Federated Hermes, founded in 1995, manages assets worth $668.9 billion. It offers investment solutions, such as equity, fixed-income, multi-asset and liquidity-management strategies. Its headquarters are located in Pittsburgh.

The average expense ratio across all Federated funds is 0.57%. This reflects their dedication to delivering value. Additionally, a remarkable 66.35% of these funds are characterized as no-load funds, demonstrating their commitment to accessibility and granting investors flexibility as they navigate their financial journey. Federated funds continue to offer competitive returns and are thus attractive options for investment.

Investing in Federated Hermes mutual funds seems to be judicious as of now. Also, mutual funds, in general, diversify portfolios without several commission charges that are mainly associated with stock purchases and trim transaction costs (read more: Mutual Funds: Advantages, Disadvantages, and How They Make Investors Money).

We have, thus, chosen three Federated Hermes mutual funds that investors should buy now for the long term. These funds possess a Zacks Mutual Fund Rank #1 (Strong Buy) or 2 (Buy), have positive three-year and five-year annualized returns, minimum initial investments within $5000, and expense ratios considerably lower than the category average. So, these funds have given a comparatively strong performance along with lower fees.

Federated Hermes MDT Mid Cap Growth Fund (FGSKX Quick QuoteFGSKX - Free Report) invests most of its assets in mid-cap investments. FGSKX advisors choose mid-cap companies as those similar in size to the ones on the Russell Midcap Growth Index.

Damien Zhang has been the lead manager of FGSKX since Aug 7, 2018. Most of the fund's holdings were in companies like Expedia Group, Inc. (2.9%), Federated Hermes, Inc. (2.5%) and Fortinet, Inc. (2.5%) as of Jul 31, 2023.

FGSKX's 3-year and 5-year annualized returns are 5.7% and 11.9%, respectively. Its net expense ratio is 0.83% compared with the category average of 1.09%. FGSKX has a Zacks Mutual Fund Rank #1.

To see how this fund performed compared to its category, and other 1 and 2 Ranked Mutual Funds, please click here.

Federated Hermes MDT Market Neutral Fund (QAMNX Quick QuoteQAMNX - Free Report) aims to attain its goal by choosing long positions in publicly traded common stocks that its quantitative model forecasts will surpass market returns, as well as short positions in publicly traded common stocks anticipated by the fund's quantitative model to achieve below-market returns.

John Paul Lewicke has been the lead manager of QAMNX since Sep 27, 2021. Most of the fund's holdings were in companies like Federated Hermes, Inc. (7.8%), Spotify Technology SA (2.6%), and Expedia Group, Inc. (2.3%) as of Jun 30, 2023.

QAMNX's 3-year and 5-year annualized returns are 13.9% and 7.8%, respectively. Its net expense ratio is 1.31% compared with the category average of 2.30%. QAMNX has a Zacks Mutual Fund Rank #1.

Federated Hermes MDT All Cap Core Fund (QKACX Quick QuoteQKACX - Free Report) invests its assets in the common stock of U.S. companies. QKACX advisors employ a comprehensive all-cap/all-style strategy, primarily selecting investments from firms listed on the Russell 3000 Index.

Frederick L. Konopka has been the lead manager of QKACX since Aug 31, 2008. Most of the fund's holdings were in companies like Apple Inc. (4.6%), Microsoft Corp (4.2%) and Visa Inc. (2.8%) as of Jul 31, 2023.

QKACX's 3-year and 5-year annualized returns are 11.4% and 13.1%, respectively. Its net expense ratio is 0.73% compared to the category average of 0.84%. QKACX has a Zacks Mutual Fund Rank #2.

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