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Federated Hermes, Inc. reports record assets under management with second quarter 2026 earnings

July 30, 2026 4:17 PM
  • Total assets under management reach a record $911.6 billion
  • Equity assets reach a record $109.6 billion
  • Q2 2026 earnings per diluted share of $1.38
  • Board declares $0.38 per share dividend

PITTSBURGH, July 30, 2026 /PRNewswire/ -- Federated Hermes, Inc. (NYSE: FHI), a global leader in active investing, today reported earnings per diluted share (EPS) of $1.38 for Q2 2026, compared to $1.16 for the same quarter last year, on net income of $104.3 million for Q2 2026, compared to $91.0 million for Q2 2025.

Federated Hermes' total managed assets were a record $911.6 billion at June 30, 2026, up $65.9 billion or 8% from $845.7 billion at June 30, 2025 and up $4.5 billion from $907.1 billion at March 31, 2026. Total average managed assets for Q2 2026 were $910.0 billion, up $72.7 billion or 9% from $837.3 billion for Q2 2025 and down $5.6 billion or 1% from $915.6 billion for Q1 2026.

"In addition to reaching record high equity assets in the second quarter, we achieved record gross sales across the range of our MDT suite of quantitative investment solutions, reaching all-time highs in MDT institutional separate accounts and SMAs (separately managed accounts). We also saw net positive MDT sales for the 14th consecutive quarter," said J. Christopher Donahue, president and chief executive officer.

"We continued to broaden our investment offerings by launching two new exchange-traded funds (ETFs) and introducing our first fund designed for use by participants in the blockchain ecosystem. We also expanded our private markets business by acquiring a majority interest in U.S. real estate manager FCP Fund Manager, L.P.," he said.

Federated Hermes' board of directors declared a dividend of $0.38 per share. The dividend is payable on Aug 14, 2026 to shareholders of record as of Aug 7, 2026. During Q2 2026, Federated Hermes purchased 1,119,805 shares of Federated Hermes class B common stock for $58.9 million.

Equity assets were a record $109.6 billion at June 30, 2026, up $20.6 billion or 23% from $89.0 billion at June 30, 2025 and up $8.8 billion or 9% from $100.8 billion at March 31, 2026. Top-selling equity funds during Q2 2026 on a net basis were Federated Hermes MDT Large Cap Growth Fund, Federated Hermes MDT Mid Cap Growth Fund, Federated Hermes MDT US Equity Fund, Federated Hermes MDT All Cap Core Fund and Federated Hermes MDT Small Cap Core Fund.

Fixed-income assets were $100.5 billion at June 30, 2026, up $1.8 billion or 2% from $98.7 billion at June 30, 2025 and up $0.7 billion or 1% from $99.8 billion at March 31, 2026. Top-selling fixed-income funds during Q2 2026 on a net basis were Federated Hermes Ultrashort Bond Fund, Federated Hermes Total Return Bond ETF, Federated Hermes Conservative Municipal Microshort Fund, Federated Hermes Adjustable Rate Fund and Federated Hermes Conservative Microshort Fund.

Alternative/private markets assets were $21.6 billion at June 30, 2026, up $0.9 billion or 4% from $20.7 billion at June 30, 2025 and up $2.6 billion or 14% from $19.0 billion at March 31, 2026. The increase was primarily due to $3.2 billion of assets acquired through the FCP Fund Manager, L.P. (FCP) transaction.

Money market assets were $676.9 billion at June 30, 2026, up $42.5 billion or 7% from $634.4 billion at June 30, 2025 and down $7.8 billion or 1% from $684.7 billion at March 31, 2026. Money market fund assets were $499.9 billion at June 30, 2026, up $31.9 billion or 7% from $468.0 billion at June 30, 2025 and down $2.9 billion or 1% from $502.8 billion at March 31, 2026.

Financial Summary

Q2 2026 vs. Q2 2025

Revenue increased $77.9 million or 18% primarily due to an increase from higher average equity and money market assets as well as due to the FCP acquisition in Q2 2026 ($13.9 million).

During Q2 2026, Federated Hermes derived 50% of its revenue from money market assets, 48% from long-term assets (30% from equity, 10% from fixed-income, and 8% from alternative/private markets and multi-asset) and 2% from sources other than managed assets.

Operating expenses increased $62.1 million or 20% primarily due to a $22.4 million increase in distribution expenses resulting primarily from higher average money market fund assets, a $16.7 million increase in compensation and related expense, including $6.5 million of FCP-acquisition-related expenses, a $9.2 million increase in other expense primarily due to fluctuations in foreign currency exchange rates, and a $7.0 million increase in professional service fees including $4.7 million of FCP-acquisition-related expenses. Intangible asset related expenses increased $2.9 million, including $3.0 million of amortization of intangible assets associated with the FCP acquisition.

Nonoperating income (expenses), net for Q2 2026 decreased $2.6 million or 19% primarily due to a decrease in interest and dividend income.

Q2 2026 vs. Q1 2026

Revenue increased $23.8 million or 5% primarily due to the FCP acquisition in Q2 2026 ($13.9 million) and higher average equity assets.

Operating expenses increased $17.3 million or 5% primarily due to a $7.4 million increase in compensation and related expense including $6.5 million of FCP-acquisition-related expenses and a $4.3 million increase in professional service fees primarily due to the increase of FCP-acquisition-related expenses of $3.2 million. Intangible asset related expenses increased $3.0 million due to the amortization of intangible assets associated with the FCP acquisition.

Nonoperating income (expenses), net increased $7.7 million primarily due to a larger increase in the market value of investments in Q2 2026 as compared to the increase in the market value of the investments in Q1 2026.

YTD 2026 vs. YTD 2025

Revenue increased $133.3 million or 16% primarily due to an increase from higher average money market and equity assets and due to the FCP acquisition in Q2 2026 ($13.9 million).

For the first half of 2026, Federated Hermes derived 52% of its revenue from money market assets, 47% from long-term assets (30% from equity, 10% from fixed-income, and 7% from alternative/private markets and multi-asset) and 1% from sources other than managed assets.

Operating expenses increased $123.0 million or 21% primarily due to a $49.0 million increase in distribution expenses resulting primarily from higher average money market fund assets, a $27.5 million increase in compensation and related expense primarily due to higher incentive compensation and $6.5 million of FCP-acquisition-related expenses, a $27.4 million increase in other expense primarily due to a value added tax (VAT) refund received in Q1 2025 related to amended VAT filings in the U.K. and fluctuations in foreign currency exchange rates, and a $9.8 million increase in professional service fees primarily due to $6.2 million in FCP-acquisition-related expenses and costs related to global technology projects. Intangible asset related expenses increased $3.1 million due primarily to $3.0 million related to the amortization of intangible assets associated with the FCP acquisition.

Nonoperating income (expenses), net decreased $3.4 million primarily due to a decrease in interest and dividend income.

Earnings call information

Federated Hermes will host an earnings conference call at 9 a.m. Eastern on Friday, July 31, 2026. Investors are invited to listen to the earnings teleconference by calling 877-545-0523 (domestic) or 973-528-0016 (international) prior to the 9 a.m. start time. To listen online, go to the About section of FederatedHermes.com/us to register and join the call. A replay will be available at approximately 12:30 p.m. Eastern on July 31, 2026. To access the telephone replay, dial 877-481-4010 (domestic) or 919-882-2331 (international) and enter access code 54241. The online replay will be available via FederatedHermes.com/us for one year.

About Federated Hermes

Federated Hermes, Inc. is a global leader in active investment management, with $911.6 billion in assets under management1. 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 11,000 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 2,200 employees in London, New York, Boston and offices worldwide.

Federated Hermes ranks in the top 5% of equity fund managers, the top 8% of money market fund managers and the top 11% of fixed-income fund managers2 in the industry. Federated Hermes also ranks as the 9th-largest manager of model-delivered separately managed accounts3. For more information, including an analyst presentation, which is updated periodically, visit FederatedHermes.com/us.

###

1) As of June 30, 2026.
2) Morningstar, June 30, 2026. Based on U.S. fund flows rankings.
3) Money Management Institute/Cerulli Q1 2026.
Federated Securities Corp. is distributor of the Federated Hermes funds.
Separately managed accounts are made available through Federated Global Investment Management Corp., Federated Investment Counseling, Federated MDTA LLC, Hermes Fund Managers Ireland Limited, Hermes Investment Management Limited, Hermes GPE LLP, and Federated Hermes FCP Manager, LLC, each a registered investment advisor in one or more of the U.S., U.K. or Ireland.

Cautionary statements
Certain statements in this press release, such as those related to performance, investment strategies, opportunities to meet client needs, investment offerings, investor preferences and demand, asset flows and asset mix 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 company, or industry results, to be materially different from any future results, levels of activity, performance or achievements expressed or implied by such forward-looking statements. Forward-looking statements can include statements that do not relate strictly to historical or current facts and are typically identified by words or phrases such as "trend," "forecast," "project," "predict," "potential," "approximate," "opportunity," "believe," "expect," "anticipate," "current," "intention," "estimate," "position," "projection," "plan," "assume," "continue," "remain," "maintain," "sustain," "seek," "achieve," and similar expressions, or future or conditional verbs such as "will," "would," "should," "could," "can," "may," and similar expressions. Any forward-looking statement, and Federated Hermes' 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 Federated Hermes' control. Other risks and uncertainties include the ability of the company to predict the level of fee waivers and expenses in future quarters, predict whether performance fees or carried interest will be earned and retained, the ability of the company to sustain product demand, the timing and level of product sales and redemptions, market appreciation or depreciation, revenues, and asset levels, flows and mix, which 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 company's annual and quarterly reports 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 neither the company nor any other person assumes responsibility for the accuracy and completeness, or updating, of such statements in the future.

Unaudited Condensed Consolidated Statements of Income

(in thousands, except per share data)








Quarter Ended

%
Change
Q2 2025
to Q2
2026


Quarter Ended

%
Change
Q1 2026
to Q2
2026


June 30, 2026

June 30, 2025


March 31, 2026

Revenue







Investment advisory fees, net

$ 337,721

$ 287,435

17 %


$ 319,408

6 %

Administrative service fees, net—affiliates

110,117

101,657

8


110,285

0

Other service fees, net

54,938

35,752

54


49,264

12

Total Revenue

502,776

424,844

18


478,957

5








Operating Expenses







Compensation and related

161,528

144,872

11


154,119

5

Distribution

121,766

99,399

23


125,745

(3)

Systems and communications

25,950

23,481

11


26,463

(2)

Professional service fees

25,610

18,628

37


21,336

20

Office and occupancy

9,836

9,910

(1)


10,062

(2)

Advertising and promotional

7,329

6,146

19


4,098

79

Intangible asset related

6,384

3,503

82


3,422

87

Travel and related

4,558

4,117

11


3,850

18

Other

6,934

(2,296)

402


3,531

96

Total Operating Expenses

369,895

307,760

20


352,626

5

Operating Income

132,881

117,084

13


126,331

5








Nonoperating Income (Expenses)







Investment income (loss), net

14,330

16,947

(15)


6,653

115

Debt expense

(3,159)

(3,170)

0


(3,185)

(1)

Other, net

(22)

(35)

(37)


(30)

(27)

Total Nonoperating Income (Expenses), net

11,149

13,742

(19)


3,438

224

Income before income taxes

144,030

130,826

10


129,769

11

Income tax provision

37,216

34,135

9


33,823

10

Net income including the noncontrolling interests in subsidiaries

106,814

96,691

10


95,946

11

Less: Net income (loss) attributable to the noncontrolling interests in subsidiaries

2,496

5,691

(56)


(432)

NM

Net Income

$ 104,318

$ 91,000

15 %


$ 96,378

8 %








Amounts Attributable to Federated Hermes, Inc.







Earnings Per Share1







Basic and diluted

$ 1.38

$ 1.16

19 %


$ 1.27

9 %

Weighted-Average Shares Outstanding







Basic

71,944

75,064



72,648


Diluted

71,947

75,072



72,650


Dividends Declared Per Share

$ 0.38

$ 0.34



$ 0.34


1)

Unvested share-based awards that receive non-forfeitable dividend rights are deemed participating securities and are required to be considered in the computation of earnings per share under the "two-class method." As such, total net income of $4.8 million, $4.1 million and $4.4 million available to unvested restricted Federated Hermes shareholders for the quarterly periods ended June 30, 2026, June 30, 2025 and March 31, 2026, respectively, was excluded from the computation of earnings per share.

Unaudited Condensed Consolidated Statements of Income




(in thousands, except per share data)





Six Months Ended


June 30, 2026

June 30, 2025

% Change

Revenue




Investment advisory fees, net

$ 657,129

$ 574,895

14 %

Administrative service fees, net—affiliates

220,402

202,766

9

Other service fees, net

104,202

70,723

47

Total Revenue

981,733

848,384

16





Operating Expenses




Compensation and related

315,647

288,143

10

Distribution

247,510

198,484

25

Systems and communications

52,413

47,707

10

Professional service fees

46,946

37,176

26

Office and occupancy

19,898

19,862

0

Advertising and promotional

11,427

10,722

7

Intangible asset related

9,805

6,699

46

Travel and related

8,408

7,670

10

Other

10,467

(16,935)

162

Total Operating Expenses

722,521

599,528

21

Operating Income

259,212

248,856

4





Nonoperating Income (Expenses)




Investment income (loss), net

20,984

24,422

(14)

Debt expense

(6,344)

(6,349)

0

Other, net

(53)

(62)

(15)

Total Nonoperating Income (Expenses), net

14,587

18,011

(19)

Income before income taxes

273,799

266,867

3

Income tax provision

71,039

66,300

7

Net income including the noncontrolling interests in subsidiaries

202,760

200,567

1

Less: Net income (loss) attributable to the noncontrolling interests in subsidiaries

2,064

8,433

(76)

Net Income

$ 200,696

$ 192,134

4 %





Amounts Attributable to Federated Hermes, Inc.




Earnings Per Share1




Basic and diluted

$ 2.65

$ 2.40

10 %

Weighted-Average Shares Outstanding




Basic

72,294

76,296


Diluted

72,297

76,300


Dividends Declared Per Share

$ 0.72

$ 0.65


1)

Unvested share-based awards that receive non-forfeitable dividend rights are deemed participating securities and are required to be considered in the computation of earnings per share under the "two-class method." As such, total net income of $9.1 million and $8.7 million available to unvested restricted Federated Hermes shareholders for the six months ended June 30, 2026 and June 30, 2025, respectively, was excluded from the computation of earnings per share.

Unaudited Condensed Consolidated Balance Sheets



(in thousands)

June 30, 2026

Dec. 31, 2025

Assets



Cash and other investments

$ 480,710

$ 724,297

Other current assets

179,795

139,495

Intangible assets, net, including goodwill

1,502,875

1,183,612

Other long-term assets

166,774

181,933

Total Assets

$ 2,330,154

$ 2,229,337




Liabilities, Redeemable Noncontrolling Interests and Equity



Current liabilities

$ 254,800

$ 314,141

Long-term debt

348,499

348,369

Other long-term liabilities

330,001

303,350

Redeemable noncontrolling interests

144,164

66,529

Equity excluding treasury stock

2,226,526

2,070,162

Treasury stock

(973,836)

(873,214)

Total Liabilities, Redeemable Noncontrolling Interests and Equity

$ 2,330,154

$ 2,229,337

Unaudited Changes in Long-Term Assets - By Asset Class




(in millions)

Quarter Ended


Six Months Ended


June 30, 2026

March 31, 2026

June 30, 2025


June 30, 2026

June 30, 2025

Equity







Beginning assets

$ 100,832

$ 97,898

$ 80,913


$ 97,898

$ 79,423

Sales1

9,062

9,091

7,961


18,153

15,373

Redemptions1

(10,202)

(6,878)

(6,180)


(17,080)

(12,173)

Net sales (redemptions)1

(1,140)

2,213

1,781


1,073

3,200

Net exchanges

134

(139)

0


(5)

(114)

Impact of foreign exchange2

(37)

(287)

1,023


(324)

1,777

Market gains and (losses)3

9,801

1,147

5,277


10,948

4,708

Ending assets

$ 109,590

$ 100,832

$ 88,994


$ 109,590

$ 88,994








Fixed Income







Beginning assets

$ 99,798

$ 100,127

$ 99,486


$ 100,127

$ 98,059

Sales1

7,687

5,927

5,267


13,614

11,211

Redemptions1

(7,864)

(6,349)

(7,652)


(14,213)

(13,940)

Net sales (redemptions)1

(177)

(422)

(2,385)


(599)

(2,729)

Net exchanges

(153)

148

5


(5)

106

Impact of foreign exchange2

(12)

(40)

208


(52)

293

Market gains and (losses)3

1,031

(15)

1,373


1,016

2,958

Ending assets

$ 100,487

$ 99,798

$ 98,687


$ 100,487

$ 98,687








Alternative/Private Markets







Beginning assets

$ 18,991

$ 19,101

$ 19,426


$ 19,101

$ 18,864

Sales1

650

629

782


1,279

1,867

Redemptions1

(1,002)

(547)

(551)


(1,549)

(1,575)

Net sales (redemptions)1

(352)

82

231


(270)

292

Net exchanges

8

0

(1)


8

0

Acquisitions/(dispositions)

3,237

0

109


3,237

109

Impact of foreign exchange2

26

(275)

1,091


(249)

1,623

Market gains and (losses)3

(263)

83

(118)


(180)

(150)

Ending assets

$ 21,647

$ 18,991

$ 20,738


$ 21,647

$ 20,738








Multi-asset







Beginning assets

$ 2,778

$ 2,854

$ 2,826


$ 2,854

$ 2,883

Sales1

41

58

44


99

107

Redemptions1

(102)

(94)

(137)


(196)

(242)

Net sales (redemptions)1

(61)

(36)

(93)


(97)

(135)

Net exchanges

0

1

(2)


1

0

Market gains and (losses)3

222

(41)

125


181

108

Ending assets

$ 2,939

$ 2,778

$ 2,856


$ 2,939

$ 2,856








Total Long-term Assets







Beginning assets

$ 222,399

$ 219,980

$ 202,651


$ 219,980

$ 199,229

Sales1

17,440

15,705

14,054


33,145

28,558

Redemptions1

(19,170)

(13,868)

(14,520)


(33,038)

(27,930)

Net sales (redemptions)1

(1,730)

1,837

(466)


107

628

Net exchanges

(11)

10

2


(1)

(8)

Acquisitions/(dispositions)

3,237

0

109


3,237

109

Impact of foreign exchange2

(23)

(602)

2,322


(625)

3,693

Market gains and (losses)3

10,791

1,174

6,657


11,965

7,624

Ending assets

$ 234,663

$ 222,399

$ 211,275


$ 234,663

$ 211,275

1)

For certain accounts, including separately managed accounts, institutional accounts, certain sub-advised funds and other managed offerings, Sales and Redemptions are calculated as the remaining difference between beginning and ending assets after the calculation of total investment return.

2)

Reflects the impact of translating non-U.S. dollar denominated assets under management (AUM) into U.S. dollars for reporting purposes.

3)

Reflects the approximate changes in the fair value of the securities held by the portfolios and, to a lesser extent, reinvested dividends, distributions and net investment income.

Unaudited Changes in Long-Term Assets - By Asset Class and Offering Type

(in millions)



Quarter Ended


June 30, 2026


Equity

Fixed Income

Alternative / Private
Markets

Multi-asset

Total


Funds

Separate
Accounts1

Funds

Separate
Accounts1

Funds

Separate
Accounts1

Funds

Separate
Accounts1

Funds.

Separate
Accounts1

Beginning assets

$ 55,188

$ 45,644

$ 45,921

$ 53,877

$ 12,339

$ 6,652

$ 2,774

$ 4

$ 116,222

$ 106,177

Sales

5,443

3,619

3,867

3,820

576

74

41

0

9,927

7,513

Redemptions

(4,080)

(6,122)

(3,994)

(3,870)

(661)

(341)

(102)

0

(8,837)

(10,333)

Net sales (redemptions)

1,363

(2,503)

(127)

(50)

(85)

(267)

(61)

0

1,090

(2,820)

Net exchanges

144

(10)

(153)

0

8

0

0

0

(1)

(10)

Acquisitions/(dispositions)

0

0

0

0

2,788

449

0

0

2,788

449

Impact of foreign exchange2

(68)

31

(3)

(9)

12

14

0

0

(59)

36

Market gains and (losses)3

7,442

2,359

551

480

(144)

(119)

222

0

8,071

2,720

Ending assets

$ 64,069

$ 45,521

$ 46,189

$ 54,298

$ 14,918

$ 6,729

$ 2,935

$ 4

$ 128,111

$ 106,552













Six Months Ended


June 30, 2026


Equity

Fixed Income

Alternative / Private
Markets

Multi-asset

Total


Funds

Separate
Accounts1

Funds

Separate
Accounts1

Funds

Separate
Accounts1

Funds

Separate
Accounts1

Funds

Separate
Accounts1

Beginning assets

$ 54,988

$ 42,910

$ 45,973

$ 54,154

$ 12,085

$ 7,016

$ 2,850

$ 4

$ 115,896

$ 104,084

Sales

11,298

6,855

7,852

5,762

1,185

94

99

0

20,434

12,711

Redemptions

(8,641)

(8,439)

(7,987)

(6,226)

(979)

(570)

(196)

0

(17,803)

(15,235)

Net sales (redemptions)

2,657

(1,584)

(135)

(464)

206

(476)

(97)

0

2,631

(2,524)

Net exchanges

(25)

20

(5)

0

8

0

1

0

(21)

20

Acquisition/(dispositions)

0

0

0

0

2,788

449

0

0

2,788

449

Impact of foreign exchange2

(226)

(98)

(29)

(23)

(147)

(102)

0

0

(402)

(223)

Market gains and (losses)3

6,675

4,273

385

631

(22)

(158)

181

0

7,219

4,746

Ending assets

$ 64,069

$ 45,521

$ 46,189

$ 54,298

$ 14,918

$ 6,729

$ 2,935

$ 4

$ 128,111

$ 106,552

1)

Includes separately managed accounts, institutional accounts, certain sub-advised funds and other managed offerings. For certain accounts, Sales and Redemptions are calculated as the remaining difference between beginning and ending assets after the calculation of total investment return.

2)

Reflects the impact of translating non-U.S. dollar denominated AUM into U.S. dollars for reporting purposes.

3)

Reflects the approximate changes in the fair value of the securities held by the portfolios and, to a lesser extent, reinvested dividends, distributions and net investment income.

Unaudited Changes in Long-Term Assets - By Offering Type




(in millions)

Quarter Ended


Six Months Ended


June 30, 2026

March 31, 2026

June 30, 2025


June 30, 2026

June 30, 2025

Total Fund Assets







Beginning assets

$ 116,222

$ 115,896

$ 104,289


$ 115,896

$ 103,567

Sales

9,927

10,507

8,753


20,434

18,032

Redemptions

(8,837)

(8,966)

(9,166)


(17,803)

(17,929)

Net sales (redemptions)

1,090

1,541

(413)


2,631

103

Net exchanges

(1)

(20)

3


(21)

3

Acquisitions/(dispositions)

2,788

0

109


2,788

109

Impact of foreign exchange1

(59)

(343)

1,313


(402)

1,998

Market gains and (losses)2

8,071

(852)

5,108


7,219

4,629

Ending assets

$ 128,111

$ 116,222

$ 110,409


$ 128,111

$ 110,409








Total Separate Account Assets3







Beginning assets

$ 106,177

$ 104,084

$ 98,362


$ 104,084

$ 95,662

Sales4

7,513

5,198

5,301


12,711

10,526

Redemptions4

(10,333)

(4,902)

(5,354)


(15,235)

(10,001)

Net sales (redemptions)4

(2,820)

296

(53)


(2,524)

525

Net exchanges

(10)

30

(1)


20

(11)

Acquisitions/(dispositions)

449

0

0


449

0

Impact of foreign exchange1

36

(259)

1,009


(223)

1,695

Market gains and (losses)2

2,720

2,026

1,549


4,746

2,995

Ending assets

$ 106,552

$ 106,177

$ 100,866


$ 106,552

$ 100,866








Total Long-term Assets3







Beginning assets

$ 222,399

$ 219,980

$ 202,651


$ 219,980

$ 199,229

Sales4

17,440

15,705

14,054


33,145

28,558

Redemptions4

(19,170)

(13,868)

(14,520)


(33,038)

(27,930)

Net sales (redemptions)4

(1,730)

1,837

(466)


107

628

Net exchanges

(11)

10

2


(1)

(8)

Acquisitions/(dispositions)

3,237

0

109


3,237

109

Impact of foreign exchange1

(23)

(602)

2,322


(625)

3,693

Market gains and (losses)2

10,791

1,174

6,657


11,965

7,624

Ending assets

$ 234,663

$ 222,399

$ 211,275


$ 234,663

$ 211,275

1)

Reflects the impact of translating non-U.S. dollar denominated AUM into U.S. dollars for reporting purposes.

2)

Reflects the approximate changes in the fair value of the securities held by the portfolios and, to a lesser extent, reinvested dividends, distributions and net investment income.

3)

Includes separately managed accounts, institutional accounts, certain sub-advised funds and other managed offerings.

4)

For certain accounts, Sales and Redemptions are calculated as the remaining difference between beginning and ending assets after the calculation of total investment return.

Unaudited Managed Assets


(in millions)

June 30, 2026

March 31, 2026

Dec. 31, 2025

Sept. 30, 2025

June 30, 2025

By Asset Class






Equity1

$ 109,590

$ 100,832

$ 97,898

$ 94,656

$ 88,994

Fixed-Income

100,487

99,798

100,127

101,813

98,687

Alternative / Private Markets

21,647

18,991

19,101

19,024

20,738

Multi-Asset1

2,939

2,778

2,854

2,940

2,856

Total Long-Term Assets

234,663

222,399

219,980

218,433

211,275

Money Market

676,897

684,748

682,604

652,767

634,400

Total Managed Assets

$ 911,560

$ 907,147

$ 902,584

$ 871,200

$ 845,675







By Offering Type






Funds:






Equity

$ 64,069

$ 55,188

$ 54,988

$ 54,110

$ 49,359

Fixed-Income

46,189

45,921

45,973

46,478

45,415

Alternative / Private Markets

14,918

12,339

12,085

11,814

12,905

Multi-Asset

2,935

2,774

2,850

2,813

2,730

Total Long-Term Assets

128,111

116,222

115,896

115,215

110,409

Money Market

499,927

502,775

508,403

492,701

468,044

Total Fund Assets

$ 628,038

$ 618,997

$ 624,299

$ 607,916

$ 578,453

Separate Accounts:






Equity1

$ 45,521

$ 45,644

$ 42,910

$ 40,546

$ 39,635

Fixed-Income

54,298

53,877

54,154

55,335

53,272

Alternative / Private Markets

6,729

6,652

7,016

7,210

7,833

Multi-Asset1

4

4

4

127

126

Total Long-Term Assets

106,552

106,177

104,084

103,218

100,866

Money Market

176,970

181,973

174,201

160,066

166,356

Total Separate Account Assets

$ 283,522

$ 288,150

$ 278,285

$ 263,284

$ 267,222

Total Managed Assets

$ 911,560

$ 907,147

$ 902,584

$ 871,200

$ 845,675

1) A Separate Account was reclassified from Multi-Asset to Equity effective October 1, 2025.

Unaudited Average Managed Assets

Quarter Ended

(in millions)

June 30, 2026

March 31, 2026

Dec. 31, 2025

Sept. 30, 2025

June 30, 2025

By Asset Class






Equity1

$ 107,031

$ 102,037

$ 96,404

$ 92,436

$ 83,564

Fixed-Income

100,041

100,996

100,855

99,206

98,365

Alternative / Private Markets

22,359

19,232

18,971

19,862

20,053

Multi-Asset1

2,898

2,859

2,836

2,895

2,779

Total Long-Term Assets

232,329

225,124

219,066

214,399

204,761

Money Market

677,685

690,450

654,635

645,092

632,543

Total Avg. Managed Assets

$ 910,014

$ 915,574

$ 873,701

$ 859,491

$ 837,304







By Offering Type






Funds:






Equity

$ 60,933

$ 56,987

$ 55,101

$ 51,828

$ 45,965

Fixed-Income

45,827

46,096

46,116

45,743

44,972

Alternative / Private Markets

15,253

12,254

11,871

12,347

12,370

Multi-Asset

2,893

2,855

2,833

2,770

2,654

Total Long-Term Assets

124,906

118,192

115,921

112,688

105,961

Money Market

498,338

507,752

493,355

482,237

462,683

Total Avg. Fund Assets

$ 623,244

$ 625,944

$ 609,276

$ 594,925

$ 568,644

Separate Accounts:






Equity1

$ 46,098

$ 45,050

$ 41,303

$ 40,608

$ 37,599

Fixed-Income

54,214

54,900

54,739

53,463

53,393

Alternative / Private Markets

7,106

6,978

7,100

7,515

7,683

Multi-Asset1

5

4

3

125

125

Total Long-Term Assets

107,423

106,932

103,145

101,711

98,800

Money Market

179,347

182,698

161,280

162,855

169,860

Total Avg. Separate Account Assets

$ 286,770

$ 289,630

$ 264,425

$ 264,566

$ 268,660

Total Avg. Managed Assets

$ 910,014

$ 915,574

$ 873,701

$ 859,491

$ 837,304

1) A Separate Account was reclassified from Multi-Asset to Equity effective October 1, 2025.

Unaudited Average Managed Assets


Six Months Ended

(in millions)


June 30, 2026


June 30, 2025

By Asset Class





Equity1


$ 104,534


$ 82,834

Fixed-Income


100,519


98,862

Alternative / Private Markets


20,796


19,533

Multi-Asset1


2,878


2,840

Total Long-Term Assets


228,727


204,069

Money Market


684,067


636,185

Total Avg. Managed Assets


$ 912,794


$ 840,254






By Offering Type





Funds:





Equity


$ 58,960


$ 45,612

Fixed-Income


45,962


45,344

Alternative / Private Markets


13,754


11,990

Multi-Asset


2,873


2,714

Total Long-Term Assets


121,549


105,660

Money Market


503,045


463,205

Total Avg. Fund Assets


$ 624,594


$ 568,865

Separate Accounts:





Equity1


$ 45,574


$ 37,222

Fixed-Income


54,557


53,518

Alternative / Private Markets


7,042


7,543

Multi-Asset1


5


126

Total Long-Term Assets


107,178


98,409

Money Market


181,022


172,980

Total Avg. Separate Account Assets


$ 288,200


$ 271,389

Total Avg. Managed Assets


$ 912,794


$ 840,254

1) A Separate Account was reclassified from Multi-Asset to Equity effective October 1, 2025.

Cision View original content:https://www.prnewswire.com/news-releases/federated-hermes-inc-reports-record-assets-under-management-with-second-quarter-2026-earnings-302839477.html

SOURCE Federated Hermes, Inc.

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