NPORT-EX 2 poi_fhmdtsmallcapcore.htm POI - FEDERATED HERMES MDT SMALL CAP CORE FUND EDGAR HTML
Federated Hermes MDT Small Cap Core Fund
Portfolio of Investments
October 31, 2022 (unaudited)  
Shares
 
 
Value
          
 
COMMON STOCKS—98.5%
 
 
 
Communication Services—3.0%
 
1,008,278
1
Advantage Solutions, Inc.
$    3,407,980
103,973
1
Bandwidth, Inc.
    1,234,159
164,098
1
Cardlytics, Inc.
    1,547,444
917,172
1
CarGurus, Inc.
   13,354,024
232,260
1
Eventbrite, Inc.
    1,525,948
68,506
1
EverQuote, Inc.
      417,202
612,083
1
iHeartMedia, Inc.
    5,068,047
767,214
1
Qurate Retail, Inc.
    1,795,281
1,321,801
1
Vimeo Holdings, Inc.
    5,022,844
 
 
TOTAL
33,372,929
 
 
Consumer Discretionary—9.4%
 
901,575
1
1-800-FLOWERS.COM, Inc.
    6,572,482
374,998
1
2U, Inc.
    2,321,238
443,213
1
Abercrombie & Fitch Co., Class A
    7,791,685
190,767
 
American Eagle Outfitters, Inc.
    2,167,113
438,062
1,2
Bed Bath & Beyond, Inc.
    2,001,943
27,113
 
Big Lots, Inc.
      511,622
7,419
 
Bluegreen Vacations Holding Corp.
      128,423
40,201
1
CarParts.com, Inc.
      188,141
7,795
 
Carriage Services, Inc.
      190,276
430,151
1
Chegg, Inc.
    9,278,357
69,042
1
Children’s Place, Inc./The
    2,794,820
187,660
1
Citi Trends, Inc.
    4,242,993
172,031
1
Container Store Group, Inc.
      934,128
14,301
1
Gentherm, Inc.
      835,464
86,503
1
Goodyear Tire & Rubber Co.
    1,098,588
52,001
1
GoPro, Inc.
      283,405
238,407
1,2
Groupon, Inc.
    1,757,060
35,706
1
Lands’ End, Inc.
      374,199
60,079
1
Lumber Liquidators, Inc.
      499,857
7,264
1
MarineMax, Inc.
      234,700
43,380
 
Murphy USA, Inc.
   13,643,444
93,805
1
Overstock.com, Inc.
    2,180,966
704,581
1,2
Purple Innovation, Inc.
    2,480,125
211,645
1
Red Robin Gourmet Burgers
    1,739,722
15,978
 
Red Rock Resorts, Inc.
      665,484
320,122
 
Rent-A-Center, Inc.
    6,674,544
280,521
1,2
Revolve Group, Inc.
    6,732,504
244,408
1
Rush Street Interactive, Inc.
    1,014,293
111,470
1
Sally Beauty Holdings, Inc.
    1,416,784
19,171
1
SeaWorld Entertainment, Inc.
    1,114,985
55,147
 
Shutterstock, Inc.
    2,759,004
10,651
1
Sleep Number Corp.
      295,459
139,896
 
Smith & Wesson Brands, Inc.
    1,579,426
11,399
 
Steven Madden Ltd.
      340,488
1,288,765
1
Stitch Fix, Inc.
    5,155,060
241,572
1,2
Target Hospitality Corp.
    2,939,931
1
Shares
 
 
Value
          
 
COMMON STOCKS—continued
 
 
 
Consumer Discretionary—continued
 
237,141
 
Tupperware Brands Corp.
$    1,833,100
25,016
1
Unifi, Inc.
      228,146
21,532
1
Vista Outdoor, Inc.
      625,289
147,274
1,2
Workhorse Group, Inc.
      397,640
1,854,153
1
WW International, Inc.
    8,380,772
 
 
TOTAL
106,403,660
 
 
Consumer Staples—4.6%
 
133,812
1,2
Beyond Meat, Inc.
    2,100,848
9,829
 
Calavo Growers, Inc.
      339,985
11,284
 
Coca-Cola Bottling Co.
    5,495,421
100,478
1
elf Beauty, Inc.
    4,346,678
906,046
1
Hain Celestial Group, Inc.
   16,952,121
455,389
1
Hostess Brands, Inc.
   12,058,701
21,258
 
Ingles Markets, Inc., Class A
    2,006,117
106,918
 
Primo Water Corp.
    1,559,934
86,651
 
SpartanNash Co.
    3,094,307
38,625
 
Turning Point Brands, Inc.
      910,005
319,129
 
Vector Group Ltd.
    3,389,150
8,866
1
Whole Earth Brands, Inc.
       30,588
 
 
TOTAL
52,283,855
 
 
Energy—6.5%
 
91,267
1
Amplify Energy Corp.
      902,630
98,977
1
Ardmore Shipping Corp.
    1,339,159
34,814
 
Cactus, Inc.
    1,800,580
33,221
 
Chord Energy Corp.
    5,085,803
128,890
1
Comstock Resources, Inc.
    2,420,554
162,634
1
CONSOL Energy, Inc.
   10,249,195
57,148
 
CVR Energy, Inc.
    2,232,201
45,250
 
Delek US Holdings, Inc.
    1,342,115
117,582
1
Gulf Island Fabrication, Inc.
      557,339
16,205
 
International Seaways, Inc.
      687,254
202,973
 
Magnolia Oil & Gas Corp.
    5,212,346
5,088
1
Nabors Industries Ltd.
      885,465
316,813
1
Oceaneering International, Inc.
    4,432,214
235,679
 
PBF Energy, Inc.
   10,428,796
54,824
1
Propetro Holding Corp.
      649,116
132,896
 
Scorpio Tankers, Inc.
    6,371,034
242,874
 
SFL Corporation Ltd.
    2,477,315
634,929
1
Talos Energy, Inc.
   13,511,289
165,882
1
US Silica Holdings, Inc.
    2,387,042
 
 
TOTAL
72,971,447
 
 
Financials—18.1%
 
11,680
 
1st Source Corp.
      679,309
346,261
 
Amalgamated Financial Corp.
    7,960,540
28,388
1
Amerant Bancorp, Inc.
      854,479
16,085
 
American Equity Investment Life Holding Co.
      692,942
23,299
 
Argo Group International Holdings Ltd.
      579,446
4,343
 
BancFirst Corp.
      416,146
446,598
 
Byline Bancorp, Inc.
   10,325,346
424,205
1
Customers Bancorp, Inc.
   14,291,466
1,073,859
 
Eastern Bankshares, Inc.
   20,585,877
323,244
1
eHealth, Inc.
      866,294
2
Shares
 
 
Value
          
 
COMMON STOCKS—continued
 
 
 
Financials—continued
 
13,650
 
Equity Bancshares, Inc.
$      487,578
70,182
 
Financial Institutions, Inc.
    1,672,437
113,115
 
First Bancorp, Inc.
    5,041,535
39,208
 
First Foundation, Inc.
      625,760
388,330
 
Fulton Financial Corp.
    7,079,256
1,072,622
1
Green Dot Corp.
   20,411,997
57,862
2
HCI Group, Inc.
    2,120,064
52,538
 
Heartland Financial USA, Inc.
    2,591,174
13,508
 
Heritage Financial Corp.
      455,084
176,526
 
HomeStreet, Inc.
    4,582,615
85,095
 
Independent Bank Corp.- Michigan
    1,968,247
81,472
2
Invesco Mortgage Capital, Inc.
      954,037
26,595
 
Kinsale Capital Group, Inc.
    8,381,946
968,893
1
LendingClub Corp.
   10,309,021
143,777
1
LendingTree, Inc.
    3,627,494
341,727
 
Live Oak Bancshares, Inc.
   11,095,876
92,378
 
OFG Bancorp.
    2,575,499
920,502
1
Open Lending
    6,599,999
48,266
 
Peapack-Gladstone Financial Corp.
    1,909,886
20,118
 
Preferred Bank Los Angeles, CA
    1,546,471
311,789
 
ProAssurance Corp.
    6,924,834
749,755
1
PROG Holdings, Inc.
   12,385,952
165,410
 
QCR Holdings, Inc.
    8,387,941
292,098
 
Sculptor Capital Management, Inc.
    3,099,160
1,001,718
1
SelectQuote, Inc.
      675,158
88,230
 
TowneBank
    2,906,296
289,010
1
Trean Insurance Group, Inc.
    1,060,667
40,121
 
TriCo Bancshares
    2,323,407
158,050
1
Triumph Bancorp, Inc.
    8,139,575
82,626
 
Veritex Holdings, Inc.
    2,609,329
169,446
 
Waterstone Financial, Inc.
    2,877,193
150,981
 
Western New England Bancorp, Inc.
    1,321,084
 
 
TOTAL
203,998,417
 
 
Health Care—17.7%
 
252,615
1
Adaptive Biotechnologies Corp.
    1,965,345
780,330
1,2
Akebia Therapeutics, Inc.
      198,594
815,092
1
Alector, Inc.
    7,498,846
867,115
1,2
Allakos, Inc.
    5,055,280
265,323
1,2
Alx Oncology Holdings, Inc.
    3,221,021
11,247
1
AMN Healthcare Services, Inc.
    1,411,498
66,846
1
Amphastar Pharmaceuticals, Inc.
    2,065,541
1,931,501
1
Atea Pharmaceuticals, Inc.
   11,589,006
39,892
1
Avanos Medical, Inc.
      883,608
1,209,524
1
Berkeley Lights, Inc.
    2,685,143
141,558
1,2
Black Diamond Therapeutics, Inc.
      326,999
368,928
1
Bluebird Bio, Inc.
    2,313,179
974,995
1
Cardiovascular Systems, Inc.
   14,078,928
139,034
1
CareDx, Inc.
    2,768,167
178,790
1
Codexis, Inc.
    1,004,800
2,027,430
1
Community Health Systems, Inc.
    5,818,724
157,527
1
Deciphera Pharmaceuticals, Inc.
    2,555,088
43,822
1
Eagle Pharmaceuticals, Inc.
    1,379,078
3
Shares
 
 
Value
          
 
COMMON STOCKS—continued
 
 
 
Health Care—continued
 
442,133
1
Emergent BioSolutions, Inc.
$    9,222,894
73,804
1
FIGS, Inc.
      544,674
300,624
1
Frequency Therapeutics, Inc.
      520,080
101,431
1
Heska Corp.
    7,278,689
111,540
1,2
Innovage Holding Corp.
      690,433
323,554
1
Inogen, Inc.
    7,331,734
149,718
1
iTeos Therapeutics, Inc.
    2,916,507
16,394
1
KalVista Pharmaceuticals, Inc.
       83,118
528,474
1
Kodiak Sciences, Inc.
    3,794,443
114,386
1
Lantheus Holdings, Inc.
    8,463,420
7,114
1
Livanova PLC
      335,069
713,476
1
MacroGenics, Inc.
    3,652,997
981,579
1
MiMedx Group, Inc.
    2,905,474
51,616
1
NanoString Technologies, Inc.
      539,903
1,288,838
1
Nektar Therapeutics
    4,846,031
82,108
1
Neogen Corp.
    1,083,826
1,315,318
1
NeoGenomics, Inc.
   10,002,993
374,671
1
Nevro Corp.
   14,364,886
137,674
1
NextCure, Inc.
      344,185
201,413
1
NGM Biopharmaceuticals, Inc.
    1,075,545
129,469
1
Omnicell, Inc.
   10,010,543
74,755
1
OptimizeRX Corp.
    1,152,348
433,652
1
OraSure Technologies, Inc.
    1,890,723
1,599,551
1
Organogenesis Holdings, Inc.
    5,246,527
88,175
1
Orthofix Medical, Inc.
    1,416,090
173,455
1
Pediatrix Medical Group
    3,365,027
40,773
1
Prestige Consumer Healthcare, Inc.
    2,221,313
25,220
1
Privia Health Group, Inc.
      844,366
142,310
1
Prometheus Biosciences, Inc.
    7,474,121
137,082
1
Puma Biotechnology, Inc.
      298,839
225,005
1,2
Quince Therapeutics, Inc.
      225,005
50,105
1
SeaSpine Holdings Corp.
      322,175
24,394
1
Shockwave Medical, Inc.
    7,151,101
32,369
1
Supernus Pharmaceuticals, Inc.
    1,109,286
173,243
1
Tactile Systems Technology, Inc.
    1,288,928
165,324
1
Tg Therapeutics, Inc.
      962,186
190,561
1
The Joint Corp.
    3,148,068
334,267
1
Vanda Pharmaceuticals, Inc.
    3,499,775
274,488
1
Voyager Therapeutics, Inc.
    1,421,848
 
 
TOTAL
199,864,015
 
 
Industrials—13.9%
 
18,166
1
Allegiant Travel Co.
    1,363,358
4,219
 
ArcBest Corp.
      335,115
20,415
1
ASGN, Inc.
    1,730,784
82,238
1
Astronics Corp.
      761,524
56,383
1
Atkore, Inc.
    5,373,300
216,484
 
Boise Cascade Co.
   14,454,637
221,766
1
CECO Environmental Corp.
    2,621,274
25,673
1
Cimpress PLC
      597,667
17,410
 
Columbus McKinnon Corp.
      496,533
14,273
 
Eagle Bulk Shipping, Inc.
      690,528
38,635
 
Emcor Group, Inc.
    5,451,399
4
Shares
 
 
Value
          
 
COMMON STOCKS—continued
 
 
 
Industrials—continued
 
115,722
1
Franklin Covey Co.
$    5,855,533
45,021
 
Genco Shipping & Trading Ltd.
      603,281
299,632
1
GMS, Inc.
   14,142,630
526,560
 
GrafTech International Ltd.
    2,680,190
2,430,691
1
Harsco Corp.
   12,858,355
39,446
 
Healthcare Services Group, Inc.
      550,666
56,112
 
Heidrick & Struggles International, Inc.
    1,580,114
7,502
 
Helios Technologies, Inc.
      425,288
88,801
1
Heritage-Crystal Clean, Inc.
    2,439,364
97,824
1
HireRight Holdings Corp.
    1,316,711
9,705
1
Hub Group, Inc.
      753,108
83,808
 
Hurco Co., Inc.
    1,940,155
42,941
1
JELD-WEN Holding, Inc.
      455,604
5,048
 
John Bean Technologies Corp.
      460,378
200,501
 
Kennametal, Inc.
    5,355,382
97,137
1
Kratos Defense & Security Solutions
    1,076,278
228,180
1
Manitowoc, Inc.
    2,081,002
523,165
1
Mistras Group, Inc.
    2,406,559
464,886
1
MRC Global, Inc.
    4,662,807
8,162
1
MYR Group, Inc.
      714,257
259,250
1
Now, Inc.
    3,300,253
117,468
1
Parsons Corp.
    5,506,900
601,494
 
Pitney Bowes, Inc.
    1,870,646
114,621
1
Proto Labs, Inc.
    4,377,376
51,711
 
Resources Connection, Inc.
      944,760
635,022
1
SkyWest, Inc.
   11,227,189
11,745
 
Tennant Co.
      684,146
129,182
 
Terex Corp.
    5,237,038
272,870
 
The Shyft Group, Inc.
    6,270,553
215,713
1
Titan Machinery, Inc.
    7,416,213
95,360
1
TrueBlue, Inc.
    1,874,778
74,870
1
Tutor Perini Corp.
      555,535
21,743
 
Universal Truckload Services, Inc.
      695,776
60,791
1
Veritiv Corp.
    7,067,562
32,465
1
Vicor Corp.
    1,550,853
11,290
 
Watts Industries, Inc., Class A
    1,652,404
 
 
TOTAL
156,465,763
 
 
Information Technology—13.8%
 
735,685
1
8x8, Inc.
    3,111,948
791,221
1,2
Avaya Holdings Corp.
    1,250,129
98,814
1
Benefitfocus, Inc.
      696,639
74,464
 
Bread Financial Holdings, Inc.
    2,688,895
1,279,790
1
Brightcove, Inc.
    8,574,593
34,529
1
Cambium Networks Corp.
      668,136
199,988
1
Cantaloupe, Inc.
      669,960
336,612
1
Cerence, Inc.
    5,789,726
119,852
 
Comtech Telecommunications Corp.
    1,324,365
466,259
1
Conduent, Inc.
    1,920,987
656,466
1
Diebold Nixdorf, Inc.
    1,634,600
1,017,997
1
Duck Creek Technologies LLC
   12,154,884
26,595
1
Exlservice Holding, Inc.
    4,836,301
287,141
1
Faro Technologies, Inc.
    8,387,389
5
Shares
 
 
Value
          
 
COMMON STOCKS—continued
 
 
 
Information Technology—continued
 
60,771
1
FormFactor, Inc.
$    1,228,182
644,151
1
LiveRamp Holdings, Inc.
   11,826,612
225,161
1
Mitek Systems, Inc.
    2,546,571
797,609
1
Momentive Global, Inc.
    6,189,446
819,039
1
ON24, Inc.
    6,666,977
11,629
1
Q2 Holdings, Inc.
      360,964
8,127
1
Qualys, Inc.
    1,158,585
453,066
1
Repay Holdings Corp.
    2,759,172
846,173
1
Ribbon Communications, Inc.
    2,242,358
301,968
1
Rimini Street, Inc.
    1,694,040
171,906
1
Secureworks Corp.
    1,406,191
1,074,969
1
Semtech Corp.
   29,765,892
1,030,218
1
SolarWinds Corp.
    9,611,934
377,261
1
StoneCo Ltd.
    3,961,241
3,745
1
Synaptics, Inc.
      331,807
1,339,431
1
Telos Corp.
   14,197,969
449,753
1
Upland Software, Inc.
    3,616,014
313,050
1
Yext, Inc.
    1,665,426
 
 
TOTAL
154,937,933
 
 
Materials—3.7%
 
44,945
1
ATI, Inc.
    1,337,563
37,844
 
Avient Corp.
    1,305,240
78,301
 
Commercial Metals Corp.
    3,562,695
10,358
 
Compass Minerals International, Inc.
      409,555
56,143
 
Glatfelter Corp.
      158,885
8,532
 
Greif, Inc., Class A
      564,904
47,341
1
Intrepid Potash, Inc.
    2,142,180
28,825
 
Koppers Holdings, Inc.
      719,472
234,850
 
Kronos Worldwide, Inc.
    2,231,075
100,654
 
Myers Industries, Inc.
    2,042,270
425,652
1
O-I Glass, Inc.
    6,942,384
294,339
1
Ranpak Holdings Corp.
    1,118,488
48,656
 
Ryerson Holding Corp.
    1,632,409
207,072
1
Summit Materials, Inc.
    5,456,347
637,949
 
SunCoke Energy, Inc.
    4,631,510
53,162
 
Sylvamo Corp.
    2,560,813
171,602
 
Trox Holdings PLC
    2,059,224
79,369
 
Warrior Met Coal, Inc.
    2,947,765
 
 
TOTAL
41,822,779
 
 
Real Estate—5.8%
 
444,640
1
Apartment Investment & Management Co., Class A
    3,530,442
183,908
 
Armada Hoffler Properties, Inc.
    2,149,885
135,272
 
City Office REIT, Inc.
    1,436,589
595,759
1
Cushman & Wakefield PLC
    6,881,016
132,208
2
eXp World Holdings, Inc.
    1,746,468
46,508
 
Gladstone Land Corp.
      946,438
74,328
 
Hersha Hospitality Trust
      680,101
757,939
 
Macerich Co. (The)
    8,435,861
270,622
 
Marcus & Millichap Co., Inc.
    9,969,714
167,525
 
NexPoint Residential Trust, Inc.
    7,639,140
388,989
 
Outfront Media, Inc.
    7,021,251
106,865
1,2
Redfin Corp.
      514,021
6
Shares
 
 
Value
          
 
COMMON STOCKS—continued
 
 
 
Real Estate—continued
 
24,456
 
Retail Opportunity Investments Corp.
$      354,123
305,309
 
RMR Group, Inc./The
    8,356,307
266,273
 
Uniti Group, Inc.
    2,066,278
54,268
 
Whitestone Project
      510,662
187,787
 
Xenia Hotels & Resorts, Inc.
    3,207,402
 
 
TOTAL
65,445,698
 
 
Utilities—2.0%
 
22,654
1
CBRE Acquisition Holdings, Inc.
      225,634
11,857
 
Chesapeake Utilities Corp.
    1,474,774
103,406
 
Clearway Energy, Inc.
    3,343,116
29,741
 
Consolidated Water Co.
      546,045
7,618
 
ONE Gas, Inc.
      590,243
144,939
 
Otter Tail Corp.
    9,771,787
147,709
 
Portland General Electric Co.
    6,638,042
 
 
TOTAL
22,589,641
 
 
TOTAL COMMON STOCKS
(IDENTIFIED COST $1,150,637,314)
1,110,156,137
 
 
INVESTMENT COMPANIES—4.1%
 
25,851,981
 
Federated Hermes Government Obligations Fund, Premier Shares, 2.94%3
   25,851,981
19,997,846
 
Federated Hermes Institutional Prime Value Obligations Fund, Institutional Shares, 3.08%3
   19,985,847
 
 
TOTAL INVESTMENT COMPANIES
(IDENTIFIED COST $45,837,182)
45,837,828
 
 
TOTAL INVESTMENT IN SECURITIES—102.6%
(IDENTIFIED COST $1,196,474,496)
1,155,993,965
 
 
OTHER ASSETS AND LIABILITIES - NET—(2.6)%4
(29,018,622)
 
 
TOTAL NET ASSETS—100%
$1,126,975,343
An affiliated company is a company in which the Fund, alone or in combination with other funds, has ownership of at least 5% of the voting shares. Transactions with the affiliated companies during the period ended October 31, 2022, were as follows:  
Affiliated
Value as of
7/31/2022
Purchases
at Cost
Proceeds
from Sales
Change in
Unrealized
Appreciation/
Depreciation
Net
Realized Gain/
(Loss)
Value as of
10/31/2022
Shares
Held as of
10/31/2022
Dividend
Income
Health Care:
 
 
 
 
 
 
 
 
Alector, Inc.
$9,059,233
$365,851
$(1,113,309)
$294,313
$(1,107,242)
$7,498,846
815,092
$—
Amphastar Pharmaceuticals, Inc.
$2,935,115
$—
$(375,723)
$(632,594)
$138,743
$2,065,541
66,846
$—
Information Technology:
 
 
 
 
 
 
 
 
Brightcove, Inc.
$8,244,421
$—
$(692,251)
$1,409,279
$(386,856)
$8,574,593
1,279,790
$—
Affiliated issuers no longer in the portfolio at
period end
$2,883,938
$—
$(3,345,502)
$838,719
$(377,155)
$—
—
$—
TOTAL OF AFFILIATED COMPANIES
TRANSACTIONS
$23,122,707
$365,851
$(5,526,785)
$1,909,717
$(1,732,510)
$18,138,980
2,161,728
$—
7
Affiliated fund holdings are investment companies which are managed by the Adviser or an affiliate of the Adviser. Transactions with affiliated fund holdings during the period ended October 31, 2022, were as follows:  
 
Federated
Hermes
Government
Obligations Fund,
Premier Shares*
Federated
Hermes
Institutional
Prime Value
Obligations Fund,
Institutional Shares
Total of
Affiliated
Transactions
Value as of 7/31/2022
$41,790,036
$24,439,666
$66,229,702
Purchases at Cost
$64,120,208
$53,975,388
$118,095,596
Proceeds from Sales
$(80,058,263)
$(58,429,063)
$(138,487,326)
Change in Unrealized Appreciation/Depreciation
N/A
$(1,241)
$(1,241)
Net Realized Gain/(Loss)
N/A
$1,097
$1,097
Value as of 10/31/2022
$25,851,981
$19,985,847
$45,837,828
Shares Held as of 10/31/2022
25,851,981
19,997,846
45,849,827
Dividend Income
$—
$—
$—
 
*
All or a portion of the balance/activity for the fund relates to cash collateral received on securities lending transactions.
 
1
Non-income-producing security.
2
All or a portion of these securities are temporarily on loan to unaffiliated broker/dealers. As of October 31, 2022, securities subject to this type of arrangement
and related collateral were as follows:
 
Market Value of
Securities Loaned
Collateral
Received
$24,171,189
$25,851,981
 
3
7-day net yield.
4
Assets, other than investments in securities, less liabilities.
Note: The categories of investments are shown as a percentage of total net assets at October 31, 2022.
Investment Valuation
In calculating its net asset value (NAV), the Fund generally values investments as follows:
◾ Equity securities listed on an exchange or traded through a regulated market system are valued at their last reported sale price or official closing price in their principal exchange or market.
◾ Shares of other mutual funds or non-exchange-traded investment companies are valued based upon their reported NAVs, or NAV per share practical expedient, as applicable.
◾ Fixed-income securities are fair valued using price evaluations provided by a pricing service approved by Federated MDTA LLC (the “Adviser”).
◾ Derivative contracts listed on exchanges are valued at their reported settlement or closing price, except that options are valued at the mean of closing bid and ask quotations.
◾ Over-the-counter (OTC) derivative contracts are fair valued using price evaluations provided by a pricing service approved by the Adviser.
◾ For securities that are fair valued in accordance with procedures established by and under the general supervision of the Adviser, certain factors may be considered, such as: the last traded or purchase price of the security, information obtained by contacting the issuer or dealers, analysis of the issuer’s financial statements or other available documents, fundamental analytical data, the nature and duration of restrictions on disposition, the movement of the market in which the security is normally traded, public trading in similar securities or derivative contracts of the issuer or comparable issuers, movement of a relevant index, or other factors including but not limited to industry changes and relevant government actions.
If any price, quotation, price evaluation or other pricing source is not readily available when the NAV is calculated, if the Fund cannot obtain price evaluations from a pricing service or from more than one dealer for an investment within a reasonable period of time as set forth in the Adviser’s valuation policies and procedures for the Fund, or if information furnished by a pricing service, in the opinion of the Adviser’s valuation committee (“Valuation Committee”), is deemed not representative of the fair value of such security, the Fund uses the fair value of the investment determined in accordance with the procedures described below. There can be no assurance that the Fund could obtain the fair value assigned to an investment if it sold the investment at approximately the time at which the Fund determines its NAV per share, and the actual value obtained could be materially different.
Fair Valuation and Significant Events Procedures
Pursuant to Rule 2a-5 under the Investment Company Act, the Fund’s Board of Trustees (the “Trustees”) have designated the Adviser as the Fund’s valuation designee to perform any fair value determinations for securities and other assets held by the Fund. The Adviser is subject to the Trustees’ oversight and certain reporting and other requirements intended to provide the Trustees the information needed to oversee the Adviser’s fair value determinations.
8
The Adviser, acting through its Valuation Committee, is responsible for determining the fair value of investments for which market quotations are not readily available. The Valuation Committee is comprised of officers of the Adviser and certain of the Adviser’s affiliated companies and determines fair value and oversees the calculation of the NAV. The Valuation Committee is also authorized to use pricing services to provide fair value evaluations of the current value of certain investments for purposes of calculating the NAV. The Valuation Committee employs various methods for reviewing third-party pricing-service evaluations including periodic reviews of third-party pricing services’ policies, procedures and valuation methods (including key inputs, methods, models and assumptions), transactional back-testing, comparisons of evaluations of different pricing services, and review of price challenges by the Adviser based on recent market activity. In the event that market quotations and price evaluations are not available for an investment, the Valuation Committee determines the fair value of the investment in accordance with procedures adopted by the Adviser. The Trustees periodically review the fair valuations made by the Valuation Committee. The Trustees have also approved the Adviser’s fair valuation and significant events procedures as part of the Fund’s compliance program and will review any changes made to the procedures.
Factors considered by pricing services in evaluating an investment include the yields or prices of investments of comparable quality, coupon, maturity, call rights and other potential prepayments, terms and type, reported transactions, indications as to values from dealers and general market conditions. Some pricing services provide a single price evaluation reflecting the bid-side of the market for an investment (a “bid” evaluation). Other pricing services offer both bid evaluations and price evaluations indicative of a price between the prices bid and ask for the investment (a “mid” evaluation). The Fund normally uses bid evaluations for any U.S. Treasury and Agency securities, mortgage-backed securities and municipal securities. The Fund normally uses mid evaluations for any other types of fixed-income securities and any OTC derivative contracts. In the event that market quotations and price evaluations are not available for an investment, the fair value of the investment is determined in accordance with procedures adopted by the Adviser.
The Adviser has also adopted procedures requiring an investment to be priced at its fair value whenever the Valuation Committee determines that a significant event affecting the value of the investment has occurred between the time as of which the price of the investment would otherwise be determined and the time as of which the NAV is computed. An event is considered significant if there is both an affirmative expectation that the investment’s value will change in response to the event and a reasonable basis for quantifying the resulting change in value. Examples of significant events that may occur after the close of the principal market on which a security is traded, or after the time of a price evaluation provided by a pricing service or a dealer, include:
◾ With respect to securities traded principally in foreign markets, significant trends in U.S. equity markets or in the trading of foreign securities index futures contracts;
◾ Political or other developments affecting the economy or markets in which an issuer conducts its operations or its securities are traded;
◾ Announcements concerning matters such as acquisitions, recapitalizations, litigation developments, or a natural disaster affecting the issuer’s operations or regulatory changes or market developments affecting the issuer’s industry.
The Adviser has adopted procedures whereby the Valuation Committee uses a pricing service to provide factors to update the fair value of equity securities traded principally in foreign markets from the time of the close of their respective foreign stock exchanges to the pricing time of the Fund. For other significant events, the Fund may seek to obtain more current quotations or price evaluations from alternative pricing sources. If a reliable alternative pricing source is not available, the Valuation Committee will determine the fair value of the investment in accordance with the fair valuation procedures approved by the Adviser. The Trustees periodically review fair valuations made in response to significant events.
Various inputs are used in determining the value of the Fund’s investments. These inputs are summarized in the three broad levels listed below:
Level 1—quoted prices in active markets for identical securities.
Level 2—other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.). Also includes securities valued at amortized cost.
Level 3—significant unobservable inputs (including the Fund’s own assumptions in determining the fair value of investments).
The inputs or methodology used for valuing securities are not an indication of the risk associated with investing in those securities.

The following is a summary of the inputs used, as of October 31, 2022, in valuing the Fund’s assets carried at fair value:  
Valuation Inputs
 
Level 1—
Quoted
Prices
Level 2—
Other
Significant
Observable
Inputs
Level 3—
Significant
Unobservable
Inputs
Total
Equity Securities:
 
 
 
 
Common Stocks
 
 
 
 
Domestic
$1,077,338,824
$—
$—
$1,077,338,824
International
32,817,313
—
—
32,817,313
Investment Companies
45,837,828
—
—
45,837,828
TOTAL SECURITIES
$1,155,993,965
$—
$—
$1,155,993,965
 
The following acronym(s) are used throughout this portfolio:
 
REIT
—Real Estate Investment Trust
9