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: 08/31/24
Date of Reporting Period: Six months ended 02/29/24
Item 1. | Reports to Stockholders |
Share Class | Ticker
|
A | FGCAX
|
Institutional | FGCIX
|
Service | FGCSX
|
R6 | SRBRX
|
Security Type
|
Percentage of
Total Net Assets
|
U.S. Treasury Securities
|
45.8%
|
Corporate Debt Securities
|
37.4%
|
Mortgage Core Fund
|
5.9%
|
Project and Trade Finance Core Fund
|
4.5%
|
Asset-Backed Securities
|
3.2%
|
Emerging Markets Core Fund
|
1.3%
|
Commercial Mortgage-Backed Securities
|
0.9%
|
Bank Loan Core Fund
|
0.3%
|
Mortgage-Backed Securities2
|
0.1%
|
Collateralized Mortgage Obligations3
|
0.0%
|
Securities Lending Collateral4
|
0.2%
|
Cash Equivalents5
|
0.7%
|
Derivative Contracts3,6
|
0.0%
|
Other Assets and Liabilities—Net7
|
(0.3)%
|
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 include mortgage-backed securities
guaranteed by Government Sponsored Entities and adjustable rate mortgage-backed securities.
|
3
|
Represents less than 0.1%.
|
4
|
Represents cash collateral received for portfolio securities on loan that may be invested
in
affiliated money market funds, other money market instruments and/or repurchase agreements.
|
5
|
Cash Equivalents include any investments in money market mutual funds and/or overnight
repurchase agreements.
|
6
|
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.
|
7
|
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— 45.8%
|
|
|
|
U.S. Treasury Notes— 45.8%
|
|
$ 10,750,000
|
|
United States Treasury Note, 0.375%, 1/31/2026
|
$ 9,910,789
|
30,000,000
|
|
United States Treasury Note, 0.625%, 7/31/2026
|
27,347,637
|
7,500,000
|
|
United States Treasury Note, 0.750%, 5/31/2026
|
6,893,811
|
12,500,000
|
|
United States Treasury Note, 0.750%, 8/31/2026
|
11,401,045
|
10,000,000
|
|
United States Treasury Note, 0.875%, 6/30/2026
|
9,200,527
|
20,000,000
|
|
United States Treasury Note, 1.875%, 2/28/2027
|
18,574,120
|
425,000
|
|
United States Treasury Note, 2.625%, 4/15/2025
|
414,108
|
31,150,000
|
|
United States Treasury Note, 2.750%, 4/30/2027
|
29,636,306
|
37,500,000
|
|
United States Treasury Note, 3.125%, 8/31/2027
|
35,985,353
|
30,000,000
|
|
United States Treasury Note, 3.500%, 1/31/2028
|
29,097,657
|
30,000,000
|
|
United States Treasury Note, 3.750%, 12/31/2028
|
29,320,314
|
12,500,000
|
|
United States Treasury Note, 3.875%, 11/30/2027
|
12,288,808
|
10,000,000
|
|
United States Treasury Note, 4.000%, 6/30/2028
|
9,878,906
|
5,000,000
|
|
United States Treasury Note, 4.000%, 12/15/2025
|
4,938,824
|
32,000,000
|
|
United States Treasury Note, 4.125%, 9/30/2027
|
31,740,000
|
5,000,000
|
|
United States Treasury Note, 4.250%, 10/15/2025
|
4,959,617
|
20,000,000
|
|
United States Treasury Note, 4.375%, 8/31/2028
|
20,065,626
|
130,500,000
|
|
United States Treasury Note, 5.000%, 8/31/2025
|
130,833,571
|
|
|
TOTAL U.S. TREASURIES
(IDENTIFIED COST $433,371,224)
|
422,487,019
|
|
|
CORPORATE BONDS— 37.4%
|
|
|
|
Basic Industry - Metals & Mining— 0.2%
|
|
2,493,000
|
|
Glencore Funding LLC, Sr. Unsecd. Note, 144A, 1.625%, 9/1/2025
|
2,355,800
|
|
|
Capital Goods - Aerospace & Defense— 1.3%
|
|
2,000,000
|
|
Boeing Co., Sr. Unsecd. Note, 2.196%, 2/4/2026
|
1,877,272
|
2,750,000
|
|
HEICO Corp., Sr. Unsecd. Note, 5.250%, 8/1/2028
|
2,773,586
|
905,000
|
|
Leidos, Inc., Sr. Unsecd. Note, Series WI, 3.625%, 5/15/2025
|
884,380
|
1,500,000
|
|
Northrop Grumman Corp., Sr. Unsecd. Note, 2.930%, 1/15/2025
|
1,467,583
|
5,000,000
|
|
Teledyne Technologies, Inc., Sr. Unsecd. Note, 1.600%, 4/1/2026
|
4,637,111
|
40,000
|
1
|
Textron Financial Corp., Jr. Sub. Note, 144A, 7.303% (CME Term SOFR 3
Month +1.996%), 2/15/2042
|
34,658
|
|
|
TOTAL
|
11,674,590
|
|
|
Capital Goods - Building Materials— 0.2%
|
|
1,500,000
|
|
Allegion US Holdings Co., Inc., Sr. Unsecd. Note, 3.200%, 10/1/2024
|
1,475,918
|
|
|
Capital Goods - Construction Machinery— 1.0%
|
|
2,000,000
|
|
CNH Industrial Capital America LLC, Sr. Unsecd. Note,
1.450%, 7/15/2026
|
1,830,138
|
Principal
Amount
or Shares
|
|
|
Value
|
|
|
CORPORATE BONDS— continued
|
|
|
|
Capital Goods - Construction Machinery— continued
|
|
$ 2,000,000
|
|
CNH Industrial Capital America LLC, Sr. Unsecd. Note,
1.875%, 1/15/2026
|
$ 1,875,348
|
560,000
|
|
Deere & Co., Sr. Unsecd. Note, 2.750%, 4/15/2025
|
545,681
|
5,385,000
|
|
Weir Group PLC/The, Sr. Unsecd. Note, 144A, 2.200%, 5/13/2026
|
4,989,844
|
|
|
TOTAL
|
9,241,011
|
|
|
Capital Goods - Diversified Manufacturing— 0.8%
|
|
3,410,000
|
|
Roper Technologies, Inc., Sr. Unsecd. Note, 1.000%, 9/15/2025
|
3,196,045
|
3,335,000
|
|
Vontier Corp., Sr. Unsecd. Note, Series WI, 1.800%, 4/1/2026
|
3,077,117
|
790,000
|
|
Wabtec Corp., Sr. Unsecd. Note, 3.200%, 6/15/2025
|
766,405
|
|
|
TOTAL
|
7,039,567
|
|
|
Communications - Cable & Satellite— 0.1%
|
|
590,000
|
|
Comcast Corp., Sr. Unsecd. Note, 5.350%, 11/15/2027
|
599,371
|
|
|
Communications - Media & Entertainment— 0.7%
|
|
5,000,000
|
|
Netflix, Inc., Sr. Unsecd. Note, 4.375%, 11/15/2026
|
4,920,673
|
1,000,000
|
|
Walt Disney Co., Sr. Unsecd. Note, 1.750%, 1/13/2026
|
943,620
|
750,000
|
|
Walt Disney Co., Sr. Unsecd. Note, Series MTN, 1.850%, 7/30/2026
|
697,607
|
|
|
TOTAL
|
6,561,900
|
|
|
Communications - Telecom Wireless— 1.5%
|
|
1,055,000
|
|
American Tower Corp., Sr. Unsecd. Note, 2.400%, 3/15/2025
|
1,020,268
|
1,000,000
|
|
American Tower Corp., Sr. Unsecd. Note, 3.375%, 5/15/2024
|
994,986
|
1,275,000
|
|
American Tower Corp., Sr. Unsecd. Note, 5.250%, 7/15/2028
|
1,271,446
|
2,500,000
|
|
Bell Canada, Sr. Unsecd. Note, Series US-3, 0.750%, 3/17/2024
|
2,494,275
|
1,000,000
|
|
Crown Castle, Inc., Sr. Unsecd. Note, 3.200%, 9/1/2024
|
988,177
|
2,600,000
|
|
Crown Castle, Inc., Sr. Unsecd. Note, 4.800%, 9/1/2028
|
2,539,634
|
3,500,000
|
|
T-Mobile USA, Inc., Series WI, 1.500%, 2/15/2026
|
3,252,728
|
1,000,000
|
|
T-Mobile USA, Inc., Series WI, 3.500%, 4/15/2025
|
977,820
|
|
|
TOTAL
|
13,539,334
|
|
|
Communications - Telecom Wirelines— 0.7%
|
|
5,100,000
|
|
Rogers Communications, Inc., Sr. Unsecd. Note, 3.200%, 3/15/2027
|
4,804,009
|
2,071,000
|
|
Verizon Communications, Inc., Sr. Unsecd. Note, 0.850%, 11/20/2025
|
1,923,222
|
|
|
TOTAL
|
6,727,231
|
|
|
Consumer Cyclical - Automotive— 2.1%
|
|
2,510,000
|
|
Daimler Trucks Financial NA, Sr. Unsecd. Note, 144A,
2.000%, 12/14/2026
|
2,303,366
|
3,000,000
|
|
Ford Motor Credit Co. LLC, Sr. Unsecd. Note, 6.950%, 3/6/2026
|
3,055,087
|
1,395,000
|
|
Ford Motor Credit Co. LLC, Sr. Unsecd. Note, 6.950%, 6/10/2026
|
1,423,226
|
550,000
|
|
General Motors Co., Sr. Unsecd. Note, 6.125%, 10/1/2025
|
554,639
|
5,000,000
|
|
Hyundai Capital America, Sr. Unsecd. Note, 144A, 6.000%, 7/11/2025
|
5,027,929
|
2,675,000
|
|
Mercedes-Benz Finance NA LLC, Sr. Unsub., 144A, 1.450%, 3/2/2026
|
2,486,980
|
1,350,000
|
|
Solventum Corp., Sr. Unsecd. Note, 144A, 5.400%, 3/1/2029
|
1,348,254
|
Principal
Amount
or Shares
|
|
|
Value
|
|
|
CORPORATE BONDS— continued
|
|
|
|
Consumer Cyclical - Automotive— continued
|
|
$ 2,000,000
|
2
|
Stellantis Finance US, Inc., Sr. Unsecd. Note, 144A, 5.625%, 1/12/2028
|
$ 2,051,628
|
1,000,000
|
|
Volkswagen Group of America Finance LLC, Sr. Unsecd. Note, 144A,
3.350%, 5/13/2025
|
974,404
|
|
|
TOTAL
|
19,225,513
|
|
|
Consumer Non-Cyclical - Food/Beverage— 1.2%
|
|
3,250,000
|
|
Bacardi Ltd., Sr. Unsecd. Note, 144A, 5.250%, 1/15/2029
|
3,202,029
|
730,000
|
|
Constellation Brands, Inc., Sr. Unsecd. Note, 4.800%, 1/15/2029
|
720,048
|
4,725,000
|
|
International Flavors & Fragrances, Inc., Sr. Unsecd. Note, 144A,
1.230%, 10/1/2025
|
4,405,461
|
1,400,000
|
|
Jde Peet’s B.V., Sr. Unsecd. Note, 144A, 0.800%, 9/24/2024
|
1,359,011
|
1,000,000
|
|
McCormick & Co., Inc., Sr. Unsecd. Note, 3.150%, 8/15/2024
|
988,862
|
|
|
TOTAL
|
10,675,411
|
|
|
Consumer Non-Cyclical - Health Care— 1.0%
|
|
2,750,000
|
|
Becton Dickinson & Co., Sr. Unsecd. Note, 4.874%, 2/8/2029
|
2,716,706
|
500,000
|
|
CVS Health Corp., Sr. Unsecd. Note, 2.625%, 8/15/2024
|
493,399
|
1,040,000
|
|
CVS Health Corp., Sr. Unsecd. Note, 5.000%, 1/30/2029
|
1,037,185
|
3,000,000
|
|
GE Healthcare Holding LLC, Unsecd. Note, 5.650%, 11/15/2027
|
3,048,350
|
2,215,000
|
|
PerkinElmer, Inc., Sr. Unsecd. Note, 0.850%, 9/15/2024
|
2,157,572
|
|
|
TOTAL
|
9,453,212
|
|
|
Consumer Non-Cyclical - Pharmaceuticals— 1.4%
|
|
2,000,000
|
|
AbbVie, Inc., Sr. Unsecd. Note, 3.600%, 5/14/2025
|
1,960,548
|
2,500,000
|
|
AbbVie, Inc., Sr. Unsecd. Note, 3.800%, 3/15/2025
|
2,461,955
|
3,250,000
|
|
Amgen, Inc., Sr. Unsecd. Note, 5.150%, 3/2/2028
|
3,257,658
|
830,000
|
|
Bristol-Myers Squibb Co., Sr. Unsecd. Note, 4.900%, 2/22/2029
|
828,322
|
246,000
|
|
Bristol-Myers Squibb Co., Sr. Unsecd. Note, Series WI,
2.900%, 7/26/2024
|
243,427
|
1,500,000
|
|
Merck & Co., Inc., Sr. Unsecd. Note, 0.750%, 2/24/2026
|
1,387,483
|
2,500,000
|
|
Pfizer Investment Enterprises Pte Ltd., Sr. Unsecd. Note,
4.450%, 5/19/2028
|
2,452,503
|
|
|
TOTAL
|
12,591,896
|
|
|
Consumer Non-Cyclical - Tobacco— 0.8%
|
|
750,000
|
|
BAT Capital Corp., Sr. Unsecd. Note, 2.789%, 9/6/2024
|
738,593
|
1,000,000
|
|
BAT Capital Corp., Sr. Unsecd. Note, 3.222%, 8/15/2024
|
988,346
|
1,400,000
|
|
BAT International Finance PLC, Sr. Unsecd. Note, 1.668%, 3/25/2026
|
1,297,505
|
1,250,000
|
|
BAT International Finance PLC, Sr. Unsecd. Note, 5.931%, 2/2/2029
|
1,277,339
|
1,000,000
|
|
Philip Morris International, Inc., Sr. Unsecd. Note, 1.500%, 5/1/2025
|
958,832
|
2,000,000
|
|
Philip Morris International, Inc., Sr. Unsecd. Note, 5.125%, 11/17/2027
|
2,004,232
|
|
|
TOTAL
|
7,264,847
|
|
|
Energy - Independent— 0.8%
|
|
1,000,000
|
|
Diamondback Energy, Inc., Sr. Unsecd. Note, 3.500%, 12/1/2029
|
918,657
|
Principal
Amount
or Shares
|
|
|
Value
|
|
|
CORPORATE BONDS— continued
|
|
|
|
Energy - Independent— continued
|
|
$ 3,000,000
|
|
Occidental Petroleum Corp., Sr. Unsecd. Note, 6.375%, 9/1/2028
|
$ 3,110,431
|
2,990,000
|
|
Ovintiv, Inc., Sr. Unsecd. Note, 5.650%, 5/15/2028
|
3,018,332
|
|
|
TOTAL
|
7,047,420
|
|
|
Energy - Integrated— 0.3%
|
|
2,500,000
|
|
BP Capital Markets America, Inc., Sr. Unsecd. Note, 4.699%, 4/10/2029
|
2,471,017
|
|
|
Energy - Midstream— 1.1%
|
|
2,070,000
|
|
Columbia Pipeline Holding Co. LLC, Sr. Unsecd. Note, 144A,
6.042%, 8/15/2028
|
2,109,265
|
255,000
|
|
Eastern Energy Gas Holdings, Sr. Unsecd. Note, Series A,
2.500%, 11/15/2024
|
249,663
|
500,000
|
|
Energy Transfer LP, Sr. Unsecd. Note, 2.900%, 5/15/2025
|
484,306
|
910,000
|
|
Energy Transfer LP, Sr. Unsecd. Note, 5.550%, 2/15/2028
|
917,903
|
500,000
|
|
Kinder Morgan Energy Partners LP, Sr. Unsecd. Note, 4.300%, 5/1/2024
|
498,440
|
1,165,000
|
|
MPLX LP, Sr. Unsecd. Note, 1.750%, 3/1/2026
|
1,087,197
|
2,000,000
|
|
ONEOK Partners LP, Sr. Unsecd. Note, 4.900%, 3/15/2025
|
1,985,203
|
2,000,000
|
|
Sunoco Logistics Partners LP, Sr. Unsecd. Note, 3.900%, 7/15/2026
|
1,936,655
|
1,250,000
|
|
Targa Resources, Inc., Sr. Unsecd. Note, 6.150%, 3/1/2029
|
1,289,189
|
|
|
TOTAL
|
10,557,821
|
|
|
Energy - Oil Field Services— 0.5%
|
|
2,500,000
|
|
Schlumberger Investment SA, Sr. Unsecd. Note, 4.500%, 5/15/2028
|
2,477,900
|
2,490,000
|
|
Williams Cos., Inc., Sr. Unsecd. Note, 4.900%, 3/15/2029
|
2,458,312
|
|
|
TOTAL
|
4,936,212
|
|
|
Energy - Refining— 0.4%
|
|
2,000,000
|
|
Marathon Petroleum Corp., Sr. Unsecd. Note, 4.700%, 5/1/2025
|
1,981,637
|
2,270,000
|
|
Valero Energy Corp., Sr. Unsecd. Note, 2.850%, 4/15/2025
|
2,205,701
|
|
|
TOTAL
|
4,187,338
|
|
|
Financial Institution - Banking— 8.8%
|
|
910,000
|
|
American Express Co., Sr. Unsecd. Note, 5.850%, 11/5/2027
|
934,549
|
1,000,000
|
|
Associated Banc-Corp., Sub. Note, 4.250%, 1/15/2025
|
977,264
|
2,000,000
|
|
Bank of America Corp., Sr. Unsecd. Note, 5.080%, 1/20/2027
|
1,987,920
|
2,000,000
|
|
Bank of America Corp., Sr. Unsecd. Note, Series MTN,
0.981%, 9/25/2025
|
1,947,481
|
2,000,000
|
|
Bank of America Corp., Sr. Unsecd. Note, Series MTN,
1.197%, 10/24/2026
|
1,864,155
|
1,000,000
|
|
Bank of America Corp., Sr. Unsecd. Note, Series MTN,
1.319%, 6/19/2026
|
946,858
|
3,500,000
|
|
Bank of America Corp., Sr. Unsecd. Note, Series MTN,
2.456%, 10/22/2025
|
3,426,979
|
1,500,000
|
|
Bank of America Corp., Sub. Note, Series MTN, 4.000%, 1/22/2025
|
1,478,536
|
3,000,000
|
|
Bank of New York Mellon Corp., Sr. Unsecd. Note, Series MTN,
1.600%, 4/24/2025
|
2,883,138
|
Principal
Amount
or Shares
|
|
|
Value
|
|
|
CORPORATE BONDS— continued
|
|
|
|
Financial Institution - Banking— continued
|
|
$ 2,000,000
|
|
Citigroup, Inc., Sr. Unsecd. Note, 1.462%, 6/9/2027
|
$ 1,832,332
|
2,500,000
|
|
Citigroup, Inc., Sr. Unsecd. Note, 5.174%, 2/13/2030
|
2,475,126
|
2,000,000
|
|
Citizens Bank, N.A., Sr. Unsecd. Note, 6.064%, 10/24/2025
|
1,988,873
|
500,000
|
|
Citizens Bank, N.A., Sr. Unsecd. Note, Series BKNT, 2.250%, 4/28/2025
|
479,905
|
1,530,000
|
|
Comerica, Inc., Sr. Unsecd. Note, 5.982%, 1/30/2030
|
1,502,852
|
500,000
|
|
Fifth Third Bancorp, Sr. Unsecd. Note, 2.375%, 1/28/2025
|
485,538
|
570,000
|
|
Fifth Third Bancorp, Sr. Unsecd. Note, 6.339%, 7/27/2029
|
585,102
|
2,000,000
|
|
Fifth Third Bancorp, Sr. Unsecd. Note, 6.361%, 10/27/2028
|
2,039,528
|
1,990,000
|
|
FNB Corp. (PA), Sr. Unsecd. Note, 5.150%, 8/25/2025
|
1,954,630
|
500,000
|
|
Goldman Sachs Group, Inc., Sr. Unsecd. Note, 3.272%, 9/29/2025
|
493,103
|
1,000,000
|
|
Goldman Sachs Group, Inc., Sr. Unsecd. Note, 3.500%, 11/16/2026
|
959,400
|
2,000,000
|
|
Goldman Sachs Group, Inc., Sr. Unsecd. Note, 3.500%, 1/23/2025
|
1,965,799
|
2,010,000
|
|
Goldman Sachs Group, Inc., Sr. Unsecd. Note, 5.700%, 11/1/2024
|
2,011,362
|
775,000
|
|
Goldman Sachs Group, Inc., Sr. Unsecd. Note, Series VAR,
1.093%, 12/9/2026
|
718,218
|
1,000,000
|
|
Huntington Bancshares, Inc., Sr. Unsecd. Note, 2.625%, 8/6/2024
|
987,446
|
2,000,000
|
|
JPMorgan Chase & Co., Sr. Unsecd. Note, 1.045%, 11/19/2026
|
1,860,423
|
3,000,000
|
|
JPMorgan Chase & Co., Sr. Unsecd. Note, 2.005%, 3/13/2026
|
2,893,079
|
2,000,000
|
|
JPMorgan Chase & Co., Sr. Unsecd. Note, 3.125%, 1/23/2025
|
1,961,510
|
1,275,000
|
|
M&T Bank Corp., Sr. Unsecd. Note, 7.413%, 10/30/2029
|
1,336,699
|
3,000,000
|
|
Manufacturers & Traders Trust Co., Sr. Unsecd. Note, 4.700%, 1/27/2028
|
2,886,944
|
5,500,000
|
|
Morgan Stanley, Sr. Unsecd. Note, 0.985%, 12/10/2026
|
5,076,657
|
640,000
|
|
Morgan Stanley, Sr. Unsecd. Note, 5.050%, 1/28/2027
|
637,968
|
2,000,000
|
|
Morgan Stanley, Sr. Unsecd. Note, Series I, 0.864%, 10/21/2025
|
1,938,058
|
2,000,000
|
|
Morgan Stanley, Sr. Unsecd. Note, Series MTN, 2.720%, 7/22/2025
|
1,975,949
|
3,000,000
|
|
PNC Financial Services Group, Inc., Sr. Unsecd. Note, 2.200%, 11/1/2024
|
2,934,740
|
1,805,000
|
|
PNC Financial Services Group, Inc., Sr. Unsecd. Note, 5.582%, 6/12/2029
|
1,815,626
|
1,500,000
|
|
PNC Financial Services Group, Inc., Sr. Unsecd. Note,
5.671%, 10/28/2025
|
1,498,514
|
2,330,000
|
|
Regions Financial Corp., Sr. Unsecd. Note, 2.250%, 5/18/2025
|
2,231,900
|
1,250,000
|
|
Truist Bank, Sr. Unsecd. Note, Series BKNT, 1.500%, 3/10/2025
|
1,201,336
|
2,500,000
|
|
Truist Financial Corp., Sr. Unsecd. Note, Series MTN, 1.200%, 8/5/2025
|
2,352,179
|
2,500,000
|
|
Truist Financial Corp., Sr. Unsecd. Note, Series MTN, 1.267%, 3/2/2027
|
2,295,412
|
1,500,000
|
|
Truist Financial Corp., Sr. Unsecd. Note, Series MTN, 6.047%, 6/8/2027
|
1,515,445
|
2,520,000
|
|
US Bancorp, Sr. Unsecd. Note, 1.450%, 5/12/2025
|
2,412,000
|
2,000,000
|
|
US Bancorp, Sr. Unsecd. Note, 5.775%, 6/12/2029
|
2,021,618
|
2,275,000
|
|
Wells Fargo & Co., Sr. Unsecd. Note, 5.198%, 1/23/2030
|
2,256,382
|
1,000,000
|
|
Wells Fargo & Co., Sr. Unsecd. Note, Series MTN, 3.000%, 2/19/2025
|
977,823
|
|
|
TOTAL
|
81,006,356
|
Principal
Amount
or Shares
|
|
|
Value
|
|
|
CORPORATE BONDS— continued
|
|
|
|
Financial Institution - Broker/Asset Mgr/Exchange— 0.2%
|
|
$ 1,460,000
|
|
Jefferies Financial Group LLC, Sr. Unsecd. Note, 5.875%, 7/21/2028
|
$ 1,489,496
|
|
|
Financial Institution - Finance Companies— 0.7%
|
|
4,435,000
|
|
AerCap Ireland Capital Ltd. / AerCap Global Aviation Trust, Sr. Unsecd.
Note, 1.750%, 1/30/2026
|
4,122,666
|
1,665,000
|
|
AerCap Ireland Capital Ltd. / AerCap Global Aviation Trust, Sr. Unsecd.
Note, 2.450%, 10/29/2026
|
1,536,564
|
1,290,000
|
|
Ally Financial, Inc., Sr. Unsecd. Note, 6.992%, 6/13/2029
|
1,326,150
|
|
|
TOTAL
|
6,985,380
|
|
|
Financial Institution - Insurance - Health— 0.3%
|
|
2,900,000
|
|
Centene Corp., Sr. Unsecd. Note, 2.450%, 7/15/2028
|
2,558,464
|
300,000
|
|
Elevance Health, Inc., Sr. Unsecd. Note, 5.350%, 10/15/2025
|
299,774
|
|
|
TOTAL
|
2,858,238
|
|
|
Financial Institution - Insurance - Life— 2.0%
|
|
1,000,000
|
|
AIA Group Ltd., Sr. Unsecd. Note, 144A, 3.200%, 3/11/2025
|
978,795
|
3,000,000
|
|
AIA Group Ltd., Sr. Unsecd. Note, 144A, 5.625%, 10/25/2027
|
3,064,761
|
2,500,000
|
|
Met Life Global Funding I, Sr. Secd. Note, 144A, 4.850%, 1/8/2029
|
2,469,158
|
4,415,000
|
|
Northwestern Mutual Global, Sr. Secd. Note, 144A, 0.800%, 1/14/2026
|
4,082,350
|
2,500,000
|
|
Pacific Life Global Funding II, Sec. Fac. Bond, 144A, 1.200%, 6/24/2025
|
2,373,310
|
2,500,000
|
|
PRICOA Global Funding I, Sec. Fac. Bond, 144A, 0.800%, 9/1/2025
|
2,341,511
|
2,000,000
|
|
Principal Life Global Funding II, Sec. Fac. Bond, 144A,
1.250%, 6/23/2025
|
1,897,935
|
1,000,000
|
|
Principal Life Global Funding II, Sec. Fac. Bond, 144A,
2.250%, 11/21/2024
|
976,817
|
|
|
TOTAL
|
18,184,637
|
|
|
Financial Institution - Insurance - P&C— 0.3%
|
|
3,000,000
|
|
Aon North America, Inc., Sr. Unsecd. Note, 5.150%, 3/1/2029
|
3,003,038
|
|
|
Financial Institution - REIT - Other— 0.0%
|
|
300,000
|
|
WP Carey, Inc., Sr. Unsecd. Note, 4.600%, 4/1/2024
|
299,539
|
|
|
Technology— 1.5%
|
|
2,000,000
|
|
Apple, Inc., Sr. Unsecd. Note, 0.550%, 8/20/2025
|
1,880,922
|
1,000,000
|
|
Apple, Inc., Sr. Unsecd. Note, 1.125%, 5/11/2025
|
955,060
|
1,000,000
|
|
Broadcom, Inc., Sr. Unsecd. Note, 3.150%, 11/15/2025
|
965,271
|
2,520,000
|
|
CDW LLC / CDW Finance, Sr. Unsecd. Note, 2.670%, 12/1/2026
|
2,336,695
|
750,000
|
|
Dell International LLC / EMC Corp., Sr. Unsecd. Note,
4.000%, 7/15/2024
|
745,011
|
2,000,000
|
|
Oracle Corp., Sr. Unsecd. Note, 1.650%, 3/25/2026
|
1,858,153
|
1,855,000
|
|
Oracle Corp., Sr. Unsecd. Note, 2.500%, 4/1/2025
|
1,796,430
|
535,000
|
|
Skyworks Solutions, Inc., Sr. Unsecd. Note, 1.800%, 6/1/2026
|
493,429
|
2,660,000
|
|
VMware, Inc., Sr. Unsecd. Note, 1.400%, 8/15/2026
|
2,418,870
|
|
|
TOTAL
|
13,449,841
|
Principal
Amount
or Shares
|
|
|
Value
|
|
|
CORPORATE BONDS— continued
|
|
|
|
Technology Services— 0.4%
|
|
$ 4,130,000
|
|
Fortinet, Inc., Sr. Unsecd. Note, 1.000%, 3/15/2026
|
$ 3,790,827
|
|
|
Transportation - Airlines— 0.1%
|
|
770,000
|
|
Southwest Airlines Co., Sr. Unsecd. Note, 5.250%, 5/4/2025
|
768,055
|
|
|
Transportation - Services— 1.1%
|
|
1,850,000
|
|
Enterprise Rent-A-Car USA Finance Co., Sr. Unsecd. Note, 144A,
4.600%, 5/1/2028
|
1,819,068
|
5,555,000
|
|
GXO Logistics, Inc., Sr. Unsecd. Note, Series WI, 1.650%, 7/15/2026
|
5,071,100
|
1,800,000
|
|
Penske Truck Leasing Co. LP & PTL Finance Corp., Sr. Unsecd. Note,
144A, 5.550%, 5/1/2028
|
1,811,952
|
1,735,000
|
|
Ryder System, Inc., Sr. Unsecd. Note, Series MTN, 1.750%, 9/1/2026
|
1,590,197
|
|
|
TOTAL
|
10,292,317
|
|
|
Utility - Electric— 4.9%
|
|
1,135,000
|
|
American Electric Power Co., Inc., Jr. Sub. Note, 5.699%, 8/15/2025
|
1,136,870
|
430,000
|
|
American Electric Power Co., Inc., Sr. Unsecd. Note, 5.750%, 11/1/2027
|
439,070
|
790,000
|
|
American Electric Power Co., Inc., Sr. Unsecd. Note, Series N,
1.000%, 11/1/2025
|
734,604
|
3,155,000
|
|
Black Hills Corp., Sr. Unsecd. Note, 1.037%, 8/23/2024
|
3,086,305
|
2,180,000
|
|
Constellation Energy Generation LLC, Sr. Unsecd. Note,
3.250%, 6/1/2025
|
2,118,179
|
610,000
|
|
Dominion Energy, Inc., Jr. Sub. Note, 3.071%, 8/15/2024
|
602,942
|
2,000,000
|
|
Dominion Energy, Inc., Sr. Unsecd. Note, Series A, 3.300%, 3/15/2025
|
1,955,174
|
860,000
|
|
Duke Energy Corp., Sr. Unsecd. Note, 5.000%, 12/8/2027
|
854,648
|
1,005,000
|
|
Electricite de France SA, Sr. Unsecd. Note, 144A, 5.700%, 5/23/2028
|
1,023,759
|
1,915,000
|
|
Emera US Finance LP, Sr. Unsecd. Note, 0.833%, 6/15/2024
|
1,884,378
|
2,665,000
|
|
Enel Finance International NV, Sr. Unsecd. Note, 144A,
1.375%, 7/12/2026
|
2,429,046
|
1,000,000
|
|
Enel Finance International NV, Sr. Unsecd. Note, 144A,
2.650%, 9/10/2024
|
983,862
|
1,670,000
|
|
Enel Finance International NV, Sr. Unsecd. Note, 144A,
6.800%, 10/14/2025
|
1,703,052
|
5,000,000
|
|
EverSource Energy, Sr. Unsecd. Note, Series Q, 0.800%, 8/15/2025
|
4,671,738
|
5,000,000
|
|
Fells Point Funding Trust, Sr. Unsecd. Note, 3.046%, 1/31/2027
|
4,680,802
|
245,000
|
|
FirstEnergy Corp., Sr. Unsecd. Note, Series A, 1.600%, 1/15/2026
|
226,861
|
1,445,000
|
|
Florida Power & Light Co., Sec. Fac. Bond, 2.850%, 4/1/2025
|
1,409,485
|
2,500,000
|
|
National Rural Utilities Cooperative Finance Corp., Sr. Unsecd. Note,
5.450%, 10/30/2025
|
2,509,031
|
910,000
|
|
NextEra Energy Capital Holdings, Inc., Sr. Unsecd. Note,
6.051%, 3/1/2025
|
913,448
|
2,305,000
|
|
NiSource, Inc., Sr. Unsecd. Note, 5.250%, 3/30/2028
|
2,316,531
|
2,695,000
|
|
Oncor Electric Delivery Co. LLC, Sr. Unsecd. Note, Series WI,
0.550%, 10/1/2025
|
2,507,073
|
Principal
Amount
or Shares
|
|
|
Value
|
|
|
CORPORATE BONDS— continued
|
|
|
|
Utility - Electric— continued
|
|
$ 4,080,000
|
|
Public Service Enterprises Group, Inc., Sr. Unsecd. Note,
0.800%, 8/15/2025
|
$ 3,821,545
|
365,000
|
|
Public Service Enterprises Group, Inc., Sr. Unsecd. Note,
2.875%, 6/15/2024
|
361,881
|
3,000,000
|
2
|
WEC Energy Group, Inc., Sr. Unsecd. Note, 4.750%, 1/15/2028
|
2,967,055
|
|
|
TOTAL
|
45,337,339
|
|
|
Utility - Natural Gas— 0.7%
|
|
1,500,000
|
|
Enbridge, Inc., Sr. Unsecd. Note, 2.500%, 1/15/2025
|
1,462,350
|
1,985,000
|
|
National Fuel Gas Co., Sr. Unsecd. Note, 5.500%, 1/15/2026
|
1,979,267
|
3,379,000
|
|
ONE Gas, Inc., Sr. Unsecd. Note, 1.100%, 3/11/2024
|
3,375,964
|
|
|
TOTAL
|
6,817,581
|
|
|
Utility - Natural Gas Distributor— 0.2%
|
|
1,700,000
|
|
The East Ohio Gas Company, Sr. Unsecd. Note, 144A,
1.300%, 6/15/2025
|
1,612,616
|
|
|
Utility - Other— 0.1%
|
|
1,135,000
|
|
National Grid-SP PLC, Sr. Unsecd. Note, 5.602%, 6/12/2028
|
1,149,898
|
|
|
TOTAL CORPORATE BONDS
(IDENTIFIED COST $356,940,787)
|
344,670,567
|
|
|
ASSET-BACKED SECURITIES— 3.2%
|
|
|
|
Auto Receivables— 1.9%
|
|
4,250,000
|
|
Bank of America Auto Trust 2023-2, Class A3, 5.740%, 6/15/2028
|
4,304,110
|
3,275,000
|
|
BMW Vehicle Lease Trust 2024-1, Class A3, 5.200%, 3/25/2027
|
3,274,135
|
5,000,000
|
|
Enterprise Fleet Financing LLC 2023-3, Class A2, 6.400%, 3/20/2030
|
5,076,756
|
1,550,000
|
|
Honda Auto Receivables Owner Trust 2023-2, Class A3,
4.930%, 11/15/2027
|
1,545,331
|
2,275,000
|
|
Honda Auto Receivables Owner Trust 2023-4, Class A3,
5.670%, 6/21/2028
|
2,308,827
|
70,434
|
|
Hyundai Auto Receivables Trust 2020-C, Class A3, 0.380%, 5/15/2025
|
70,314
|
829,273
|
|
World Omni Auto Receivables Trust 2020-C, Class A3,
0.480%, 11/17/2025
|
823,257
|
|
|
TOTAL
|
17,402,730
|
|
|
Equipment Lease— 1.1%
|
|
3,200,000
|
|
CNH Equipment Trust 2024-A, Class A3, 4.770%, 6/15/2029
|
3,182,012
|
1,750,000
|
|
DLLST LLC 2024-1A, Class A3, 5.050%, 8/20/2027
|
1,743,511
|
1,418,854
|
|
MMAF Equipment Finance LLC 2020-A, Class A3, 0.970%, 4/9/2027
|
1,357,246
|
1,716,296
|
|
MMAF Equipment Finance LLC 2020-BA, Class A3, 0.490%, 8/14/2025
|
1,688,622
|
2,500,000
|
|
MMAF Equipment Finance LLC 2023-A, Class A3, 5.540%, 12/13/2029
|
2,496,185
|
|
|
TOTAL
|
10,467,576
|
|
|
Student Loans— 0.2%
|
|
889,206
|
|
Navient Student Loan Trust 2020-GA, Class A, 1.170%, 9/16/2069
|
801,506
|
Principal
Amount
or Shares
|
|
|
Value
|
|
|
ASSET-BACKED SECURITIES— continued
|
|
|
|
Student Loans— continued
|
|
$ 963,684
|
|
Navient Student Loan Trust 2020-HA, Class A, 1.310%, 1/15/2069
|
$ 880,937
|
|
|
TOTAL
|
1,682,443
|
|
|
TOTAL ASSET-BACKED SECURITIES
(IDENTIFIED COST $29,684,909)
|
29,552,749
|
|
|
COMMERCIAL MORTGAGE-BACKED SECURITIES— 0.9%
|
|
|
|
Commercial Mortgage— 0.9%
|
|
1,529,397
|
|
Benchmark Mortgage Trust 2019-B12, Class A2, 3.000%, 8/15/2052
|
1,510,072
|
2,885,000
|
|
Benchmark Mortgage Trust 2021-B26, Class A2, 1.957%, 6/15/2054
|
2,681,688
|
740,991
|
|
GS Mortgage Securities Trust 2019-GC39, Class A2, 3.457%, 5/10/2052
|
704,446
|
503,664
|
|
GS Mortgage Securities Trust 2019-GC40, Class A2, 2.971%, 7/10/2052
|
498,994
|
2,750,000
|
1
|
ORL Trust 2023-GLKS, Class A, 7.668% (CME Term SOFR 1 Month
+2.350%), 10/15/2028
|
2,760,320
|
|
|
TOTAL COMMERCIAL MORTGAGE-BACKED SECURITIES
(IDENTIFIED COST $8,565,001)
|
8,155,520
|
|
|
MORTGAGE-BACKED SECURITIES— 0.1%
|
|
|
|
Federal National Mortgage Association— 0.1%
|
|
577,561
|
|
Federal National Mortgage Association, Pool AS2976, 4.000%, 8/1/2044
|
543,535
|
293,818
|
|
Federal National Mortgage Association, Pool AW0029,
3.500%, 7/1/2044
|
268,237
|
|
|
TOTAL MORTGAGE-BACKED SECURITIES
(IDENTIFIED COST $910,013)
|
811,772
|
|
|
COLLATERALIZED MORTGAGE OBLIGATION— 0.0%
|
|
|
|
Federal Home Loan Mortgage Corporation— 0.0%
|
|
11,324
|
1
|
Federal Home Loan Mortgage Corp. REMIC, Series 3397, Class FC,
6.039% (30-DAY AVERAGE SOFR +0.714%), 12/15/2037
(IDENTIFIED COST $11,345)
|
11,197
|
|
|
INVESTMENT COMPANIES— 12.9%
|
|
326,169
|
|
Bank Loan Core Fund
|
2,850,718
|
1,465,213
|
|
Emerging Markets Core Fund
|
12,161,270
|
2,137,188
|
|
Federated Hermes Government Obligations Fund, Premier Shares,
5.23%3
|
2,137,188
|
6,541,808
|
|
Federated Hermes Institutional Prime Value Obligations Fund,
Institutional Shares, 5.38%3
|
6,543,116
|
6,586,983
|
|
Mortgage Core Fund
|
54,079,133
|
4,671,183
|
|
Project and Trade Finance Core Fund
|
41,199,837
|
|
|
TOTAL INVESTMENT COMPANIES
(IDENTIFIED COST $118,405,965)
|
118,971,262
|
|
|
TOTAL INVESTMENT IN SECURITIES—100.3%
(IDENTIFIED COST $947,889,244)4
|
924,660,086
|
|
|
OTHER ASSETS AND LIABILITIES - NET—(0.3)%5
|
(2,453,205)
|
|
|
TOTAL NET ASSETS—100%
|
$922,206,881
|
Description
|
Number of
Contracts
|
Notional
Value
|
Expiration
Date
|
Value and
Unrealized
Appreciation
|
Long Futures:
|
|
|
|
|
United States Treasury Notes 5-Year Long
Futures
|
375
|
$40,089,844
|
June 2024
|
$31,358
|
Affiliates
|
Value as of
8/31/2023
|
Purchases
at Cost
|
Proceeds
from Sales
|
Bank Loan Core Fund
|
$27,349,920
|
$561,157
|
$(25,000,000)
|
Emerging Markets Core Fund
|
$964,079
|
$10,364,310
|
$—
|
Federated Hermes Government Obligations Fund,
Premier Shares*
|
$1,930,025
|
$137,214,113
|
$(137,006,950)
|
Federated Hermes Institutional Prime Value Obligations
Fund, Institutional Shares
|
$2,645,870
|
$127,000,610
|
$(123,104,539)
|
Mortgage Core Fund
|
$62,671,928
|
$1,365,825
|
$(10,000,000)
|
Project and Trade Finance Core Fund
|
$54,425,357
|
$1,391,341
|
$(15,000,000)
|
TOTAL OF AFFILIATED TRANSACTIONS
|
$149,987,179
|
$277,897,356
|
$(310,111,489)
|
Change in
Unrealized
Appreciation/
Depreciation
|
Net
Realized
Gain/
(Loss)
|
Value as of
2/29/2024
|
Shares
Held as of
2/29/2024
|
Dividend
Income
|
$902,075
|
$(962,434)
|
$2,850,718
|
326,169
|
$561,238
|
$832,881
|
$—
|
$12,161,270
|
1,465,213
|
$364,341
|
$—
|
$—
|
$2,137,188
|
2,137,188
|
$89,122
|
$(349)
|
$1,524
|
$6,543,116
|
6,541,808
|
$191,331
|
$89,227
|
$(47,847)
|
$54,079,133
|
6,586,983
|
$1,365,854
|
$1,361,694
|
$(978,555)
|
$41,199,837
|
4,671,183
|
$1,391,427
|
$3,185,528
|
$(1,987,312)
|
$118,971,262
|
21,728,544
|
$3,963,313
|
*
|
All or a portion of the balance/activity for the fund relates to cash collateral received
on
securities lending transactions.
|
1
|
Floating/variable note with current rate and current maturity or next reset date shown.
|
2
|
All or a portion of these securities are temporarily on loan to unaffiliated broker/dealers.
|
3
|
7-day net yield.
|
4
|
Also represents cost of investments for federal tax purposes.
|
5
|
Assets, other than investments in securities, less liabilities. See Statement of Assets
and
Liabilities.
|
Valuation Inputs
|
||||
|
Level 1—
Quoted
Prices
|
Level 2—
Other
Significant
Observable
Inputs
|
Level 3—
Significant
Unobservable
Inputs
|
Total
|
Debt Securities:
|
|
|
|
|
U.S. Treasuries
|
$—
|
$422,487,019
|
$—
|
$422,487,019
|
Corporate Bonds
|
—
|
344,670,567
|
—
|
344,670,567
|
Asset-Backed Securities
|
—
|
29,552,749
|
—
|
29,552,749
|
Commercial Mortgage-Backed
Securities
|
—
|
8,155,520
|
—
|
8,155,520
|
Mortgage-Backed Securities
|
—
|
811,772
|
—
|
811,772
|
Collateralized Mortgage Obligation
|
—
|
11,197
|
—
|
11,197
|
Investment Companies1
|
77,771,425
|
—
|
—
|
118,971,262
|
TOTAL SECURITIES
|
$77,771,425
|
$805,688,824
|
$—
|
$924,660,086
|
Other Financial Instruments:2
|
|
|
|
|
Assets
|
$31,358
|
$—
|
$—
|
$31,358
|
1
|
As permitted by U.S. generally accepted accounting principles (GAAP), an Investment
Company
valued at $41,199,837 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 Statement 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
|
|
MTN
|
—Medium Term Note
|
|
REIT
|
—Real Estate Investment Trust
|
|
REMIC
|
—Real Estate Mortgage Investment Conduit
|
|
SOFR
|
—Secured Overnight Financing Rate
|
|
Six Months
Ended
(unaudited)
2/29/2024
|
Year Ended August 31,
|
||||
|
2023
|
2022
|
2021
|
2020
|
2019
|
|
Net Asset Value, Beginning of Period
|
$9.85
|
$9.95
|
$10.69
|
$10.73
|
$10.45
|
$10.13
|
Income From Investment Operations:
|
|
|
|
|
|
|
Net investment income (loss)1
|
0.15
|
0.21
|
0.13
|
0.11
|
0.18
|
0.22
|
Net realized and unrealized gain (loss)
|
0.11
|
(0.10)
|
(0.74)
|
(0.04)
|
0.28
|
0.32
|
Total From Investment
Operations
|
0.26
|
0.11
|
(0.61)
|
0.07
|
0.46
|
0.54
|
Less Distributions:
|
|
|
|
|
|
|
Distributions from net investment income
|
(0.15)
|
(0.21)
|
(0.13)
|
(0.11)
|
(0.18)
|
(0.22)
|
Net Asset Value, End of Period
|
$9.96
|
$9.85
|
$9.95
|
$10.69
|
$10.73
|
$10.45
|
Total Return2
|
2.63%
|
1.16%
|
(5.77)%
|
0.68%
|
4.41%
|
5.35%
|
Ratios to Average Net Assets:
|
|
|
|
|
|
|
Net expenses3
|
0.62%4
|
0.62%
|
0.62%
|
0.62%
|
0.62%
|
0.62%
|
Net investment income
|
2.99%4
|
2.13%
|
1.24%
|
1.06%
|
1.18%
|
2.10%
|
Expense waiver/reimbursement5
|
0.09%4
|
0.08%
|
0.07%
|
0.08%
|
0.20%
|
0.17%
|
Supplemental Data:
|
|
|
|
|
|
|
Net assets, end of period (000 omitted)
|
$304,608
|
$376,551
|
$680,888
|
$1,420,469
|
$835,680
|
$23,774
|
Portfolio turnover6
|
24%
|
39%
|
22%
|
19%
|
20%
|
33%
|
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)
2/29/2024
|
Year Ended August 31,
|
||||
|
2023
|
2022
|
2021
|
2020
|
2019
|
|
Net Asset Value, Beginning of Period
|
$9.85
|
$9.94
|
$10.69
|
$10.72
|
$10.45
|
$10.13
|
Income From Investment Operations:
|
|
|
|
|
|
|
Net investment income (loss)1
|
0.16
|
0.24
|
0.15
|
0.14
|
0.20
|
0.24
|
Net realized and unrealized gain (loss)
|
0.11
|
(0.09)
|
(0.75)
|
(0.03)
|
0.27
|
0.32
|
Total From Investment
Operations
|
0.27
|
0.15
|
(0.60)
|
0.11
|
0.47
|
0.56
|
Less Distributions:
|
|
|
|
|
|
|
Distributions from net investment income
|
(0.16)
|
(0.24)
|
(0.15)
|
(0.14)
|
(0.20)
|
(0.24)
|
Net Asset Value, End of Period
|
$9.96
|
$9.85
|
$9.94
|
$10.69
|
$10.72
|
$10.45
|
Total Return2
|
2.76%
|
1.51%
|
(5.63)%
|
1.03%
|
4.58%
|
5.61%
|
Ratios to Average Net Assets:
|
|
|
|
|
|
|
Net expenses3
|
0.37%4
|
0.37%
|
0.37%
|
0.37%
|
0.37%
|
0.37%
|
Net investment income
|
3.24%4
|
2.40%
|
1.48%
|
1.31%
|
1.87%
|
2.36%
|
Expense waiver/reimbursement5
|
0.11%4
|
0.10%
|
0.10%
|
0.10%
|
0.16%
|
0.15%
|
Supplemental Data:
|
|
|
|
|
|
|
Net assets, end of period (000 omitted)
|
$394,781
|
$438,864
|
$631,841
|
$560,396
|
$449,201
|
$289,131
|
Portfolio turnover6
|
24%
|
39%
|
22%
|
19%
|
20%
|
33%
|
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)
2/29/2024
|
Year Ended August 31,
|
||||
|
2023
|
2022
|
2021
|
2020
|
2019
|
|
Net Asset Value, Beginning of Period
|
$9.84
|
$9.94
|
$10.68
|
$10.72
|
$10.44
|
$10.12
|
Income From Investment Operations:
|
|
|
|
|
|
|
Net investment income (loss)1
|
0.15
|
0.21
|
0.13
|
0.11
|
0.19
|
0.21
|
Net realized and unrealized gain (loss)
|
0.11
|
(0.10)
|
(0.74)
|
(0.04)
|
0.27
|
0.32
|
Total From Investment Operations
|
0.26
|
0.11
|
(0.61)
|
0.07
|
0.46
|
0.53
|
Less Distributions:
|
|
|
|
|
|
|
Distributions from net investment income
|
(0.15)
|
(0.21)
|
(0.13)
|
(0.11)
|
(0.18)
|
(0.21)
|
Net Asset Value, End of Period
|
$9.95
|
$9.84
|
$9.94
|
$10.68
|
$10.72
|
$10.44
|
Total Return2
|
2.63%
|
1.16%
|
(5.77)%
|
0.68%
|
4.42%
|
5.35%
|
Ratios to Average Net Assets:
|
|
|
|
|
|
|
Net expenses3
|
0.62%4
|
0.62%
|
0.62%
|
0.62%
|
0.62%
|
0.62%
|
Net investment income
|
2.99%4
|
2.15%
|
1.23%
|
1.05%
|
1.62%
|
2.10%
|
Expense waiver/reimbursement5
|
0.11%4
|
0.10%
|
0.10%
|
0.11%
|
0.17%
|
0.15%
|
Supplemental Data:
|
|
|
|
|
|
|
Net assets, end of period (000 omitted)
|
$10,890
|
$11,860
|
$14,235
|
$17,757
|
$18,388
|
$12,477
|
Portfolio turnover6
|
24%
|
39%
|
22%
|
19%
|
20%
|
33%
|
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)
2/29/2024
|
Year Ended August 31,
|
||||
|
2023
|
2022
|
2021
|
2020
|
2019
|
|
Net Asset Value, Beginning of Period
|
$9.85
|
$9.94
|
$10.69
|
$10.72
|
$10.45
|
$10.13
|
Income From Investment Operations:
|
|
|
|
|
|
|
Net investment income (loss)1
|
0.16
|
0.24
|
0.15
|
0.14
|
0.20
|
0.24
|
Net realized and unrealized gain (loss)
|
0.11
|
(0.09)
|
(0.75)
|
(0.03)
|
0.27
|
0.32
|
Total From Investment
Operations
|
0.27
|
0.15
|
(0.60)
|
0.11
|
0.47
|
0.56
|
Less Distributions:
|
|
|
|
|
|
|
Distributions from net investment income
|
(0.16)
|
(0.24)
|
(0.15)
|
(0.14)
|
(0.20)
|
(0.24)
|
Net Asset Value, End of Period
|
$9.96
|
$9.85
|
$9.94
|
$10.69
|
$10.72
|
$10.45
|
Total Return2
|
2.76%
|
1.52%
|
(5.62)%
|
1.04%
|
4.59%
|
5.62%
|
Ratios to Average Net Assets:
|
|
|
|
|
|
|
Net expenses3
|
0.36%4
|
0.36%
|
0.36%
|
0.36%
|
0.36%
|
0.36%
|
Net investment income
|
3.26%4
|
2.43%
|
1.49%
|
1.33%
|
1.87%
|
2.37%
|
Expense waiver/reimbursement5
|
0.07%4
|
0.06%
|
0.06%
|
0.06%
|
0.13%
|
0.12%
|
Supplemental Data:
|
|
|
|
|
|
|
Net assets, end of period (000 omitted)
|
$211,928
|
$214,723
|
$201,845
|
$179,432
|
$76,732
|
$48,105
|
Portfolio turnover6
|
24%
|
39%
|
22%
|
19%
|
20%
|
33%
|
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.
|
Assets:
|
|
Investment in securities, at value including $2,075,443 of securities loaned and
$118,971,262 of investments in affiliated holdings* (identified cost $947,889,244,
including $118,405,965 of identified cost in affiliated holdings)
|
$924,660,086
|
Income receivable
|
4,435,915
|
Income receivable from affiliated holdings
|
576,416
|
Receivable for shares sold
|
311,244
|
Receivable for variation margin on futures contracts
|
5,873
|
Total Assets
|
929,989,534
|
Liabilities:
|
|
Payable for investments purchased
|
3,553,101
|
Payable for shares redeemed
|
1,507,716
|
Payable for collateral due to broker for securities lending (Note 2)
|
2,137,188
|
Income distribution payable
|
342,417
|
Payable for investment adviser fee (Note 5)
|
5,934
|
Payable for administrative fee (Note 5)
|
1,952
|
Payable for Directors’/Trustees’ fees (Note 5)
|
1,810
|
Payable for other service fees (Notes 2 and 5)
|
63,806
|
Accrued expenses (Note 5)
|
168,729
|
Total Liabilities
|
7,782,653
|
Net assets for 92,582,870 shares outstanding
|
$922,206,881
|
Net Assets Consist of:
|
|
Paid-in capital
|
$1,057,678,094
|
Total distributable earnings (loss)
|
(135,471,213)
|
Total Net Assets
|
$922,206,881
|
Net Asset Value, Offering Price and Redemption Proceeds Per Share:
|
|
Class A Shares:
|
|
Net asset value per share ($304,607,791 ÷ 30,571,676 shares outstanding), no par
value, unlimited shares authorized
|
$9.96
|
Offering price per share (100/99.00 of $9.96)
|
$10.06
|
Redemption proceeds per share
|
$9.96
|
Institutional Shares:
|
|
Net asset value per share ($394,781,345 ÷ 39,636,518 shares outstanding), no par
value, unlimited shares authorized
|
$9.96
|
Offering price per share
|
$9.96
|
Redemption proceeds per share
|
$9.96
|
Service Shares:
|
|
Net asset value per share ($10,889,934 ÷ 1,094,219 shares outstanding), no par
value, unlimited shares authorized
|
$9.95
|
Offering price per share
|
$9.95
|
Redemption proceeds per share
|
$9.95
|
Class R6 Shares:
|
|
Net asset value per share ($211,927,811 ÷ 21,280,457 shares outstanding), no par
value, unlimited shares authorized
|
$9.96
|
Offering price per share
|
$9.96
|
Redemption proceeds per share
|
$9.96
|
*
|
See information listed after the Fund’s Portfolio of Investments.
|
Investment Income:
|
|
Interest
|
$13,584,533
|
Dividends received from affiliated holdings*
|
3,874,191
|
Net income on securities loaned (includes $89,122 earned from affiliated holdings
related to cash collateral balances) (Note 2)
|
17,980
|
TOTAL INCOME
|
17,476,704
|
Expenses:
|
|
Investment adviser fee (Note 5)
|
1,450,577
|
Administrative fee (Note 5)
|
377,470
|
Custodian fees
|
19,291
|
Transfer agent fees (Note 2)
|
220,992
|
Directors’/Trustees’ fees (Note 5)
|
3,785
|
Auditing fees
|
17,528
|
Legal fees
|
5,467
|
Portfolio accounting fees
|
86,168
|
Other service fees (Notes 2 and 5)
|
432,417
|
Share registration costs
|
27,506
|
Printing and postage
|
35,022
|
Miscellaneous (Note 5)
|
15,713
|
TOTAL EXPENSES
|
2,691,936
|
Waiver and Reimbursements:
|
|
Waiver/reimbursement of investment adviser fee (Note 5)
|
(328,292)
|
Reimbursement of other operating expenses (Notes 2 and 5)
|
(129,078)
|
TOTAL WAIVER AND REIMBURSEMENTS
|
(457,370)
|
Net expenses
|
2,234,566
|
Net investment income
|
15,242,138
|
Realized and Unrealized Gain (Loss) on Investments and Futures Contracts:
|
|
Net realized loss on investments (including net realized loss of $(1,987,312) on sales
of
investments in affiliated holdings*)
|
(21,790,535)
|
Net realized loss on futures contracts
|
(48,334)
|
Net change in unrealized depreciation of investments (including net change in
unrealized depreciation of $3,185,528 on investments in affiliated holdings*)
|
32,512,337
|
Net change in unrealized appreciation of futures contracts
|
(239,516)
|
Net realized and unrealized gain (loss) on investments and futures contracts
|
10,433,952
|
Change in net assets resulting from operations
|
$25,676,090
|
*
|
See information listed after the Fund’s Portfolio of Investments.
|
|
Six Months
Ended
(unaudited)
2/29/2024
|
Year Ended
8/31/2023
|
Increase (Decrease) in Net Assets
|
|
|
Operations:
|
|
|
Net investment income
|
$15,242,138
|
$29,168,566
|
Net realized gain (loss)
|
(21,838,869)
|
(45,772,731)
|
Net change in unrealized appreciation/depreciation
|
32,272,821
|
31,144,596
|
CHANGE IN NET ASSETS RESULTING FROM OPERATIONS
|
25,676,090
|
14,540,431
|
Distributions to Shareholders:
|
|
|
Class A Shares
|
(4,992,179)
|
(10,561,499)
|
Institutional Shares
|
(6,634,628)
|
(13,092,761)
|
Service Shares
|
(170,449)
|
(270,645)
|
Class R6 Shares
|
(3,439,843)
|
(5,285,825)
|
CHANGE IN NET ASSETS RESULTING FROM DISTRIBUTIONS
TO SHAREHOLDERS
|
(15,237,099)
|
(29,210,730)
|
Share Transactions:
|
|
|
Proceeds from sale of shares
|
90,558,588
|
232,626,052
|
Net asset value of shares issued to shareholders in payment of
distributions declared
|
13,208,315
|
26,128,186
|
Cost of shares redeemed
|
(233,996,279)
|
(730,895,781)
|
CHANGE IN NET ASSETS RESULTING FROM
SHARE TRANSACTIONS
|
(130,229,376)
|
(472,141,543)
|
Change in net assets
|
(119,790,385)
|
(486,811,842)
|
Net Assets:
|
|
|
Beginning of period
|
1,041,997,266
|
1,528,809,108
|
End of period
|
$922,206,881
|
$1,041,997,266
|
|
Transfer Agent
Fees Incurred
|
Transfer Agent
Fees Reimbursed
|
Class A Shares
|
$82,017
|
$(46,530)
|
Institutional Shares
|
123,473
|
(80,057)
|
Service Shares
|
3,703
|
(2,491)
|
Class R6 Shares
|
11,799
|
—
|
TOTAL
|
$220,992
|
$(129,078)
|
|
Other Service
Fees Incurred
|
Class A Shares
|
$418,171
|
Service Shares
|
14,246
|
TOTAL
|
$432,417
|
Fair Value of Derivative Instruments
|
||
|
Assets
|
|
|
Statement of
Assets and
Liabilities
Location
|
Fair
Value
|
Derivatives not accounted for as hedging instruments
under ASC Topic 815
|
|
|
Interest rate contracts
|
Receivable for variation margin on
futures contracts
|
$31,358*
|
*
|
Includes cumulative net appreciation 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
|
$(48,334)
|
Change in Unrealized Appreciation or (Depreciation) on Derivatives Recognized in Income
|
|
|
Futures
Contracts
|
Interest rate contracts
|
$(239,516)
|
Fair Value of
Securities Loaned
|
Collateral
Received
|
$2,075,443
|
$2,137,188
|
|
Six Months Ended
2/29/2024
|
Year Ended
8/31/2023
|
||
Class A Shares:
|
Shares
|
Amount
|
Shares
|
Amount
|
Shares sold
|
1,323,691
|
$13,164,044
|
2,767,723
|
$27,296,374
|
Shares issued to shareholders in payment of
distributions declared
|
501,476
|
4,971,181
|
1,068,381
|
10,521,380
|
Shares redeemed
|
(9,476,727)
|
(93,697,970)
|
(34,065,288)
|
(335,336,694)
|
NET CHANGE RESULTING FROM CLASS A
SHARE TRANSACTIONS
|
(7,651,560)
|
$(75,562,745)
|
(30,229,184)
|
$(297,518,940)
|
|
Six Months Ended
2/29/2024
|
Year Ended
8/31/2023
|
||
Institutional Shares:
|
Shares
|
Amount
|
Shares
|
Amount
|
Shares sold
|
5,510,989
|
$54,532,464
|
12,519,083
|
$123,121,896
|
Shares issued to shareholders in payment of
distributions declared
|
658,491
|
6,527,636
|
1,291,529
|
12,714,045
|
Shares redeemed
|
(11,097,295)
|
(109,504,456)
|
(32,792,800)
|
(322,706,890)
|
NET CHANGE RESULTING FROM
INSTITUTIONAL SHARE TRANSACTIONS
|
(4,927,815)
|
$(48,444,356)
|
(18,982,188)
|
$(186,870,949)
|
|
Six Months Ended
2/29/2024
|
Year Ended
8/31/2023
|
||
Service Shares:
|
Shares
|
Amount
|
Shares
|
Amount
|
Shares sold
|
24,793
|
$246,197
|
124,110
|
$1,223,445
|
Shares issued to shareholders in payment of
distributions declared
|
17,181
|
170,171
|
27,505
|
270,635
|
Shares redeemed
|
(152,992)
|
(1,514,727)
|
(379,110)
|
(3,712,278)
|
NET CHANGE RESULTING FROM SERVICE
SHARE TRANSACTIONS
|
(111,018)
|
$(1,098,359)
|
(227,495)
|
$(2,218,198)
|
|
Six Months Ended
2/29/2024
|
Year Ended
8/31/2023
|
||
Class R6 Shares:
|
Shares
|
Amount
|
Shares
|
Amount
|
Shares sold
|
2,274,973
|
$22,615,883
|
8,259,780
|
$80,984,337
|
Shares issued to shareholders in payment of
distributions declared
|
155,229
|
1,539,327
|
266,353
|
2,622,126
|
Shares redeemed
|
(2,956,442)
|
(29,279,126)
|
(7,022,274)
|
(69,139,919)
|
NET CHANGE RESULTING FROM
CLASS R6 SHARE TRANSACTIONS
|
(526,240)
|
$(5,123,916)
|
1,503,859
|
$14,466,544
|
NET CHANGE RESULTING FROM TOTAL
FUND SHARE TRANSACTIONS
|
(13,216,633)
|
$(130,229,376)
|
(47,935,008)
|
$(472,141,543)
|
Short-Term
|
Long-Term
|
Total
|
$24,633,783
|
$64,900,820
|
$89,534,603
|
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
|
$52,402,987
|
Sales
|
$78,914,227
|
|
Beginning
Account Value
9/1/2023
|
Ending
Account Value
2/29/2024
|
Expenses Paid
During Period1
|
Actual:
|
|
|
|
Class A Shares
|
$1,000
|
$1,026.30
|
$3.12
|
Institutional Shares
|
$1,000
|
$1,027.60
|
$1.87
|
Service Shares
|
$1,000
|
$1,026.30
|
$3.12
|
Class R6 Shares
|
$1,000
|
$1,027.60
|
$1.81
|
Hypothetical (assuming a 5% return
before expenses):
|
|
|
|
Class A Shares
|
$1,000
|
$1,021.78
|
$3.12
|
Institutional Shares
|
$1,000
|
$1,023.02
|
$1.86
|
Service Shares
|
$1,000
|
$1,021.78
|
$3.12
|
Class R6 Shares
|
$1,000
|
$1,023.07
|
$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 182/366 (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%
|
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 18. | Recovery of Erroneously Awarded Compensation |
(a) | Not Applicable |
(b) | 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/ Jeremy D. Boughton
Jeremy D. Boughton
Principal Financial Officer
Date April 23, 2024
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 23, 2024
By /S/ Jeremy D. Boughton
Jeremy D. Boughton
Principal Financial Officer
Date April 23, 2024