Federated Capital Income Fund (A) CAPAX

Share Classes Product Type Asset Class Category
Mutual Fund Balanced/Hybrid Conservative Allocation

Federated Capital Income Fund received a Lipper Award for its category-leading performance. Portfolio Manager Linda Bakhshian discusses its investment process.

Reasons to Own

A Strategic Mix of Dividend-Paying Stocks and Income-Producing Bonds
The combined equity and bond portfolio provides low correlation and may help cushion the portfolio’s volatility as well as offset the impact of inflation.

  • The equity allocation is broadly diversified across sectors and market-leading value companies.
  • The bond portfolio is diversified across high-yield, high-quality government and corporate as well as developed and emerging market sectors.

Pursues More Income with Less Risk
The portfolio seeks to generate relatively high current income while managing risk through diversification across asset classes, sectors and individual securities.

The fund focuses on dividend-producing stocks that have typically been less volatile than non-dividend paying companies. The fund’s investments in multiple bond sectors seek to avoid undue risk in the pursuit of higher yield.

Upside Participation, Lower Downside Risk
The fund’s unique combination of stocks and bonds seeks to:

  • Lower downside risk during market declines,helping investors avoid substantial losses that diminish wealth and income.
  • Enhance opportunity to capture the markets’upside potential.


F-Shares. For the 3-year period ending 12-31-2013 out of 295 funds in the Mixed Asset Target Allocation Conservative Funds classification.

Chart the fund's growth

Learn more

Past performance is no guarantee of future results.
The currency for the calculation corresponds to the currency of the country for which the awards are calculated and relies on monthly data. Classification averages are calculated with all eligible share classes for each eligible classification. The calculation periods extend over 36, 60, and 120 months. The highest Lipper Leader for Consistent Return (Effective Return) value within each eligible classification determines the fund classification winner over three, five, or ten years. For a detailed explanation please review the Lipper Leaders methodology document on www.lipperweb.com.
Although Lipper makes reasonable efforts to ensure the accuracy and reliability of the data contained herein, the accuracy is not guaranteed by Lipper. Users acknowledge that they have not relied upon any warranty, condition, guarantee or representation made by Lipper. Any use of the data for analyzing, managing or trading financial instruments is at the user's own risk. This is not an offer to buy or sell securities.
International investing involves special risks including currency risk, increased volatility, political risks, and differences in auditing and other financial standards. Prices of emerging-markets securities can be significantly more volatile than the prices of securities in developed countries, and currency risk and political risks are accentuated in emerging markets.
High-yield, lower-rated securities generally entail greater market, credit, and liquidity risk than investment-grade securities and may include higher volatility and higher risk of default.
Diversification does not assure a profit nor protect against loss.
Bond prices are sensitive to changes in interest rates, and a rise in interest rates can cause a decline in their prices.
Investors should carefully consider the fund's investment objectives, risks, charges and expenses before investing. To obtain a summary prospectus or prospectus containing this and other information, contact us or view the prospectus provided on this website. Please carefully read the summary prospectus or prospectus before investing.
Federated Securities Corp., Distributor
Copyright © 2014 Federated Investors, Inc.

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