PITTSBURGH, Aug. 9, 2024
/PRNewswire/ -- Federated Hermes, Inc. (NYSE: FHI), a global
leader in active investing, today announced that the Board of
Trustees of Federated Hermes ETF 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, changing from a diversified company to a
non-diversified company, subject to shareholder approval. The Board
of Trustees also established 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 expected that the proposed
change will be approved by written consent in lieu of a shareholder
meeting and that no proxy or solicitation will be necessary. If
approved in this manner, the change is expected to be effective on
Aug. 26, 2024.
The Fund pursues its principal investment strategy, in part, by
seeking to approximate exposure to companies listed in the Russell
1000® Growth Index (the "Index") in relation to their index
weightings, although the Fund is not designed to track the overall
composition or returns of the Index and the investment adviser
actively manages the Fund's investment strategy. The proposed
change to the Fund's diversification classification is intended to
provide the Fund with greater long-term flexibility in executing
its investment strategy, in particular at times when the weightings
of individual issuers in the Index exceed the diversification
limits under the Investment Company Act of 1940. The change in the
fundamental policy is not expected to substantially affect the
Fund's principal investment strategies.
Investors can view fund and portfolio information in the
Products section of FederatedHermes.com/us.
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. We deliver
investment solutions that help investors target a broad range of
outcomes and provide equity, fixed-income, alternative/private
markets, multi-asset and liquidity management strategies to more
than 10,000 institutions and intermediaries worldwide. Our clients
include corporations, government entities, insurance companies,
foundations and endowments, banks and broker/dealers. Headquartered
in Pittsburgh, Federated Hermes
has more than 2,000 employees in London, New
York, Boston and offices
worldwide. For more information, visit
FederatedHermes.com/us.
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Certain statements 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, constitute or
may 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 Fund to be materially different from any future results, levels
of activity, performance or achievements expressed or implied by
such forward-looking statements. Any forward-looking statement, and
the Fund's level of business activity and financial results, are
inherently subject to significant business, market, economic,
competitive, regulatory and other risks and uncertainties, many of
which are difficult to predict and beyond the Fund's and its
investment adviser's control. Risks and uncertainties could vary
significantly depending on various factors, such as market
conditions, investment performance and investor behavior. Other
risks and uncertainties include the risk factors discussed in the
Fund's registration statement, including its prospectus and
statement of additional information, 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 none of the Fund, its investment adviser, or any other person
assumes responsibility for the accuracy and completeness, or
updating, of such statements in the future.
For more complete information, visit
FederatedHermes.com/us or contact your investment professional for
summary prospectuses or prospectuses. You should consider the
fund's investment objectives, risks, charges and expenses carefully
before you invest. Information about these and other important
subjects is in the fund's summary prospectus or prospectus, which
you should read carefully before investing. Prospectuses are
available by calling Federated Hermes at 1-800-341-7400 or by
visiting FederatedHermes.com/us.
Fund shares are bought and sold on an exchange at market price
(not NAV) and are not individually redeemed from the Fund. However,
shares may be redeemed at NAV directly by certain authorized
broker-dealers (Authorized Participants) in very large
creation/redemption units. Investors purchasing and selling at
market price may pay brokerage commissions which will reduce
returns. Market price returns are based on the official closing
price of an ETF share or, if the official closing price isn't
available, the midpoint between the national best bid and national
best offer ("NBBO") as of the time the ETF calculates the current
NAV per share. NAVs are calculated using prices as of 4 p.m. Eastern Time.
Federated Securities Corp., Distributor
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SOURCE Federated Hermes, Inc.