07/30/2024 | Press release | Distributed by Public on 07/30/2024 07:53
United States Securities and Exchange Commission
Washington, D.C. 20549
Form N-CSRS
Certified Shareholder Report of Registered Management Investment Companies
811-4017
(Investment Company Act File Number)
Federated Hermes Equity Funds
(Exact Name of Registrant as Specified in Charter)
Federated Hermes Funds
4000 Ericsson Drive
Warrendale, PA 15086-7561
(Address of Principal Executive Offices)
(412) 288-1900
(Registrant's Telephone Number)
Peter J. Germain, Esquire
1001 Liberty Avenue
Pittsburgh, Pennsylvania 15222-3779
(Name and Address of Agent for Service)
(Notices should be sent to the Agent for Service)
Date of Fiscal Year End: 2024-11-30
Date of Reporting Period: Six months ended 2024-05-31
Item 1. | Reports to Stockholders |
Class Name | Costs of a $10,000 investment | Costs paid as a percentage of a $10,000 investment |
Class A Shares | $57 | 1.11% |
Net Assets | $696,332,073 |
Number of Investments | 47 |
Portfolio Turnover Rate | 17% |
Class Name | Costs of a $10,000 investment | Costs paid as a percentage of a $10,000 investment |
Class C Shares | $98 | 1.91% |
Net Assets | $696,332,073 |
Number of Investments | 47 |
Portfolio Turnover Rate | 17% |
Class Name | Costs of a $10,000 investment | Costs paid as a percentage of a $10,000 investment |
Institutional Shares | $44 | 0.86% |
Net Assets | $696,332,073 |
Number of Investments | 47 |
Portfolio Turnover Rate | 17% |
Class Name | Costs of a $10,000 investment | Costs paid as a percentage of a $10,000 investment |
Class R6 Shares | $44 | 0.85% |
Net Assets | $696,332,073 |
Number of Investments | 47 |
Portfolio Turnover Rate | 17% |
Item 2. | Code of Ethics |
Not Applicable
Item 3. | Audit Committee Financial Expert |
Not Applicable
Item 4. | Principal Accountant Fees and Services |
Not Applicable
Item 5. | Audit Committee of Listed Registrants |
Not Applicable
Item 6. | Schedule of Investments |
(a) The registrant's Schedule of Investments is included as part of the Financial Statements filed under Item 7 of this form.
(b) Not Applicable.
Item 7. | Financial Statements and Financial Highlights for Open-End Management Companies |
Share Class| Ticker
|
A| IVFAX
|
C| IVFCX
|
Institutional| IVFIX
|
R6| IVFLX
|
Portfolio of Investments
|
1
|
Financial Highlights
|
4
|
Statement of Assets and Liabilities
|
8
|
Statement of Operations
|
9
|
Statement of Changes in Net Assets
|
10
|
Notes to Financial Statements
|
11
|
Evaluation and Approval of Advisory Contract
|
17
|
Shares
|
|
|
Value in
U.S. Dollars
|
|
|
COMMON STOCKS-93.3%
|
|
|
Communication Services-14.6%
|
||
528,970
|
|
BCE, Inc.
|
$ 18,093,533
|
819,200
|
|
Deutsche Telekom AG, Class REG
|
19,855,600
|
460,340
|
|
Elisa Communications Oyj
|
21,325,452
|
2,712,500
|
|
Koninklijke KPN NV
|
10,137,654
|
881,625
|
|
Telenor ASA
|
10,307,407
|
1,336,150
|
|
TELUS Corp.
|
21,979,667
|
|
TOTAL
|
101,699,313
|
|
|
Consumer Discretionary-1.5%
|
||
261,600
|
|
Michelin, Class B
|
10,567,973
|
|
Consumer Staples-12.7%
|
||
250,445
|
|
British American Tobacco PLC
|
7,739,687
|
201,000
|
|
Diageo PLC
|
6,779,100
|
4,139,320
|
|
Kimberly-Clark de Mexico
|
8,704,856
|
309,100
|
|
Koninklijke Ahold NV
|
9,593,214
|
135,500
|
|
Nestle S.A.
|
14,346,779
|
241,710
|
|
Philip Morris International, Inc.
|
24,504,560
|
139,500
|
|
Reckitt Benckiser Group PLC
|
7,972,026
|
156,800
|
|
Unilever PLC
|
8,591,370
|
|
TOTAL
|
88,231,592
|
|
|
Energy-10.7%
|
||
565,165
|
|
Enbridge, Inc.
|
20,662,660
|
347,100
|
|
Pembina Pipeline Corp.
|
12,893,850
|
606,925
|
|
TC Energy Corp.
|
23,405,098
|
236,979
|
|
TotalEnergies SE
|
17,302,322
|
|
TOTAL
|
74,263,930
|
|
|
Financials-12.9%
|
||
64,625
|
|
Allianz SE
|
18,825,548
|
117,150
|
|
Bank of Montreal
|
10,447,619
|
235,610
|
|
Canadian Imperial Bank of Commerce
|
11,682,398
|
9,261
|
|
Muenchener Rueckversicherungs-Gesellschaft AG
|
4,607,558
|
823,800
|
|
Nordea Bank Abp
|
10,133,413
|
64,050
|
|
Royal Bank of Canada
|
7,001,114
|
506,775
|
|
SCOR SE
|
14,684,229
|
24,430
|
|
Zurich Insurance Group AG
|
12,838,546
|
|
TOTAL
|
90,220,425
|
|
|
Health Care-16.1%
|
||
702,600
|
|
GSK PLC
|
15,761,620
|
247,565
|
|
Novartis AG
|
25,600,793
|
55,100
|
|
Roche Holding AG
|
14,112,738
|
334,281
|
|
Sanofi
|
32,662,615
|
383,100
|
|
Sonic Healthcare Ltd.
|
6,251,575
|
656,525
|
|
Takeda Pharmaceutical Co. Ltd.
|
17,456,283
|
|
TOTAL
|
111,845,624
|
|
|
Information Technology-1.5%
|
||
1,755,500
|
|
Telefonaktiebolaget LM Ericsson, Class B
|
10,770,316
|
|
Materials-5.6%
|
||
2,119,800
|
|
Amcor PLC
|
21,558,366
|
Shares
|
|
|
Value in
U.S. Dollars
|
|
|
COMMON STOCKS-continued
|
|
|
Materials-continued
|
||
458,073
|
|
UPM - Kymmene Oyj
|
$ 17,568,413
|
|
TOTAL
|
39,126,779
|
|
|
Utilities-17.7%
|
||
325,400
|
|
Canadian Utilities Ltd., Class A
|
7,420,252
|
205,300
|
|
Emera, Inc.
|
7,148,859
|
1,400,800
|
|
Enel SpA
|
10,160,980
|
363,090
|
|
Fortis, Inc. / Canada
|
14,521,469
|
1,012,207
|
|
Iberdrola SA
|
13,350,718
|
3,205,595
|
|
Italgas SpA
|
17,135,451
|
2,325,297
|
|
National Grid-SP PLC
|
26,513,126
|
4,060,925
|
|
Snam Rete Gas SPA
|
19,238,975
|
911,275
|
|
Terna SpA
|
7,674,476
|
|
TOTAL
|
123,164,306
|
|
|
TOTAL COMMON STOCKS
(IDENTIFIED COST $681,534,990)
|
649,890,258
|
|
|
RIGHTS-2.6%
|
||
|
Energy-2.6%
|
||
506,300
|
|
Shell PLC, Rights
(IDENTIFIED COST $16,285,272)
|
18,267,653
|
|
INVESTMENT COMPANY-2.1%
|
||
14,487,792
|
|
Federated Hermes Government Obligations Fund, Premier Shares, 5.23%1
(IDENTIFIED COST $14,487,792)
|
14,487,792
|
|
TOTAL INVESTMENT IN SECURITIES-98.0%
(IDENTIFIED COST $712,308,054)2
|
682,645,703
|
|
|
OTHER ASSETS AND LIABILITIES - NET-2.0%3
|
13,686,370
|
|
|
TOTAL NET ASSETS-100%
|
$696,332,073
|
|
Federated
Hermes
Government
Obligations
Fund,
Premier
Shares
|
Federated
Hermes Institutional
Prime Value
Obligations Fund,
Institutional Shares
|
Total of
Affiliated
Transactions
|
Value as of 11/30/2023
|
$-
|
$4,240,918
|
$4,240,918
|
Purchases at Cost
|
$20,596,721
|
$59,242,923
|
$79,839,644
|
Proceeds from Sales
|
$(6,108,929)
|
$(63,483,375)
|
$(69,592,304)
|
Change in Unrealized Appreciation/Depreciation
|
$-
|
$(316)
|
$(316)
|
Net Realized Gain/(Loss)
|
$-
|
$(150)
|
$(150)
|
Value as of 5/31/2024
|
$14,487,792
|
$-
|
$14,487,792
|
Shares Held as of 5/31/2024
|
14,487,792
|
-
|
14,487,792
|
Dividend Income
|
$17,043
|
$74,666
|
$91,709
|
1
|
7-day net yield.
|
2
|
Also represents cost of investments for federal tax purposes.
|
3
|
Assets, other than investments in securities, less liabilities. See Statement of Assets and Liabilities.
|
Valuation Inputs
|
||||
|
Level 1-
Quoted
Prices
|
Level 2-
Other
Significant
Observable
Inputs
|
Level 3-
Significant
Unobservable
Inputs
|
Total
|
Equity Securities:
|
||||
Common Stocks
|
||||
International
|
$185,519,741
|
$439,865,957
|
$-
|
$625,385,698
|
Domestic
|
24,504,560
|
-
|
-
|
24,504,560
|
Rights
|
-
|
18,267,653
|
-
|
18,267,653
|
Investment Company
|
14,487,792
|
-
|
-
|
14,487,792
|
TOTAL SECURITIES
|
$224,512,093
|
$458,133,610
|
$-
|
$682,645,703
|
|
Six Months
Ended
(unaudited)
5/31/2024 |
Year Ended November 30,
|
||||
|
2023
|
2022
|
2021
|
2020
|
2019
|
|
Net Asset Value, Beginning of Period
|
$3.57
|
$3.54
|
$3.52
|
$3.38
|
$3.54
|
$3.34
|
Income From Investment Operations:
|
||||||
Net investment income1
|
0.09
|
0.14
|
0.14
|
0.13
|
0.11
|
0.14
|
Net realized and unrealized gain (loss)
|
0.14
|
0.03
|
0.01
|
0.14
|
(0.16)
|
0.20
|
TOTAL FROM INVESTMENT OPERATIONS
|
0.23
|
0.17
|
0.15
|
0.27
|
(0.05)
|
0.34
|
Less Distributions:
|
||||||
Distributions from net investment income
|
(0.10)
|
(0.14)
|
(0.13)
|
(0.13)
|
(0.11)
|
(0.14)
|
Net Asset Value, End of Period
|
$3.70
|
$3.57
|
$3.54
|
$3.52
|
$3.38
|
$3.54
|
Total Return2
|
6.56%
|
4.84%
|
4.16%
|
7.93%
|
(1.18)%
|
10.55%
|
Ratios to Average Net Assets:
|
||||||
Net expenses3
|
1.11%4,5
|
1.10%5
|
1.11%
|
1.10%
|
1.11%5
|
1.11%5
|
Net investment income
|
5.12%4
|
3.82%
|
3.87%
|
3.57%
|
3.34%
|
4.15%
|
Expense waiver/reimbursement6
|
0.16%4
|
0.15%
|
0.18%
|
0.19%
|
0.20%
|
0.18%
|
Supplemental Data:
|
||||||
Net assets, end of period (000 omitted)
|
$93,907
|
$96,459
|
$88,274
|
$75,905
|
$75,670
|
$87,937
|
Portfolio turnover7
|
17%
|
44%
|
22%
|
27%
|
40%
|
28%
|
1
|
Per share numbers have been calculated using the average shares method.
|
2
|
Based on net asset value, which does not reflect the sales charge, redemption fee or contingent deferred sales charge, if applicable. Total returns for periods less
than one year are not annualized.
|
3
|
Amount does not reflect net expenses incurred by investment companies in which the Fund may invest.
|
4
|
Computed on an annualized basis.
|
5
|
The net expense ratios are calculated without reduction for expense offset arrangements. The net expense ratios are 1.11%, 1.10%, 1.11% and 1.11% for the six
months ended May 31, 2024, and the years ended November 30, 2023, 2020 and 2019, respectively, after taking into account these expense reductions.
|
6
|
This expense decrease is reflected in both the net expense and net investment income ratios shown above. Amount does not reflect expense waiver/
reimbursement recorded by investment companies in which the Fund may invest.
|
7
|
Securities that mature are considered sales for purposes of this calculation.
|
|
Six Months
Ended
(unaudited)
5/31/2024 |
Year Ended November 30,
|
||||
|
2023
|
2022
|
2021
|
2020
|
2019
|
|
Net Asset Value, Beginning of Period
|
$3.53
|
$3.50
|
$3.49
|
$3.35
|
$3.51
|
$3.31
|
Income From Investment Operations:
|
||||||
Net investment income1
|
0.08
|
0.10
|
0.11
|
0.09
|
0.08
|
0.11
|
Net realized and unrealized gain (loss)
|
0.14
|
0.04
|
0.002
|
0.15
|
(0.15)
|
0.21
|
TOTAL FROM INVESTMENT OPERATIONS
|
0.22
|
0.14
|
0.11
|
0.24
|
(0.07)
|
0.32
|
Less Distributions:
|
||||||
Distributions from net investment income
|
(0.09)
|
(0.11)
|
(0.10)
|
(0.10)
|
(0.09)
|
(0.12)
|
Net Asset Value, End of Period
|
$3.66
|
$3.53
|
$3.50
|
$3.49
|
$3.35
|
$3.51
|
Total Return3
|
6.20%
|
4.09%
|
3.20%
|
7.19%
|
(1.96)%
|
9.85%
|
Ratios to Average Net Assets:
|
||||||
Net expenses4
|
1.91%5,6
|
1.87%6
|
1.86%
|
1.85%
|
1.86%6
|
1.86%6
|
Net investment income
|
4.23%5
|
3.05%
|
3.14%
|
2.81%
|
2.63%
|
3.43%
|
Expense waiver/reimbursement7
|
0.10%5
|
0.12%
|
0.17%
|
0.18%
|
0.20%
|
0.18%
|
Supplemental Data:
|
||||||
Net assets, end of period (000 omitted)
|
$15,325
|
$17,314
|
$24,272
|
$31,551
|
$38,316
|
$51,339
|
Portfolio turnover8
|
17%
|
44%
|
22%
|
27%
|
40%
|
28%
|
1
|
Per share numbers have been calculated using the average shares method.
|
2
|
Represents less than $0.01.
|
3
|
Based on net asset value, which does not reflect the sales charge, redemption fee or contingent deferred sales charge, if applicable. Total returns for periods less
than one year are not annualized.
|
4
|
Amount does not reflect net expenses incurred by investment companies in which the Fund may invest.
|
5
|
Computed on an annualized basis.
|
6
|
The net expense ratios are calculated without reduction for expense offset arrangements. The net expense ratios are 1.91%, 1.87%, 1.86% and 1.86% for the six
months ended May 31, 2024, and the years ended November 30, 2023, 2020 and 2019, respectively, after taking into account these expense reductions.
|
7
|
This expense decrease is reflected in both the net expense and net investment income ratios shown above. Amount does not reflect expense waiver/
reimbursement recorded by investment companies in which the Fund may invest.
|
8
|
Securities that mature are considered sales for purposes of this calculation.
|
|
Six Months
Ended
(unaudited)
5/31/2024 |
Year Ended November 30,
|
||||
|
2023
|
2022
|
2021
|
2020
|
2019
|
|
Net Asset Value, Beginning of Period
|
$3.58
|
$3.55
|
$3.53
|
$3.39
|
$3.55
|
$3.35
|
Income From Investment Operations:
|
||||||
Net investment income1
|
0.10
|
0.15
|
0.15
|
0.14
|
0.12
|
0.15
|
Net realized and unrealized gain (loss)
|
0.14
|
0.03
|
0.01
|
0.14
|
(0.16)
|
0.20
|
TOTAL FROM INVESTMENT OPERATIONS
|
0.24
|
0.18
|
0.16
|
0.28
|
(0.04)
|
0.35
|
Less Distributions:
|
||||||
Distributions from net investment income
|
(0.11)
|
(0.15)
|
(0.14)
|
(0.14)
|
(0.12)
|
(0.15)
|
Net Asset Value, End of Period
|
$3.71
|
$3.58
|
$3.55
|
$3.53
|
$3.39
|
$3.55
|
Total Return2
|
6.68%
|
5.09%
|
4.41%
|
8.18%
|
(0.92)%
|
10.80%
|
Ratios to Average Net Assets:
|
||||||
Net expenses3
|
0.86%4,5
|
0.85%5
|
0.86%
|
0.85%
|
0.86%5
|
0.86%5
|
Net investment income
|
5.29%4
|
4.13%
|
4.12%
|
3.79%
|
3.63%
|
4.40%
|
Expense waiver/reimbursement6
|
0.16%4
|
0.15%
|
0.17%
|
0.18%
|
0.18%
|
0.15%
|
Supplemental Data:
|
||||||
Net assets, end of period (000 omitted)
|
$478,157
|
$536,924
|
$556,526
|
$221,818
|
$238,949
|
$256,100
|
Portfolio turnover7
|
17%
|
44%
|
22%
|
27%
|
40%
|
28%
|
1
|
Per share numbers have been calculated using the average shares method.
|
2
|
Based on net asset value. Total returns for periods of less than one year are not annualized.
|
3
|
Amount does not reflect net expenses incurred by investment companies in which the Fund may invest.
|
4
|
Computed on an annualized basis.
|
5
|
The net expense ratios are calculated without reduction for expense offset arrangements. The net expense ratios are 0.86%, 0.85%, 0.86% and 0.86% for the six
months ended May 31, 2024, and the years ended November 30, 2023, 2020 and 2019, respectively, after taking into account these expense reductions.
|
6
|
This expense decrease is reflected in both the net expense and net investment income ratios shown above. Amount does not reflect expense waiver/
reimbursement recorded by investment companies in which the Fund may invest.
|
7
|
Securities that mature are considered sales for purposes of this calculation.
|
|
Six Months
Ended
(unaudited)
5/31/2024 |
Year Ended November 30,
|
||||
|
2023
|
2022
|
2021
|
2020
|
2019
|
|
Net Asset Value, Beginning of Period
|
$3.57
|
$3.54
|
$3.53
|
$3.39
|
$3.55
|
$3.35
|
Income From Investment Operations:
|
||||||
Net investment income1
|
0.10
|
0.15
|
0.15
|
0.14
|
0.12
|
0.15
|
Net realized and unrealized gain (loss)
|
0.14
|
0.03
|
0.002
|
0.14
|
(0.16)
|
0.20
|
TOTAL FROM INVESTMENT OPERATIONS
|
0.24
|
0.18
|
0.15
|
0.28
|
(0.04)
|
0.35
|
Less Distributions:
|
||||||
Distributions from net investment income
|
(0.11)
|
(0.15)
|
(0.14)
|
(0.14)
|
(0.12)
|
(0.15)
|
Net Asset Value, End of Period
|
$3.70
|
$3.57
|
$3.54
|
$3.53
|
$3.39
|
$3.55
|
Total Return3
|
6.70%
|
5.11%
|
4.13%
|
8.20%
|
(0.91)%
|
10.81%
|
Ratios to Average Net Assets:
|
||||||
Net expenses4
|
0.85%5,6
|
0.84%6
|
0.85%
|
0.84%
|
0.85%6
|
0.85%6
|
Net investment income
|
5.28%5
|
4.07%
|
4.28%
|
3.89%
|
3.61%
|
4.43%
|
Expense waiver/reimbursement7
|
0.08%5
|
0.07%
|
0.10%
|
0.10%
|
0.11%
|
0.09%
|
Supplemental Data:
|
||||||
Net assets, end of period (000 omitted)
|
$108,943
|
$129,089
|
$130,792
|
$68,217
|
$31,596
|
$35,329
|
Portfolio turnover8
|
17%
|
44%
|
22%
|
27%
|
40%
|
28%
|
1
|
Per share numbers have been calculated using the average shares method.
|
2
|
Represents less than $0.01.
|
3
|
Based on net asset value. Total returns for periods of less than one year are not annualized.
|
4
|
Amount does not reflect net expenses incurred by investment companies in which the Fund may invest.
|
5
|
Computed on an annualized basis.
|
6
|
The net expense ratios are calculated without reduction for expense offset arrangements. The net expense ratios are 0.85%, 0.84%, 0.85% and 0.85% for the six
months ended May 31, 2024, and the years ended November 30, 2023, 2020 and 2019, respectively, after taking into account these expense reductions.
|
7
|
This expense decrease is reflected in both the net expense and net investment income ratios shown above. Amount does not reflect expense waiver/
reimbursement recorded by investment companies in which the Fund may invest.
|
8
|
Securities that mature are considered sales for purposes of this calculation.
|
Assets:
|
|
Investment in securities, at value including $14,487,792 of investment in an affiliated holding* (identified cost $712,308,054, including
$14,487,792 of identified cost in an affiliated holding)
|
$682,645,703
|
Receivable for shares sold
|
16,516,757
|
Income receivable
|
4,893,626
|
Receivable for investments sold
|
9,731
|
Total Assets
|
704,065,817
|
Liabilities:
|
|
Payable for investments purchased
|
$6,709,668
|
Payable for shares redeemed
|
574,511
|
Payable for custodian fees
|
139,788
|
Payable for other service fees (Notes 2 and 5)
|
23,188
|
Payable for investment adviser fee (Note 5)
|
15,846
|
Payable for distribution services fee (Note 5)
|
9,794
|
Payable for administrative fee (Note 5)
|
1,212
|
Accrued expenses (Note 5)
|
259,737
|
TOTAL LIABILITIES
|
7,733,744
|
Net assets for 187,824,278 shares outstanding
|
$696,332,073
|
Net Assets Consist of:
|
|
Paid-in capital
|
$807,027,196
|
Total distributable earnings (loss)
|
(110,695,123)
|
TOTAL NET ASSETS
|
$696,332,073
|
Net Asset Value, Offering Price and Redemption Proceeds Per Share:
|
|
Class A Shares:
|
|
Net asset value per share ($93,906,686 ÷ 25,362,904 shares
outstanding), no par value, unlimited shares authorized
|
$3.70
|
Offering price per share (100/94.50 of $3.70)
|
$3.92
|
Redemption proceeds per share
|
$3.70
|
Class C Shares:
|
|
Net asset value per share ($15,325,461 ÷ 4,188,955 shares
outstanding), no par value, unlimited shares authorized
|
$3.66
|
Offering price per share
|
$3.66
|
Redemption proceeds per share (99.00/100 of $3.66)
|
$3.62
|
Institutional Shares:
|
|
Net asset value per share ($478,156,956 ÷ 128,853,448 shares
outstanding), no par value, unlimited shares authorized
|
$3.71
|
Offering price per share
|
$3.71
|
Redemption proceeds per share
|
$3.71
|
Class R6 Shares:
|
|
Net asset value per share ($108,942,970 ÷ 29,418,971 shares
outstanding), no par value, unlimited shares authorized
|
$3.70
|
Offering price per share
|
$3.70
|
Redemption proceeds per share
|
$3.70
|
*
|
See information listed after the Fund's Portfolio of Investments.
|
Investment Income:
|
|
Dividends (including $91,709 received from affiliated holdings* and net of foreign taxes withheld of $2,210,989)
|
$22,899,717
|
Expenses:
|
|
Investment adviser fee (Note 5)
|
$2,791,744
|
Administrative fee (Note 5)
|
289,392
|
Custodian fees
|
90,485
|
Transfer agent fees (Note 2)
|
337,862
|
Directors'/Trustees' fees (Note 5)
|
2,217
|
Auditing fees
|
19,058
|
Legal fees
|
22,540
|
Distribution services fee (Note 5)
|
60,475
|
Other service fees (Notes 2 and 5)
|
139,582
|
Portfolio accounting fees
|
80,623
|
Share registration costs
|
43,597
|
Printing and postage
|
35,119
|
Miscellaneous (Note 5)
|
18,130
|
TOTAL EXPENSES
|
3,930,824
|
Waiver, Reimbursements and Reduction:
|
|
Waiver/reimbursement of investment adviser fee (Note 5)
|
(297,431)
|
Reimbursement of other operating expenses (Notes 2 and 5)
|
(248,988)
|
Reduction of custodian fees (Note 6)
|
(1,046)
|
TOTAL WAIVER, REIMBURSEMENTS AND REDUCTION
|
(547,465)
|
Net expenses
|
3,383,359
|
Net investment income
|
19,516,358
|
Realized and Unrealized Gain (Loss) on Investments and Foreign Currency Transactions:
|
|
Net realized gain on investments (including net realized loss of $(150) on sales of investments in an affiliated holding*) and foreign
currency transactions
|
25,416,922
|
Net change in unrealized depreciation of investments and translation of assets and liabilities in foreign currency (including net change in
unrealized appreciation of $(316) of investments in an affiliated holding*)
|
2,609,092
|
Net realized and unrealized gain (loss) on investments and foreign currency transactions
|
28,026,014
|
Change in net assets resulting from operations
|
$47,542,372
|
*
|
See information listed after the Fund's Portfolio of Investments.
|
|
Six Months
Ended
(unaudited)
5/31/2024
|
Year Ended
11/30/2023
|
Increase (Decrease) in Net Assets
|
||
Operations:
|
||
Net investment income
|
$19,516,358
|
$34,329,630
|
Net realized gain
|
25,416,922
|
26,028,917
|
Net change in unrealized appreciation/depreciation
|
2,609,092
|
(18,021,347)
|
CHANGE IN NET ASSETS RESULTING FROM OPERATIONS
|
47,542,372
|
42,337,200
|
Distributions to Shareholders:
|
||
Class A Shares
|
(2,631,391)
|
(3,776,241)
|
Class C Shares
|
(378,012)
|
(690,809)
|
Institutional Shares
|
(14,312,175)
|
(24,789,164)
|
Class R6 Shares
|
(3,490,273)
|
(5,532,429)
|
CHANGE IN NET ASSETS RESULTING FROM DISTRIBUTIONS TO SHAREHOLDERS
|
(20,811,851)
|
(34,788,643)
|
Share Transactions:
|
||
Proceeds from sale of shares
|
103,073,950
|
330,429,820
|
Net asset value of shares issued to shareholders in payment of distributions declared
|
17,934,537
|
29,371,751
|
Cost of shares redeemed
|
(231,194,204)
|
(387,426,820)
|
CHANGE IN NET ASSETS RESULTING FROM SHARE TRANSACTIONS
|
(110,185,717)
|
(27,625,249)
|
Change in net assets
|
(83,455,196)
|
(20,076,692)
|
Net Assets:
|
||
Beginning of period
|
779,787,269
|
799,863,961
|
End of period
|
$696,332,073
|
$779,787,269
|
|
Transfer Agent
Fees Incurred
|
Transfer Agent
Fees Reimbursed
|
Class A Shares
|
$51,007
|
$(39,366)
|
Class C Shares
|
8,366
|
(1,786)
|
Institutional Shares
|
269,422
|
(207,836)
|
Class R6 Shares
|
9,067
|
-
|
TOTAL
|
$337,862
|
$(248,988)
|
|
Other Service
Fees Incurred
|
Class A Shares
|
$119,447
|
Class C Shares
|
20,135
|
TOTAL
|
$139,582
|
|
Six Months Ended
5/31/2024
|
Year Ended
11/30/2023
|
||
Class A Shares:
|
Shares
|
Amount
|
Shares
|
Amount
|
Shares sold
|
1,357,454
|
$4,942,663
|
7,524,918
|
$27,170,980
|
Shares issued to shareholders in payment of distributions declared
|
695,516
|
2,541,107
|
1,013,369
|
3,649,693
|
Shares redeemed
|
(3,715,261)
|
(13,568,269)
|
(6,448,424)
|
(23,188,222)
|
NET CHANGE RESULTING FROM CLASS A SHARE TRANSACTIONS
|
(1,662,291)
|
$(6,084,499)
|
2,089,863
|
$7,632,451
|
|
Six Months Ended
5/31/2024
|
Year Ended
11/30/2023
|
||
Class C Shares:
|
Shares
|
Amount
|
Shares
|
Amount
|
Shares sold
|
224,278
|
$813,873
|
756,330
|
$2,700,129
|
Shares issued to shareholders in payment of distributions declared
|
89,161
|
322,336
|
173,979
|
619,631
|
Shares redeemed
|
(1,032,583)
|
(3,711,716)
|
(2,956,485)
|
(10,481,557)
|
NET CHANGE RESULTING FROM CLASS C SHARE TRANSACTIONS
|
(719,144)
|
$(2,575,507)
|
(2,026,176)
|
$(7,161,797)
|
|
Six Months Ended
5/31/2024
|
Year Ended
11/30/2023
|
||
Institutional Shares:
|
Shares
|
Amount
|
Shares
|
Amount
|
Shares sold
|
20,918,049
|
$76,626,971
|
74,099,486
|
$268,020,809
|
Shares issued to shareholders in payment of distributions declared
|
3,631,766
|
13,308,267
|
6,284,766
|
22,705,020
|
Shares redeemed
|
(45,801,215)
|
(168,059,427)
|
(87,158,424)
|
(315,920,214)
|
NET CHANGE RESULTING FROM INSTITUTIONAL SHARE TRANSACTIONS
|
(21,251,400)
|
$(78,124,189)
|
(6,774,172)
|
$(25,194,385)
|
|
Six Months Ended
5/31/2024
|
Year Ended
11/30/2023
|
||
Class R6 Shares:
|
Shares
|
Amount
|
Shares
|
Amount
|
Shares sold
|
5,682,428
|
$20,690,443
|
9,059,251
|
$32,537,902
|
Shares issued to shareholders in payment of distributions declared
|
482,639
|
1,762,827
|
665,692
|
2,397,407
|
Shares redeemed
|
(12,900,502)
|
(45,854,792)
|
(10,504,527)
|
(37,836,827)
|
NET CHANGE RESULTING FROM CLASS R6 SHARE TRANSACTIONS
|
(6,735,435)
|
$(23,401,522)
|
(779,584)
|
$(2,901,518)
|
NET CHANGE RESULTING FROM TOTAL FUND SHARE TRANSACTIONS
|
(30,368,270)
|
$(110,185,717)
|
(7,490,069)
|
$(27,625,249)
|
Short-Term
|
Long-Term
|
Total
|
$45,786,140
|
$61,373,464
|
$107,159,604
|
Administrative Fee
|
Average Daily Net Assets
of the Investment Complex
|
0.100%
|
on assets up to $50 billion
|
0.075%
|
on assets over $50 billion
|
|
Percentage of Average Daily
Net Assets of Class
|
Class A Shares
|
0.05%
|
Class C Shares
|
0.75%
|
|
Distribution Services
Fees Incurred
|
Class C Shares
|
$60,475
|
Purchases
|
$122,925,983
|
Sales
|
$250,474,233
|
Item 8. | Changes in and Disagreements with Accountants for Open-End Management Investment Companies |
Federated Hermes International Strategic Value Dividend Fund: Not Applicable.
Item 9. | Proxy Disclosures for Open-End Management Investment Companies. |
Federated Hermes International Strategic Value Dividend Fund: Not Applicable.
Item 10. | Remuneration Paid to Directors, Officers, and Others of Open-End Management Investment Companies. |
Federated Hermes International Strategic Value Dividend Fund: The Fund's disclosure of remuneration items is included as part of the Financial Statements filed under Item 7 of this form.
Item 11. | Statement Regarding Basis for Approval of Investment Advisory Contract. |
Federated Hermes International Strategic Value Dividend Fund: The Fund's Evaluation and Approval of Advisory Contract summary by fund appear in the Financial Statements filed under Item 7 of this form.
Item 12. | Disclosure of Proxy Voting Policies and Procedures for Closed-End Management Investment Companies |
Not Applicable
Item 13. | Portfolio Managers of Closed-End Management Investment Companies. |
Not Applicable
Item 14. | Purchases of Equity Securities by Closed-End Management Investment Company and Affiliated Purchasers. |
Not Applicable
Item 15. | Submission of Matters to a Vote of Security Holders. |
Not Changes to Report
Item 16. | Controls and Procedures. |
(a) The registrant's Principal Executive Officer and Principal Financial Officer have concluded that the registrant's disclosure controls and procedures (as defined in Rule 30a-3(c) under the Act) are effective in design and operation and are sufficient to form the basis of the certifications required by Rule 30a-(2) under the Act, based on their evaluation of these disclosure controls and procedures as of a date within 90 days of this report on Form N-CSR.
(b) There were no changes in the registrant's internal control over financial reporting (as defined in Rule 30a-3(d) under the Act) during the period covered by this report that have materially affected, or are reasonably likely to materially affect, the registrant's internal control over financial reporting.
Item 17. | Disclosure of Securities Lending Activities for Closed-End Management Investment Companies. |
Not Applicable
Item 18. | Recovery of Erroneously Awarded Compensation |
(a) Not Applicable
(b) Not Applicable
Item 19. | Exhibits |
(a)(1) | Not Applicable. |
(a)(2) | Certifications of Principal Executive Officer and Principal Financial Officer. |
(a)(3) | Not Applicable. |
(a)(4) | Not Applicable. |
(b) | Certifications pursuant to 18 U.S.C. Section 1350. |
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
Registrant: Federated Hermes Equity Funds
By: /s/ Jeremy D. Boughton
Jeremy D. Boughton, Principal Financial Officer
Date: July 23, 2024
Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated.
By: /s/ J. Christopher Donahue
J. Christopher Donahue, Principal Executive Officer
Date: July 23, 2024
By: /s/ Jeremy D. Boughton
Jeremy D. Boughton, Principal Financial Officer
Date: July 23, 2024