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 $336 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 mutual funds. Each has earned a Zacks #1 Rank (Strong Buy) as we expect these mutual funds to outperform their peers in the future. To view the Zacks Rank and past performance of all Federated funds, then click here.
Federated International Leaders A (FGFAX) seeks capital appreciation over the long term. It 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 ten year annualized return of 5.52%.
The Federated mutual fund has a minimum initial investment of $1,500 and an expense ratio of 1.78% compared to a category average of 1.40%.
Federated Strategic Income A (STIAX) invests in three major categories of fixed-income securities. These include domestic securities rated below investment grade as well as those rated higher and foreign securities. Not more than 50% of its assets may be invested in any single category. The fund has a three year annualized return of 8.45%.
Joseph M. Balestrino is the fund manager and has managed this Federated mutual fund since 1996.
Federated Municipal High Yield Advantage A (FMOAX) seeks current income. It 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 17.42% over the last one year period.
As of June 2010, this Federated mutual fund held 323 issues, with 1.56% of its total assets invested in Buckeye Ohio Tob Settlement Fi Toba 6.5%.
Federated Bond A (FDBAX) invests the majority of its assets in fixed income investment grade securities including corporate debt and U.S. government securities. Up to 35% of the securities purchased may be rated below investment grade. The fund has a five year annualized return of 6.56%.
The Federated mutual fund has a minimum initial investment of $1,500 and an expense ratio of 0.99% compared to a category average of 0.94%.
Federated International High Income A (IHIAX) 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 22.04% in the last one year and has a ten year annualized return of 11.36%.
Roberto Sanchez-Dahl is the fund manager and has managed this Federated mutual fund since 2001.
To view the Zacks Rank and past performance of all Federated mutual 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/
