The PennZone

PITTSBURGH, Aug. 9, 2024 ~ Federated Hermes, Inc. (NYSE: FHI), a renowned global leader in active investing, has recently made an important announcement regarding its Federated Hermes ETF Trust. The Board of Trustees of the trust, on behalf of its portfolio, Federated Hermes MDT Large Cap Growth ETF (NYSE: FLCG), has approved a change in the fundamental policy with respect to diversification. This change will see the trust transition from a diversified company to a non-diversified one, subject to shareholder approval.

The Board of Trustees has also set Aug. 19, 2024 as the record date for majority shareholder consent action to be determined on Aug. 23, 2024. As an affiliate of the Fund's adviser currently holds a large majority of the Fund's shares and is expected to continue to hold a majority as of the record date, it is anticipated that the proposed change will be approved by written consent in lieu of a shareholder meeting. This means that no proxy or solicitation will be necessary for this approval process.

If approved in this manner, the change is expected to take effect on Aug. 26, 2024. The Fund's principal investment strategy involves seeking exposure to companies listed in the Russell 1000® Growth Index (the "Index") in relation to their index weightings. However, it is important to note that the Fund is not designed to track the overall composition or returns of the Index and its investment adviser actively manages its investment strategy.

More on The PennZone

• Surging Into High-Performance AI With $AMD Partnership, Patent Expansion, and Strengthened Balance Sheet: Avalon GloboCare Corp. (N A S D A Q: ALBT)
• ATTAIN Profiles the Invisible Billionaire Who Started With $75 and Died the Richest Man in A
• Kiko Nation Launches Mobile App to Modernize Livestock Management and Digital Animal Registry
• NEW MANAGEMENT BOOK: Creating a Joy-Centric Culture
• QuickTrack by Datalex Transforms Retail Promoter Management with Claude AI and Real-Time Insights

The proposed change in the Fund's diversification classification aims to provide greater long-term flexibility in executing its investment strategy, particularly during times when individual issuers' weightings in the Index exceed diversification limits under the Investment Company Act of 1940. This change in fundamental policy is not expected to significantly impact the Fund's principal investment strategies.

Investors can access fund and portfolio information through FederatedHermes.com/us in the Products section. Federated Hermes, Inc. (NYSE: FHI) is a global leader in active, responsible investment management with $782.7 billion in assets under management as of June 30, 2024. The company offers investment solutions that cater to a wide range of outcomes and provides equity, fixed-income, alternative/private markets, multi-asset, and liquidity management strategies to over 10,000 institutions and intermediaries worldwide.

Federated Hermes' clients include corporations, government entities, insurance companies, foundations and endowments, banks and broker/dealers. Headquartered in Pittsburgh, the company has more than 2,000 employees in London, New York, Boston and offices worldwide. For more information about Federated Hermes and its services, visit FederatedHermes.com/us.

More on The PennZone

• Kaltra Introduces Seasonal Discounts on Replacement Coils for Carrier, York, and Trane Chillers
• Evolve Construction Mobilizes Commercial Storm Response Across Illinois With AI-Powered Damage Documentation and Public Adjusters Partnership
• New Book Synthesizes Six Peer-Reviewed Research Programs Into Unified Framework for Consciousness
• The World's First Fully Regenerative Economy: Securing Energy, Food, and a Clean Planet
• The State of Law Firm Marketing: Top Companies, Awards, and Resources

In a statement released by the company's spokesperson regarding this development, they stated that certain statements made in this press release such as those related to the manner and timing of shareholder approval, the intended purpose behind the fundamental policy change, the Fund's investment strategies and the intended effect of the fundamental policy change on the Fund's principal investment strategies may constitute forward-looking statements.

These statements are based on current expectations and involve risks and uncertainties that could cause actual results to differ materially from those expressed or implied in these statements. The company does not undertake any obligation to update or revise any forward-looking statements as a result of new information or future events.

Overall, this change in fundamental policy is expected to provide greater flexibility for Federated Hermes ETF Trust in executing its investment strategy while continuing to deliver quality services to its clients worldwide.

---

Show All News | Report Violation