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 $355 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 a large network of 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, investors can click here to see the complete list of funds.
Federated Clover Value A (VFCAX) focuses on investing in large cap common stocks and other equity securities issued by domestic companies. These stocks must be attractively priced relative to their underlying value. The fund invests across a variety of sectors. The fund has a three year annualized return of 10.40%.
The Fund Manager is Matthew P. Kaufler and he has managed this Federated mutual fund since 2000.
Federated Strategic Value Dividend A (SVAAX) seeks income and capital growth over the long term. The fund invests in value stocks with high dividend yields with the prospect of these dividends rising in the future. It also utilizes derivatives in order to control its currency exposure. The fund has a three year annualized return of 13.96%.
The Federated mutual fund has a minimum initial investment of $1,500 and an expense ratio of 1.05% compared to a category average of 1.19%.
Federated Muni and Stock Advantage A (FMUAX) invests in tax-exempt instruments and equity securities. A minimum of half of its assets are invested in tax-exempt securities. These securities must not be subject to the federal alternative minimum tax. The fund has a three year annualized return of 9.43%.
As of March 2012, this Federated mutual fund held 214 issues, with 2.14% of its total assets invested in CenturyLink Inc.
Federated Municipal High Yield Advantage A (FMOAX) seeks high current income. The fund invests a large share of its assets in long term securities exempt from tax, as well as in medium or non-investment grade quality tax exempt securities. It is non-diversified and utilizes derivatives to manage risk or enhance returns. The fund has a three year annualized return of 9.31%.
The Fund Manager is Joseph M. Balestrino and he has managed this Federated mutual fund since 1996.
Federated Capital Income A (CAPAX) invests in equity and fixed-income securities with the potential to generate substantially high income. Fixed income securities purchased by the fund must have high current yields. The fund may purchase non dollar denominated fixed income securities. It may also purchase or sell foreign currencies. The fund has a three year annualized return of 10.10%.
The Federated mutual fund has a minimum initial investment of $1,500 and an expense ratio of 1.49% compared to a category average of 1.29%.
To view the Zacks Rank and past performance of all Federated mutual funds, investors can click here to see the complete list of funds.
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.
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