Federated Hermes, Inc. and Horizon Advisers complete transition of approximately $562 million in equity and fixed-income fund assets to Federated Hermes funds

Rhea-AI Summary

Federated Hermes, Inc. (NYSE: FHI) has completed the acquisition of certain investment management assets from Horizon Advisers, as announced in April 2021. This acquisition involved the transition of approximately $562 million in equity and fixed-income fund assets, reorganizing nine Hancock Horizon mutual funds into Federated Hermes funds. The transition aims to enhance shareholder access to diverse investment strategies and strengthen customer service capabilities. Federated Hermes manages $645.8 billion in assets as of June 30, 2021.

Positive

• Successful completion of the acquisition of certain investment assets from Horizon Advisers.
• Transition of approximately $562 million in equity and fixed-income assets.
• Enhanced access to diverse investment strategies and performance for shareholders.

Negative

• None.

PITTSBURGH, Sept. 28, 2021 /PRNewswire/ -- Federated Hermes, Inc. (NYSE: FHI), a global leader in active, responsible investing, today announced the completion of the acquisition announced in April 2021 of certain investment management related assets of Horizon Advisers, an unincorporated division of Hancock Whitney Bank, and the transition of approximately $562 million¹ in equity and fixed-income fund assets. The transition was accomplished by completing the reorganizations of the remaining nine Hancock Horizon mutual funds – seven equity and two municipal bond funds – into one new and six existing Federated Hermes mutual funds with comparable investment objectives and strategies (see below for a list of funds).

"The successful completion of this transaction is the result of Federated Hermes' experience with similar transactions, our client-centered approach and our long-term relationship with Hancock Whitney Bank," said Joe Machi, director of alliances at Federated Hermes. "The transaction provides the shareholders of the funds access to our diverse range of investment strategies, proven performance and extensive customer service capabilities. We continue to seek alliance and acquisition opportunities with insurers, banks, broker-dealers and investment advisors in the U.S. and globally."

The transition involved the following fund assets:

Hancock Horizon funds	Net assets (in millions)*	Federated Hermes funds	Net assets (in millions)*
Hancock Horizon Burkenroad Small Cap Fund	$124	Federated Hermes MDT Small Cap Core Fund	$1,127
Hancock Horizon Diversified Income Fund	$34	Federated Hermes Capital Income Fund	$1,002
Hancock Horizon Diversified International Fund	$244	Federated Hermes International Leaders Fund	$1,125
Hancock Horizon Dynamic Asset Allocation Fund	$20	Federated Hermes Global Allocation Fund	$411
Hancock Horizon International Small Cap Fund	$27	Federated Hermes International Small-Mid Company Fund	$198
Hancock Horizon Louisiana Tax- Free Income Fund	$6	Federated Hermes Municipal Bond Fund, Inc.	$321
Hancock Horizon Microcap Fund	$15	Federated Hermes MDT Small Cap Core Fund	$1,127
Hancock Horizon Mississippi Tax- Free Income Fund	$11	Federated Hermes Municipal Bond Fund, Inc.	$321
Hancock Horizon Quantitative Long/Short Fund	$81	Federated Hermes MDT Market Neutral Fund**	$81
*As of Sept. 24, 2021
** Federated Hermes MDT Market Neutral Fund is being offered Sept. 27, 2021 with the completion of the reorganization. The Federated Hermes MDT team has managed the market neutral strategy in a private fund context for more than 20 years.

Federated Hermes, Inc. is a leading global investment manager with $645.8 billion in assets under management as of June 30, 2021. Guided by our conviction that responsible investing is the best way to create wealth over the long term, our investment solutions span equity, fixed-income, alternative/private markets, multi-asset and liquidity management strategies. Providing world-class active investment management and engagement services to more than 11,000 institutions and intermediaries, our clients include corporations, government entities, insurance companies, foundations and endowments, banks and broker/dealers. Headquartered in Pittsburgh, Federated Hermes' nearly 2,000 employees include those in London, New York, Boston and offices worldwide. For more information, visit FederatedHermes.com.

###

¹As of Sept. 24, 2021

Certain statements in this press release, such as those related to performance and Federated Hermes' efforts to seek alliance and acquisition opportunities, constitute forward-looking statements, which involve known and unknown risks, uncertainties and other factors that may cause the actual results, levels of activity, performance or achievements of the company or industry results to be materially different from any future results, levels of activity, performance or achievements expressed or implied by such forward-looking statements. Among other risks and uncertainties is the ability of Federated Hermes to achieve positive performance and identify and complete suitable acquisitions, and the risk factors discussed in the company's annual and quarterly reports as filed with the Securities and Exchange Commission. As a result, no assurance can be given as to future results, levels of activity, performance or achievements, and neither the company nor any other person assumes responsibility for the accuracy and completeness of such statements in the future.

Federated Securities Corp. is distributor of the Federated Hermes funds.

Investors should carefully consider each fund's investment objectives, risks, charges and expenses before investing. To obtain a summary prospectus or prospectus containing this and other information, contact Federated Hermes or view the prospectus provided at FederatedInvestors.com. Please carefully read the summary prospectus or prospectus before investing.
Past performance is no guarantee of future results.

View original content:https://www.prnewswire.com/news-releases/federated-hermes-inc-and-horizon-advisers-complete-transition-of-approximately-562-million-in-equity-and-fixed-income-fund-assets-to-federated-hermes-funds-301387124.html

SOURCE Federated Hermes, Inc.

FAQ

What acquisition did Federated Hermes announce on September 28, 2021?

Federated Hermes announced the completion of the acquisition of certain investment management assets from Horizon Advisers.

How much in assets was transitioned to Federated Hermes funds?

Approximately $562 million in equity and fixed-income fund assets were transitioned.

What types of funds were reorganized in the Federated Hermes acquisition?

Nine Hancock Horizon mutual funds were reorganized into Federated Hermes funds.

What was the total assets under management for Federated Hermes as of June 30, 2021?

Federated Hermes managed $645.8 billion in assets as of June 30, 2021.

What is the significance of the acquisition for shareholders?

The acquisition offers shareholders enhanced access to diverse investment strategies and proven performance.