Clover Balanced SMA

Separately Managed Accounts .

Overview

 
STRATEGY

A blended, active stock & bond portfolio that combines our All Cap Value equity selections with high quality fixed-income securities, to seek capital appreciation with less volatility than an all-equity strategy. With a target allocation of 60% equities and 40% fixed income, the stock portion invests in a broad range of large-, mid- and small-cap U.S. companies whose stocks are believed to be trading below their intrinsic values, while the bond portion invests primarily in Treasuries and U.S. government bonds.

KEY FACTS
Key Facts - Part 1
Benchmark 60% Russell 3000® Value Index/40% Bloomberg US Intermediate Treasury Index
Key Facts - Part 2
Strategy Inception Date October 1 2009
INVESTMENT GOALS Retirement
Growth
Income
KEY INVESTMENT TEAM
Stephen Gutch, CFA
Senior Vice President
Head of Value Equity Team
Senior Portfolio Manager

joined Federated Hermes
29 years of experience
Denis Doherty, CFA
Senior Vice President
Senior Portfolio Manager, Head of Managed Accounts Group

joined Federated Hermes
37 years of experience
Adam Koser, CFA
Vice President
Portfolio Manager
Senior Investment Analyst

joined Federated Hermes
19 years of experience
Robert Schwartz
Associate Portfolio Manager, Fixed Income Managed Accounts

joined Federated Hermes
7 years of experience

Documents

 
DISCLOSURES

Investment strategies described on this site are not necessarily available through every sponsor program. Please check with your Federated Hermes representative or your home office to ascertain accessibility.

For a detailed discussion of Managed Account strategies or to receive additional information, please Contact Us.

Investing in equities is speculative and involves substantial risk.

Bond prices are sensitive to changes in interest rates, and a rise in interest rates can cause a decline in their prices.

Index descriptions (An index is unmanaged and has no expenses, and it is not possible to invest directly in an index.)

The Russell 3000® Value Index: The Russell 3000® Value Index is representative of those Russell 3000® Index companies with lower price-to-book ratios and lower forecasted growth values.  The stocks in this index are also members of either the Russell 1000® Value Index or Russell 2000® Value Index

Price-to-earnings ratio (P/E): A ratio comparing the company’s current share price, as compared to its earnings-per-share, for the last twelve months (LTM), or estimated for the next 12 months (NTM), current fiscal year (FY1), or next (forward) fiscal year.

Effective Duration: A measure of a security’s price sensitivity to changes in interest rates. One of the methods of calculating the risk associated with interest rate changes on securities such as bonds.

The characteristics are based on a portfolio which is used as a guide for cloning (or managing) underlying accounts to a particular strategy. Taking into consideration individual investor circumstances could cause deviation from this guide (e.g. restrictions, tax requests, etc.). Portfolio characteristics are as of the date shown above and are based on individual securities in the portfolio on that date. Securities in the portfolio are subject to change.

Risk statistics are based on gross performance. Statistics shown are not indicative of future statistics and are not representative of future portfolio performance.

Yield to Maturity (YTM): Used to determine the rate of return an investor would receive if a long-term, interest-bearing investment, such as a bond, is held to its maturity date. It takes into account purchase price, redemption value, time to maturity, coupon yield, and the time between interest payments.

Weighted average coupon: This figure is calculated by weighting each bond's coupon by its relative size in the portfolio. This figure indicates whether the portfolio has more high- or low-coupon bonds.

Current yield: The coupon divided by price. Portfolio current yield is the market value weighted average of the security level current yields.

Federated Investment Counseling