Fund Description

The fund was incepted in December 1968 and is managed by Federated Investment Management Company. The fund's investment objective is to provide relative safety of capital with the possibility of long-term growth of capital and income. The fund invests in a diversified portfolio that is allocated between equity and fixed income securities. With regard to the portion of the fund allocated to equity securities, the fund invests primarily in securities of medium and large capitalization companies that offer superior growth prospects or of companies with stock that is undervalued. With respect to the fixed income portion of the portfolio, the fund invests primarily in domestic investment-grade debt securities, including corporate debt securities, U.S. government obligations and mortgage backed securities. The fund allocates relatively more assets to the fixed income security type that the fund expects to offer the best balance between total return and risk. The fund selects securities with longer or shorter durations based on its interest rate outlook, but does not target any specific duration for the fixed income portion of the fund. The fund offers dividends quarterly and capital gains annually.