, 144A, 4.250%, 6/15/2023 | 497,763 | |
Financial Institution - REIT - Other— 0.0% | |||
300,000 | WP Carey, Inc., Sr. Unsecd. Note, 4.600%, 4/1/2024 | 296,303 | |
Technology— 1.3% | |||
2,000,000 | 3 | Apple, Inc., Sr. Unsecd. Note, 0.550%, 8/20/2025 | 1,803,857 |
1,000,000 | Apple, Inc., Sr. Unsecd. Note, 1.125%, 5/11/2025 | 923,850 | |
700,000 | Apple, Inc., Sr. Unsecd. Note, 3.000%, 2/9/2024 | 686,029 | |
2,000,000 | Broadcom Corp., Sr. Unsecd. Note, Series WI, 3.625%, 1/15/2024 | 1,970,643 | |
835,000 | Broadcom, Inc., Sr. Unsecd. Note, 2.250%, 11/15/2023 | 816,800 | |
1,000,000 | Broadcom, Inc., Sr. Unsecd. Note, 3.150%, 11/15/2025 | 942,105 | |
2,520,000 | CDW LLC / CDW Finance, Sr. Unsecd. Note, 2.670%, 12/1/2026 | 2,240,549 | |
750,000 | Dell International LLC / EMC Corp., Sr. Unsecd. Note, 4.000%, 7/15/2024 | 735,173 | |
2,000,000 | Oracle Corp., Sr. Unsecd. Note, 1.650%, 3/25/2026 | 1,788,410 | |
1,855,000 | Oracle Corp., Sr. Unsecd. Note, 2.500%, 4/1/2025 | 1,749,479 | |
560,000 | Salesforce, Inc., Sr. Unsecd. Note, 3.250%, 4/11/2023 | 558,818 | |
535,000 | Skyworks Solutions, Inc., Sr. Unsecd. Note, 1.800%, 6/1/2026 | 471,216 | |
2,660,000 | VMware, Inc., Sr. Unsecd. Note, 1.400%, 8/15/2026 | 2,298,221 | |
TOTAL | 16,985,150 | ||
Technology Services— 0.3% | |||
4,130,000 | Fortinet, Inc., Sr. Unsecd. Note, 1.000%, 3/15/2026 | 3,620,457 | |
Transportation - Airlines— 0.1% | |||
770,000 | Southwest Airlines Co., Sr. Unsecd. Note, 5.250%, 5/4/2025 | 767,185 | |
Transportation - Services— 0.5% | |||
5,555,000 | GXO Logistics, Inc., Sr. Unsecd. Note, Series WI, 1.650%, 7/15/2026 | 4,774,081 | |
1,735,000 | Ryder System, Inc., Sr. Unsecd. Note, Series MTN, 1.750%, 9/1/2026 | 1,533,746 | |
TOTAL | 6,307,827 | ||
Utility - Electric— 3.7% | |||
430,000 | American Electric Power Co., Inc., Sr. Unsecd. Note, 5.750%, 11/1/2027 | 440,069 | |
790,000 | American Electric Power Co., Inc., Sr. Unsecd. Note, Series N, 1.000%, 11/1/2025 | 704,156 | |
3,155,000 | Black Hills Corp., Sr. Unsecd. Note, 1.037%, 8/23/2024 | 2,949,685 | |
2,180,000 | Constellation Energy Generation LLC, Sr. Unsecd. Note, 3.250%, 6/1/2025 | 2,073,512 | |
610,000 | Dominion Energy, Inc., Jr. Sub. Note, 3.071%, 8/15/2024 | 588,560 | |
2,000,000 | Dominion Energy, Inc., Sr. Unsecd. Note, Series A, 3.300%, 3/15/2025 | 1,913,216 |
Principal Amount or Shares | Value | ||
CORPORATE BONDS— continued | |||
Utility - Electric— continued | |||
$ 2,000,000 | Duke Energy Corp., Sr. Unsecd. Note, 3.750%, 4/15/2024 | $ 1,963,493 | |
860,000 | Duke Energy Corp., Sr. Unsecd. Note, 5.000%, 12/8/2027 | 854,031 | |
1,915,000 | Emera US Finance LP, Sr. Unsecd. Note, 0.833%, 6/15/2024 | 1,797,550 | |
2,665,000 | Enel Finance International NV, Sr. Unsecd. Note, 144A, 1.375%, 7/12/2026 | 2,314,176 | |
1,000,000 | Enel Finance International NV, Sr. Unsecd. Note, 144A, 2.650%, 9/10/2024 | 955,306 | |
1,670,000 | Enel Finance International NV, Sr. Unsecd. Note, 144A, 6.800%, 10/14/2025 | 1,713,100 | |
5,000,000 | EverSource Energy, Sr. Unsecd. Note, Series Q, 0.800%, 8/15/2025 | 4,456,637 | |
5,000,000 | Fells Point Funding Trust, Sr. Unsecd. Note, 3.046%, 1/31/2027 | 4,559,027 | |
245,000 | FirstEnergy Corp., Sr. Unsecd. Note, Series A, 1.600%, 1/15/2026 | 218,647 | |
1,445,000 | Florida Power & Light Co., Sec. Fac. Bond, 2.850%, 4/1/2025 | 1,384,064 | |
460,000 | National Rural Utilities Cooperative Finance Corp., Sr. Unsecd. Note, 2.950%, 2/7/2024 | 449,574 | |
2,500,000 | National Rural Utilities Cooperative Finance Corp., Sr. Unsecd. Note, 5.450%, 10/30/2025 | 2,510,420 | |
910,000 | NextEra Energy Capital Holdings, Inc., Sr. Unsecd. Note, 6.051%, 3/1/2025 | 916,027 | |
2,095,000 | OGE Energy Corp., Sr. Unsecd. Note, 0.703%, 5/26/2023 | 2,072,205 | |
2,695,000 | Oncor Electric Delivery Co. LLC, Sr. Unsecd. Note, Series WI, 0.550%, 10/1/2025 | 2,406,782 | |
4,080,000 | Public Service Enterprises Group, Inc., Sr. Unsecd. Note, 0.800%, 8/15/2025 | 3,649,574 | |
365,000 | Public Service Enterprises Group, Inc., Sr. Unsecd. Note, 2.875%, 6/15/2024 | 352,501 | |
1,000,000 | Southern Co., Sr. Unsecd. Note, 2.950%, 7/1/2023 | 991,763 | |
3,000,000 | WEC Energy Group, Inc., Sr. Unsecd. Note, 4.750%, 1/15/2028 | 2,941,639 | |
1,160,000 | Xcel Energy, Inc., Sr. Unsecd. Note, 0.500%, 10/15/2023 | 1,126,160 | |
TOTAL | 46,301,874 | ||
Utility - Natural Gas— 0.6% | |||
1,500,000 | Enbridge, Inc., Sr. Unsecd. Note, 2.500%, 1/15/2025 | 1,419,003 | |
840,000 | National Fuel Gas Co., Sr. Unsecd. Note, 3.750%, 3/1/2023 | 840,000 | |
1,985,000 | National Fuel Gas Co., Sr. Unsecd. Note, 5.500%, 1/15/2026 | 1,978,076 | |
3,379,000 | ONE Gas, Inc., Sr. Unsecd. Note, 1.100%, 3/11/2024 | 3,232,189 | |
TOTAL | 7,469,268 | ||
Utility - Natural Gas Distributor— 0.1% | |||
1,700,000 | The East Ohio Gas Company, Sr. Unsecd. Note, 144A, 1.300%, 6/15/2025 | 1,535,623 | |
TOTAL CORPORATE BONDS (IDENTIFIED COST $398,930,449) | 374,659,496 |
Principal Amount or Shares | Value | ||
ASSET-BACKED SECURITIES— 2.8% | |||
Auto Receivables— 1.5% | |||
$ 53,834 | AmeriCredit Automobile Receivables Trust 2020-2, Class A3, 0.660%, 12/18/2024 | $ 53,716 | |
1,167,895 | AmeriCredit Automobile Receivables Trust 2020-3, Class A3, 0.530%, 6/18/2025 | 1,153,826 | |
582,006 | BMW Vehicle Owner Trust 2020-A, Class A3, 0.480%, 10/25/2024 | 575,126 | |
3,200,000 | General Motors 2020-1, Class A, 0.680%, 8/15/2025 | 3,134,005 | |
4,650,000 | General Motors 2020-2, Class A, 0.690%, 10/15/2025 | 4,515,756 | |
1,214,062 | Hyundai Auto Receivables Trust 2020-C, Class A3, 0.380%, 5/15/2025 | 1,183,751 | |
442,766 | Nissan Auto Receivables Owner Trust 2020-A, Class A3, 1.380%, 12/16/2024 | 437,529 | |
1,700,169 | Toyota Auto Receivables Owner Trust 2019-B, Class A4, 2.600%, 11/15/2024 | 1,695,926 | |
203,448 | Toyota Auto Receivables Owner Trust 2020-B, Class A3, 1.360%, 8/15/2024 | 201,736 | |
754,589 | Volkswagen Auto Lease Trust 2020-A, Class A3, 0.390%, 1/22/2024 | 752,467 | |
1,163,181 | World Omni Auto Receivables Trust 2019-B, Class A4, 2.640%, 6/16/2025 | 1,158,027 | |
362,772 | World Omni Auto Receivables Trust 2020-B, Class A3, 0.630%, 5/15/2025 | 356,909 | |
4,060,083 | World Omni Auto Receivables Trust 2020-C, Class A3, 0.480%, 11/17/2025 | 3,949,160 | |
TOTAL | 19,167,934 | ||
Communications - Telecom Wireless— 0.2% | |||
2,745,067 | Verizon Owner Trust 2020-C, Class A, 0.410%, 4/21/2025 | 2,708,742 | |
Credit Card— 0.2% | |||
2,000,000 | Master Credit Card Trust 2020-1A, Class A, 1.990%, 9/21/2024 | 1,996,820 | |
Equipment Lease— 0.5% | |||
648,287 | Dell Equipment Finance Trust 2020-2, Class A3, 0.570%, 10/23/2023 | 645,342 | |
119,496 | Kubota Credit Owner Trust 2020-1A, Class A3, 1.960%, 3/15/2024 | 118,991 | |
1,875,000 | MMAF Equipment Finance LLC 2020-A, Class A3, 0.970%, 4/9/2027 | 1,750,903 | |
4,691,386 | MMAF Equipment Finance LLC 2020-BA, Class A3, 0.490%, 8/14/2025 | 4,525,392 | |
TOTAL | 7,040,628 | ||
Other— 0.2% | |||
2,125,000 | PFS Financing Corp. 2020-G, Class A, 0.970%, 2/15/2026 | 2,035,589 | |
Student Loans— 0.2% | |||
1,126,045 | Navient Student Loan Trust 2020-GA, Class A, 1.170%, 9/16/2069 | 1,001,075 | |
1,320,785 | Navient Student Loan Trust 2020-HA, Class A, 1.310%, 1/15/2069 | 1,203,993 | |
TOTAL | 2,205,068 | ||
TOTAL ASSET-BACKED SECURITIES (IDENTIFIED COST $36,200,578) | 35,154,781 |
Principal Amount or Shares | Value | ||
COLLATERALIZED MORTGAGE OBLIGATIONS— 0.7% | |||
Commercial Mortgage— 0.7% | |||
$ 1,618,597 | Benchmark Mortgage Trust 2019-B12, Class A2, 3.001%, 8/15/2052 | $ 1,559,931 | |
2,885,000 | Benchmark Mortgage Trust 2021-B26, Class A2, 1.957%, 6/15/2054 | 2,596,640 | |
1,300,000 | Citigroup Commercial Mortgage Trust 2013-GC11, Class B, 3.732%, 4/10/2046 | 1,295,131 | |
750,000 | Commercial Mortgage Trust 2013-CR8, Class B, 3.871%, 6/10/2046 | 716,572 | |
1,425,000 | GS Mortgage Securities Trust 2019-GC39, Class A2, 3.457%, 5/10/2052 | 1,379,338 | |
1,750,000 | GS Mortgage Securities Trust 2019-GC40, Class A2, 2.971%, 7/10/2052 | 1,681,555 | |
TOTAL | 9,229,167 | ||
Federal Home Loan Mortgage Corporation— 0.0% | |||
13,383 | 2 | FHLMC REMIC, Series 3397, Class FC, 5.188% (1-month USLIBOR +0.600%), 12/15/2037 | 13,330 |
TOTAL COLLATERALIZED MORTGAGE OBLIGATIONS (IDENTIFIED COST $10,029,311) | 9,242,497 | ||
MORTGAGE-BACKED SECURITIES— 0.1% | |||
Federal National Mortgage Association— 0.1% | |||
615,535 | FNMA, Pool AS2976, 4.000%, 8/1/2044 | 591,842 | |
305,095 | FNMA, Pool AW0029, 3.500%, 7/1/2044 | 284,581 | |
TOTAL MORTGAGE-BACKED SECURITIES (IDENTIFIED COST $961,627) | 876,423 | ||
INVESTMENT COMPANIES— 17.6% | |||
7,042,703 | Bank Loan Core Fund | 61,975,788 | |
4,124,537 | Emerging Markets Core Fund | 32,872,563 | |
23,250 | Federated Hermes Government Obligations Fund, Premier Shares, 4.44%4 | 23,250 | |
6,657,560 | Federated Hermes Institutional Prime Value Obligations Fund, Institutional Shares, 4.61%4 | 6,657,560 | |
6,570,885 | Mortgage Core Fund | 54,998,304 | |
7,652,765 | Project and Trade Finance Core Fund | 66,961,692 | |
TOTAL INVESTMENT COMPANIES (IDENTIFIED COST $226,715,072) | 223,489,157 | ||
TOTAL INVESTMENT IN SECURITIES—100.1% (IDENTIFIED COST $1,346,240,510)5 | 1,270,080,745 | ||
OTHER ASSETS AND LIABILITIES - NET—(0.1)%6 | (1,800,731) | ||
TOTAL NET ASSETS—100% | $1,268,280,014 |
Description | Number of Contracts | Notional Value | Expiration Date | Value and Unrealized (Depreciation) |
Long Futures: | ||||
United States Treasury Notes 2-Year Long Futures | 100 | $20,372,656 | June 2023 | $(63,842) |
United States Treasury Notes 5-Year Long Futures | 850 | $90,996,485 | June 2023 | $(157,582) |
NET UNREALIZED DEPRECIATION ON FUTURES CONTRACTS | $(221,424) |
Affiliates | Value as of 8/31/2022 | Purchases at Cost | Proceeds from Sales |
Bank Loan Core Fund | $113,901,124 | $3,199,637 | $(53,000,000) |
Emerging Markets Core Fund | $344,070 | $32,042,528 | $— |
Federated Hermes Government Obligations Fund, Premier Shares* | $— | $168,655,205 | $(168,631,955) |
Federated Hermes Institutional Prime Value Obligations Fund, Institutional Shares | $33,142,575 | $221,835,142 | $(248,321,363) |
Mortgage Core Fund | $40,428,133 | $54,924,965 | $(40,000,000) |
Project and Trade Finance Core Fund | $103,117,755 | $3,337,665 | $(40,000,000) |
TOTAL OF AFFILIATED TRANSACTIONS | $290,933,657 | $483,995,142 | $(549,953,318) |
Change in Unrealized Appreciation/ Depreciation | Net Realized Gain/ (Loss) | Value as of 2/28/2023 | Shares Held as of 2/28/2023 | Dividend Income |
$2,508,846 | $(4,633,819) | $61,975,788 | 7,042,703 | $3,199,637 |
$485,965 | $— | $32,872,563 | 4,124,537 | $540,683 |
$— | $— | $23,250 | 23,250 | $47,893 |
$297 | $909 | $6,657,560 | 6,657,560 | $160,145 |
$4,049,652 | $(4,404,446) | $54,998,304 | 6,570,885 | $920,872 |
$1,097,799 | $(591,527) | $66,961,692 | 7,652,765 | $3,337,664 |
$8,142,559 | $(9,628,883) | $223,489,157 | 32,071,700 | $8,206,894 |
* | All or a portion of the balance/activity for the fund relates to cash collateral received on securities lending transactions. |
1 | 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. |
2 | Floating/variable note with current rate and current maturity or next reset date shown. |
3 | All or a portion of these securities are temporarily on loan to unaffiliated broker/dealers. |
4 | 7-day net yield. |
5 | Also represents cost of investments for federal tax purposes. |
6 | Assets, other than investments in securities, less liabilities. See Statement of Assets and Liabilities. |
The following is a summary of the inputs used, as of February 28, 2023, 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 | |
Debt Securities: | ||||
U.S. Treasuries | $— | $626,658,391 | $— | $626,658,391 |
Corporate Bonds | — | 374,659,496 | — | 374,659,496 |
Asset-Backed Securities | — | 35,154,781 | — | 35,154,781 |
Collateralized Mortgage Obligations | — | 9,242,497 | — | 9,242,497 |
Mortgage-Backed Securities | — | 876,423 | — | 876,423 |
Investment Companies1 | 156,527,465 | — | — | 223,489,157 |
TOTAL SECURITIES | $156,527,465 | $1,046,591,588 | $— | $1,270,080,745 |
Other Financial Instruments:2 | ||||
Liabilities | $(221,424) | $— | $— | $(221,424) |
TOTAL OTHER FINANCIAL INSTRUMENTS | $(221,424) | $— | $— | $(221,424) |
1 | As permitted by U.S. generally accepted accounting principles (GAAP), an Investment Company valued at $66,961,692 is measured at fair value using the net asset value (NAV) per share practical expedient and has not been categorized in the chart above but is included in the Total column. The amount included herein is intended to permit reconciliation of the fair value classifications to the amounts presented on the Statements of Assets and Liabilities. The price of shares redeemed of Project and Trade Finance Core Fund may be determined as of the closing NAV of the fund up to twenty-four days after receipt of a shareholder redemption request. |
2 | Other financial instruments are futures contracts. |
The following acronym(s) are used throughout this portfolio: | ||
BKNT | —Bank Notes | |
FHLMC | —Federal Home Loan Mortgage Corporation | |
FNMA | —Federal National Mortgage Association | |
LIBOR | —London Interbank Offered Rate | |
MTN | —Medium Term Note | |
REIT | —Real Estate Investment Trust | |
REMIC | —Real Estate Mortgage Investment Conduit |
Six Months Ended (unaudited) 2/28/2023 | Year Ended August 31, | |||||
2022 | 2021 | 2020 | 2019 | 2018 | ||
Net Asset Value, Beginning of Period | $9.95 | $10.69 | $10.73 | $10.45 | $10.13 | $10.37 |
Income From Investment Operations: | ||||||
Net investment income (loss) | 0.10 | 0.13 | 0.11 | 0.18 | 0.22 | 0.191 |
Net realized and unrealized gain (loss) | (0.15) | (0.74) | (0.04) | 0.28 | 0.32 | (0.24) |
Total From Investment Operations | (0.05) | (0.61) | 0.07 | 0.46 | 0.54 | (0.05) |
Less Distributions: | ||||||
Distributions from net investment income | (0.10) | (0.13) | (0.11) | (0.18) | (0.22) | (0.19) |
Net Asset Value, End of Period | $9.80 | $9.95 | $10.69 | $10.73 | $10.45 | $10.13 |
Total Return2 | (0.51)% | (5.77)% | 0.68% | 4.41% | 5.35% | (0.44)% |
Ratios to Average Net Assets: | ||||||
Net expenses3 | 0.62%4 | 0.62% | 0.62% | 0.62% | 0.62% | 0.63% |
Net investment income | 2.01%4 | 1.24% | 1.06% | 1.18% | 2.10% | 1.89% |
Expense waiver/reimbursement5 | 0.08%4 | 0.07% | 0.08% | 0.20% | 0.17% | 0.15% |
Supplemental Data: | ||||||
Net assets, end of period (000 omitted) | $482,658 | $680,888 | $1,420,469 | $835,680 | $23,774 | $25,078 |
Portfolio turnover6 | 27% | 22% | 19% | 20% | 33% | 27% |
1 | Per share numbers have been calculated using the average shares method. |
2 | Based on net asset value, which does not reflect the sales charge, redemption fee or contingent deferred sales charge, if applicable. Total returns for periods of less than one year are not annualized. |
3 | Amount does not reflect net expenses incurred by investment companies in which the Fund may invest. |
4 | Computed on an annualized basis. |
5 | This expense decrease is reflected in both the net expense and the net investment income ratios shown above. Amount does not reflect expense waiver/reimbursement recorded by investment companies in which the Fund may invest. |
6 | Securities that mature are considered sales for purposes of this calculation. |
Six Months Ended (unaudited) 2/28/2023 | Year Ended August 31, | |||||
2022 | 2021 | 2020 | 2019 | 2018 | ||
Net Asset Value, Beginning of Period | $9.94 | $10.69 | $10.72 | $10.45 | $10.13 | $10.37 |
Income From Investment Operations: | ||||||
Net investment income (loss) | 0.11 | 0.15 | 0.14 | 0.20 | 0.24 | 0.221 |
Net realized and unrealized gain (loss) | (0.15) | (0.75) | (0.03) | 0.27 | 0.32 | (0.24) |
Total From Investment Operations | (0.04) | (0.60) | 0.11 | 0.47 | 0.56 | (0.02) |
Less Distributions: | ||||||
Distributions from net investment income | (0.11) | (0.15) | (0.14) | (0.20) | (0.24) | (0.22) |
Net Asset Value, End of Period | $9.79 | $9.94 | $10.69 | $10.72 | $10.45 | $10.13 |
Total Return2 | (0.38)% | (5.63)% | 1.03% | 4.58% | 5.61% | (0.19)% |
Ratios to Average Net Assets: | ||||||
Net expenses3 | 0.37%4 | 0.37% | 0.37% | 0.37% | 0.37% | 0.38% |
Net investment income | 2.27%4 | 1.48% | 1.31% | 1.87% | 2.36% | 2.15% |
Expense waiver/reimbursement5 | 0.10%4 | 0.10% | 0.10% | 0.16% | 0.15% | 0.16% |
Supplemental Data: | ||||||
Net assets, end of period (000 omitted) | $552,120 | $631,841 | $560,396 | $449,201 | $289,131 | $278,385 |
Portfolio turnover6 | 27% | 22% | 19% | 20% | 33% | 27% |
1 | Per share numbers have been calculated using the average shares method. |
2 | Based on net asset value. Total returns for periods of less than one year are not annualized. |
3 | Amount does not reflect net expenses incurred by investment companies in which the Fund may invest. |
4 | Computed on an annualized basis. |
5 | This expense decrease is reflected in both the net expense and the net investment income ratios shown above. Amount does not reflect expense waiver/reimbursement recorded by investment companies in which the Fund may invest. |
6 | Securities that mature are considered sales for purposes of this calculation. |
Six Months Ended (unaudited) 2/28/2023 | Year Ended August 31, | |||||
2022 | 2021 | 2020 | 2019 | 2018 | ||
Net Asset Value, Beginning of Period | $9.94 | $10.68 | $10.72 | $10.44 | $10.12 | $10.36 |
Income From Investment Operations: | ||||||
Net investment income (loss) | 0.10 | 0.13 | 0.11 | 0.19 | 0.21 | 0.191 |
Net realized and unrealized gain (loss) | (0.15) | (0.74) | (0.04) | 0.27 | 0.32 | (0.24) |
Total From Investment Operations | (0.05) | (0.61) | 0.07 | 0.46 | 0.53 | (0.05) |
Less Distributions: | ||||||
Distributions from net investment income | (0.10) | (0.13) | (0.11) | (0.18) | (0.21) | (0.19) |
Net Asset Value, End of Period | $9.79 | $9.94 | $10.68 | $10.72 | $10.44 | $10.12 |
Total Return2 | (0.51)% | (5.77)% | 0.68% | 4.42% | 5.35% | (0.43)% |
Ratios to Average Net Assets: | ||||||
Net expenses3 | 0.62%4 | 0.62% | 0.62% | 0.62% | 0.62% | 0.63% |
Net investment income | 2.02%4 | 1.23% | 1.05% | 1.62% | 2.10% | 1.84% |
Expense waiver/reimbursement5 | 0.11%4 | 0.10% | 0.11% | 0.17% | 0.15% | 0.16% |
Supplemental Data: | ||||||
Net assets, end of period (000 omitted) | $12,208 | $14,235 | $17,757 | $18,388 | $12,477 | $12,525 |
Portfolio turnover6 | 27% | 22% | 19% | 20% | 33% | 27% |
1 | Per share numbers have been calculated using the average shares method. |
2 | Based on net asset value. Total returns for periods of less than one year are not annualized. |
3 | Amount does not reflect net expenses incurred by investment companies in which the Fund may invest. |
4 | Computed on an annualized basis. |
5 | This expense decrease is reflected in both the net expense and the net investment income ratios shown above. Amount does not reflect expense waiver/reimbursement recorded by investment companies in which the Fund may invest. |
6 | Securities that mature are considered sales for purposes of this calculation. |
Six Months Ended (unaudited) 2/28/2023 | Year Ended August 31, | |||||
2022 | 2021 | 2020 | 2019 | 2018 | ||
Net Asset Value, Beginning of Period | $9.94 | $10.69 | $10.72 | $10.45 | $10.13 | $10.37 |
Income From Investment Operations: | ||||||
Net investment income (loss) | 0.11 | 0.15 | 0.14 | 0.20 | 0.24 | 0.221 |
Net realized and unrealized gain (loss) | (0.15) | (0.75) | (0.03) | 0.27 | 0.32 | (0.24) |
Total From Investment Operations | (0.04) | (0.60) | 0.11 | 0.47 | 0.56 | (0.02) |
Less Distributions: | ||||||
Distributions from net investment income | (0.11) | (0.15) | (0.14) | (0.20) | (0.24) | (0.22) |
Net Asset Value, End of Period | $9.79 | $9.94 | $10.69 | $10.72 | $10.45 | $10.13 |
Total Return2 | (0.38)% | (5.62)% | 1.04% | 4.59% | 5.62% | (0.18)% |
Ratios to Average Net Assets: | ||||||
Net expenses3 | 0.36%4 | 0.36% | 0.36% | 0.36% | 0.36% | 0.37% |
Net investment income | 2.31%4 | 1.49% | 1.33% | 1.87% | 2.37% | 2.16% |
Expense waiver/reimbursement5 | 0.06%4 | 0.06% | 0.06% | 0.13% | 0.12% | 0.12% |
Supplemental Data: | ||||||
Net assets, end of period (000 omitted) | $221,293 | $201,845 | $179,432 | $76,732 | $48,105 | $28,523 |
Portfolio turnover6 | 27% | 22% | 19% | 20% | 33% | 27% |
1 | Per share numbers have been calculated using the average shares method. |
2 | Based on net asset value. Total returns for periods of less than one year are not annualized. |
3 | Amount does not reflect net expenses incurred by investment companies in which the Fund may invest. |
4 | Computed on an annualized basis. |
5 | This expense decrease is reflected in both the net expense and the net investment income ratios shown above. Amount does not reflect expense waiver/reimbursement recorded by investment companies in which the Fund may invest. |
6 | Securities that mature are considered sales for purposes of this calculation. |
February 28, 2023 (unaudited)
Assets: | |
Investment in securities, at value including $22,548 of securities loaned and $223,489,157 of investments in affiliated holdings* (identified cost $1,346,240,510, including $226,715,072 of identified cost in affiliated holdings) | $1,270,080,745 |
Income receivable | 4,923,785 |
Income receivable from affiliated holdings | 1,110,373 |
Receivable for shares sold | 277,068 |
Total Assets | 1,276,391,971 |
Liabilities: | |
Payable for investments purchased | 5,228,399 |
Payable for shares redeemed | 2,270,098 |
Payable to bank | 4,206 |
Payable for variation margin on futures contracts | 8,943 |
Payable for collateral due to broker for securities lending (Note 2) | 23,250 |
Income distribution payable | 242,878 |
Payable for investment adviser fee (Note 5) | 8,251 |
Payable for administrative fee (Note 5) | 2,714 |
Payable for Directors’/Trustees’ fees (Note 5) | 697 |
Payable for other service fees (Notes 2 and 5) | 95,573 |
Accrued expenses (Note 5) | 226,948 |
Total Liabilities | 8,111,957 |
Net assets for 129,490,262 shares outstanding | $1,268,280,014 |
Net Assets Consist of: | |
Paid-in capital | $1,421,932,742 |
Total distributable earnings (loss) | (153,652,728) |
Total Net Assets | $1,268,280,014 |
Net Asset Value, Offering Price and Redemption Proceeds Per Share: | |
Class A Shares: | |
Net asset value per share ($482,658,230 ÷ 49,266,551 shares outstanding), no par value, unlimited shares authorized | $9.80 |
Offering price per share (100/99.00 of $9.80) | $9.90 |
Redemption proceeds per share | $9.80 |
Institutional Shares: | |
Net asset value per share ($552,120,419 ÷ 56,377,112 shares outstanding), no par value, unlimited shares authorized | $9.79 |
Offering price per share | $9.79 |
Redemption proceeds per share | $9.79 |
Service Shares: | |
Net asset value per share ($12,207,948 ÷ 1,247,532 shares outstanding), no par value, unlimited shares authorized | $9.79 |
Offering price per share | $9.79 |
Redemption proceeds per share | $9.79 |
Class R6 Shares: | |
Net asset value per share ($221,293,417 ÷ 22,599,067 shares outstanding), no par value, unlimited shares authorized | $9.79 |
Offering price per share | $9.79 |
Redemption proceeds per share | $9.79 |
* | See information listed after the Fund’s Portfolio of Investments. |
Six Months Ended February 28, 2023 (unaudited)
Investment Income: | |
Interest | $9,901,023 |
Dividends (including $8,159,001 received from affiliated holdings*) | 8,163,094 |
Net income on securities loaned (includes $47,893 earned from an affiliated holding* related to cash collateral balances) (Note 2) | 22,692 |
TOTAL INCOME | 18,086,809 |
Expenses: | |
Investment adviser fee (Note 5) | 2,050,318 |
Administrative fee (Note 5) | 536,977 |
Custodian fees | 23,571 |
Transfer agent fees (Note 2) | 301,628 |
Directors’/Trustees’ fees (Note 5) | 5,461 |
Auditing fees | 16,136 |
Legal fees | 5,035 |
Portfolio accounting fees | 98,909 |
Other service fees (Notes 2 and 5) | 719,942 |
Share registration costs | 62,411 |
Printing and postage | 33,105 |
Miscellaneous (Note 5) | 16,459 |
TOTAL EXPENSES | 3,869,952 |
Waiver and Reimbursements: | |
Waiver/reimbursement of investment adviser fee (Note 5) | (426,061) |
Reimbursement of other operating expenses (Notes 2 and 5) | (172,295) |
TOTAL WAIVER AND REIMBURSEMENTS | (598,356) |
Net expenses | 3,271,596 |
Net investment income | 14,815,213 |
Realized and Unrealized Gain (Loss) on Investments and Futures Contracts: | |
Net realized loss on investments (including net realized loss of $(9,628,883) on sales of investments in affiliated holdings*) | (25,051,182) |
Net realized loss on futures contracts | (7,552,770) |
Net change in unrealized depreciation of investments (including net change in unrealized depreciation of $8,142,559 on investments in affiliated holdings*) | 9,894,105 |
Net change in unrealized depreciation of futures contracts | 339,923 |
Net realized and unrealized gain (loss) on investments and futures contracts | (22,369,924) |
Change in net assets resulting from operations | $(7,554,711) |
* | See information listed after the Fund’s Portfolio of Investments. |
Six Months Ended (unaudited) 2/28/2023 | Year Ended 8/31/2022 | |
Increase (Decrease) in Net Assets | ||
Operations: | ||
Net investment income | $14,815,213 | $25,402,154 |
Net realized gain (loss) | (32,603,952) | (36,173,770) |
Net change in unrealized appreciation/depreciation | 10,234,028 | (101,279,236) |
CHANGE IN NET ASSETS RESULTING FROM OPERATIONS | (7,554,711) | (112,050,852) |
Distributions to Shareholders: | ||
Class A Shares | (5,681,400) | (12,994,926) |
Institutional Shares | (6,579,646) | (9,295,555) |
Service Shares | (129,827) | (192,127) |
Class R6 Shares | (2,467,239) | (2,868,923) |
CHANGE IN NET ASSETS RESULTING FROM DISTRIBUTIONS TO SHAREHOLDERS | (14,858,112) | (25,351,531) |
Share Transactions: | ||
Proceeds from sale of shares | 154,448,876 | 780,230,802 |
Net asset value of shares issued to shareholders in payment of distributions declared | 13,420,544 | 23,668,073 |
Cost of shares redeemed | (405,985,691) | (1,315,741,553) |
CHANGE IN NET ASSETS RESULTING FROM SHARE TRANSACTIONS | (238,116,271) | (511,842,678) |
Change in net assets | (260,529,094) | (649,245,061) |
Net Assets: | ||
Beginning of period | 1,528,809,108 | 2,178,054,169 |
End of period | $1,268,280,014 | $1,528,809,108 |
Transfer Agent Fees Incurred | Transfer Agent Fees Reimbursed | |
Class A Shares | $112,923 | $(55,170) |
Institutional Shares | 173,422 | (114,296) |
Service Shares | 4,166 | (2,829) |
Class R6 Shares | 11,117 | — |
TOTAL | $301,628 | $(172,295) |
Other Service Fees Incurred | |
Class A Shares | $703,915 |
Service Shares | 16,027 |
TOTAL | $719,942 |
Fair Value of Derivative Instruments | ||
Liabilities | ||
Statement of Assets and Liabilities Location | Fair Value | |
Derivatives not accounted for as hedging instruments under ASC Topic 815 | ||
Interest rate contracts | Payable for variation margin on futures contracts | $221,424* |
* | Includes cumulative net depreciation of futures contracts as reported in the footnotes to the Portfolio of Investments. Only the current day’s variation margin is reported within the Statement of Assets and Liabilities. |
Amount of Realized Gain or (Loss) on Derivatives Recognized in Income | |
Futures Contracts | |
Interest rate contracts | $(7,552,770) |
Change in Unrealized Appreciation or (Depreciation) on Derivatives Recognized in Income | |
Futures Contracts | |
Interest rate contracts | $339,923 |
Fair Value of Securities Loaned | Collateral Received |
$22,548 | $23,250 |
Six Months Ended 2/28/2023 | Year Ended 8/31/2022 | |||
Class A Shares: | Shares | Amount | Shares | Amount |
Shares sold | 1,351,262 | $13,290,321 | 26,283,741 | $276,086,572 |
Shares issued to shareholders in payment of distributions declared | 577,126 | 5,662,255 | 1,252,956 | 12,964,707 |
Shares redeemed | (21,114,257) | (207,379,912) | (91,943,963) | (952,257,615) |
NET CHANGE RESULTING FROM CLASS A SHARE TRANSACTIONS | (19,185,869) | $(188,427,336) | (64,407,266) | $(663,206,336) |
Six Months Ended 2/28/2023 | Year Ended 8/31/2022 | |||
Institutional Shares: | Shares | Amount | Shares | Amount |
Shares sold | 8,318,972 | $81,647,510 | 38,806,312 | $401,961,860 |
Shares issued to shareholders in payment of distributions declared | 647,949 | 6,351,883 | 865,604 | 8,885,285 |
Shares redeemed | (16,136,330) | (158,184,911) | (28,558,205) | (293,197,622) |
NET CHANGE RESULTING FROM INSTITUTIONAL SHARE TRANSACTIONS | (7,169,409) | $(70,185,518) | 11,113,711 | $117,649,523 |
Six Months Ended 2/28/2023 | Year Ended 8/31/2022 | |||
Service Shares: | Shares | Amount | Shares | Amount |
Shares sold | 64,086 | $628,470 | 238,496 | $2,481,474 |
Shares issued to shareholders in payment of distributions declared | 13,248 | 129,825 | 18,515 | 190,451 |
Shares redeemed | (262,534) | (2,562,130) | (487,128) | (5,072,682) |
NET CHANGE RESULTING FROM SERVICE SHARE TRANSACTIONS | (185,200) | $(1,803,835) | (230,117) | $(2,400,757) |
Six Months Ended 2/28/2023 | Year Ended 8/31/2022 | |||
Class R6 Shares: | Shares | Amount | Shares | Amount |
Shares sold | 6,022,624 | $58,882,575 | 9,699,328 | $99,700,896 |
Shares issued to shareholders in payment of distributions declared | 130,211 | 1,276,581 | 158,712 | 1,627,630 |
Shares redeemed | (3,856,606) | (37,858,738) | (6,345,879) | (65,213,634) |
NET CHANGE RESULTING FROM CLASS R6 SHARE TRANSACTIONS | 2,296,229 | $22,300,418 | 3,512,161 | $36,114,892 |
NET CHANGE RESULTING FROM TOTAL FUND SHARE TRANSACTIONS | (24,244,249) | $(238,116,271) | (50,011,511) | $(511,842,678) |
Short-Term | Long-Term | Total |
$13,305,926 | $31,599,333 | $44,905,259 |
Administrative Fee | Average Daily Net Assets of the Investment Complex |
0.100% | on assets up to $50 billion |
0.075% | on assets over $50 billion |
Purchases | $147,965,183 |
Sales | $229,160,826 |
Beginning Account Value 9/1/2022 | Ending Account Value 2/28/2023 | Expenses Paid During Period1 | |
Actual: | |||
Class A Shares | $1,000 | $994.90 | $3.07 |
Institutional Shares | $1,000 | $996.20 | $1.83 |
Service Shares | $1,000 | $994.90 | $3.07 |
Class R6 Shares | $1,000 | $996.20 | $1.78 |
Hypothetical (assuming a 5% return before expenses): | |||
Class A Shares | $1,000 | $1,021.72 | $3.11 |
Institutional Shares | $1,000 | $1,022.96 | $1.86 |
Service Shares | $1,000 | $1,021.72 | $3.11 |
Class R6 Shares | $1,000 | $1,023.01 | $1.81 |
1 | Expenses are equal to the Fund’s annualized net expense ratios, multiplied by the average account value over the period, multiplied by 181/365 (to reflect the one-half-year period). The annualized net expense ratios are as follows: |
Class A Shares | 0.62% |
Institutional Shares | 0.37% |
Service Shares | 0.62% |
Class R6 Shares | 0.36% |
Annual Evaluation of Adequacy and Effectiveness
IMPORTANT NOTICE ABOUT FUND DOCUMENT DELIVERY
Federated Hermes Funds
4000 Ericsson Drive
Warrendale, PA 15086-7561
or call 1-800-341-7400.
CUSIP 31420B607
CUSIP 31420B508
CUSIP 31420B862
Item 2. | Code of Ethics |
Not Applicable
Item 3. | Audit Committee Financial Expert |
Not Applicable
Item 4. | Principal Accountant Fees and Services |
Not Applicable
Item 5. | Audit Committee of Listed Registrants |
Not Applicable
Item 6. | Schedule of Investments |
(a) The registrant’s Schedule of Investments is included as part of the Report to Stockholders filed under Item 1 of this form.
(b) Not Applicable; Fund had no divestments during the reporting period covered since the previous Form N-CSR filing.
Item 7. | Disclosure of Proxy Voting Policies and Procedures for Closed-End Management Investment Companies |
Not Applicable
Item 8. | Portfolio Managers of Closed-End Management Investment Companies |
Not Applicable
Item 9. | Purchases of Equity Securities by Closed-End Management Investment Company and Affiliated Purchasers |
Not Applicable
Item 10. | Submission of Matters to a Vote of Security Holders |
No Changes to Report
Item 11. | Controls and Procedures |
(a) The registrant’s President and Treasurer have concluded that the
registrant’s disclosure controls and procedures (as defined in rule 30a-3(c) under the Act) are effective in design and operation and are sufficient to form the basis of the certifications required by Rule 30a-(2) under the Act, based on their evaluation of these disclosure controls and procedures within 90 days of the filing date of this report on Form N-CSR.
(b) There were no changes in the registrant’s internal control over financial reporting (as defined in rule 30a-3(d) under the Act) during the period covered by this report that have materially affected, or are reasonably likely to materially affect, the registrant’s internal control over financial reporting.
Item 12. | Disclosure of Securities Lending Activities for Closed-End Management Investment Companies |
Not Applicable
Item 13. | Exhibits |
(a)(1) Code of Ethics- Not Applicable to this Report.
(a)(2) Certifications of Principal Executive Officer and Principal Financial Officer.
(a)(3) Not Applicable.
(b) Certifications pursuant to 18 U.S.C. Section 1350.
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
Registrant Federated Hermes Institutional Trust
By /S/ Lori A. Hensler
Lori A. Hensler
Principal Financial Officer
Date April 21, 2023
Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated.
By /S/ J. Christopher Donahue
J. Christopher Donahue
Principal Executive Officer
Date April 21, 2023
By /S/ Lori A. Hensler
Lori A. Hensler
Principal Financial Officer
Date April 21, 2023