Federated Investors has used a disciplined approach to deliver superior value to investors since its inception in 1955. The company is now one of the largest investment managers in the U.S. managing more than $389.3 billion worth of assets. Federated offers a wide range of products, including domestic and international equity, fixed-income and money market funds. These products are distributed through more than 5,200 financial intermediaries and institutions.
Below we will share with you 5 top rated Federated funds. Each has earned a Zacks #1 Rank (Strong Buy) as we expect the fund to outperform its peers in the future. To view the Zacks Rank and past performance of all Federated funds, then click here.
Federated International High Income A (IHIAX - MF report) invests the majority of its assets in debt securities from emerging market issuers. It invests in securities with a wide range of maturity periods and credit ratings. The fund is non-diversified and may invest in shares of exchange traded funds as well as in derivative contracts. The fund has returned 43.24% in the last one year and has a ten year annualized return of 10.32%.
The Federated fund has a minimum initial investment of $1,500 and an expense ratio of 1.24% compared to a category average of 1.34%.
Federated Bond A (FDBAX - MF report) seeks a high level of current income along with preservation of capital invested. Fixed income investment grade securities including corporate debt and U.S. government constitute its major investments. Up to 35% of the securities purchased may be rated below investment grade. The fund returned 29.38% over the last one year period.
Joseph M. Balestrino is the fund manager and he has managed this Federated fund since 1993.
Federated International Leaders A (FGFAX) invests in foreign companies and concentrates on purchasing foreign stocks from developed markets. It may also purchase equity in companies from developed markets, including the United States. The fund has a five year annualized return of 4.58%.
As of December 2009, this fund held 47 issues, with 4.36% of its total assets invested in HSBC Holdings PLC.
Federated Strategic Income A (STIAX - MF report) seeks current income by investing in domestic investment grade securities such as corporate, mortgage backed and government securities. It also invests in foreign and domestic securities rated below investment grade. It may also consider investing in derivative contracts. The fund has a three year annualized return of 6.11%
The fund has a minimum initial investment of $1,500 and an expense ratio of 1.27% compared to a category average of 1.18%.
Federated Municipal High Yield Advantage A (FMOAX) invests primarily in tax-exempt securities. These are generally of two types, long-term and medium-quality or non-investment-grade. The fund may also invest in tax-exempt securities with maturity periods of less than 10 years. It may enter into derivative contracts and invest in securities which help it accrue short-term capital gains. The fund returned 24.11% over the last one year period.
Mary Jo R. Ochson is the fund manager and she has managed this Federated fund since 1996.
To view the Zacks Rank and past performance of all Federated funds, then click here.
About Zacks Mutual Fund Rank
By applying the Zacks Rank to mutual funds, investors can find funds that not only outpaced the market in the past but are also expected to outperform going forward. Learn more about the Zacks Mutual Fund Rank at http://www.zacks.com/funds/mutualfund/