0001677615 false FEDERATED HERMES PROJECT AND TRADE FINANCE TENDER FUND The Adviser and certain of its affiliates on their own initiative have agreed to waive certain amounts of their respective fees and/or reimburse expenses. Total annual fund operating expenses (excluding Acquired Fund Fees and Expenses, interest expense, extraordinary expenses, proxy-related expenses, premiums for risk insurance policies on portfolio securities and certain legal fees related to specific investments, if any) paid by the Fund’s Shares (after the waivers and/or reimbursements) will not exceed 0.40% (the “Fee Limit”) up to but not including the later of (the “Termination Date”): (a) June 1, 2025; or (b) the date of the Fund’s next effective Prospectus. While the Adviser and its affiliates currently do not anticipate terminating or increasing these arrangements prior to the Termination Date, these arrangements may only be terminated or the Fee Limit increased prior to the Termination Date with the agreement of the Fund’s Board of Trustees (the “Trustees”). “Other Expenses” include the Fund’s operating expenses, including professional fees, transfer agency fees, administration fees, custody fees, offering costs and other operating expenses and are estimated for the current fiscal year. The example assumes that the Operating Expenses remain the same for each year, and that all dividends and distributions are reinvested at net asset value. The Example does not reflect sales charges (loads) on reinvested dividends. If these sales charges (loads) were included, your cost would be higher. Actual expenses may be greater or less than those assumed. Moreover, the Fund’s actual rate of return may be greater or less than the hypothetical 5% return shown in the example. 0001677615 2024-05-30 2024-05-30 0001677615 cik0001677615:CommonSharesMember 2024-05-30 2024-05-30 0001677615 cik0001677615:RiskOfInvestingInTradeFinanceRelatedSecuritiesMember 2024-05-30 2024-05-30 0001677615 us-gaap:InterestRateRiskMember 2024-05-30 2024-05-30 0001677615 cik0001677615:IssuerCreditRiskMember 2024-05-30 2024-05-30 0001677615 cik0001677615:CounterpartyCreditRiskMember 2024-05-30 2024-05-30 0001677615 cik0001677615:PrepaymentAndExtensionRiskMember 2024-05-30 2024-05-30 0001677615 cik0001677615:SpecificityOfCertainInvestmentsMember 2024-05-30 2024-05-30 0001677615 cik0001677615:MarketRiskMember 2024-05-30 2024-05-30 0001677615 cik0001677615:RiskOfInvestingInDerivativeContractsAndHybridInstrumentsMember 2024-05-30 2024-05-30 0001677615 cik0001677615:IlliquidityOfSharesMember 2024-05-30 2024-05-30 0001677615 cik0001677615:PotentialConsequencesOfRegularRepurchaseOffersMember 2024-05-30 2024-05-30 0001677615 cik0001677615:LargeShareholderRiskMember 2024-05-30 2024-05-30 0001677615 cik0001677615:TechnologyRiskMember 2024-05-30 2024-05-30 0001677615 cik0001677615:GeopoliticalRiskMember 2024-05-30 2024-05-30 0001677615 cik0001677615:LiquidityRiskMember 2024-05-30 2024-05-30 0001677615 cik0001677615:RiskAssociatedWithNoninvestmentgradeSecuritiesMember 2024-05-30 2024-05-30 0001677615 cik0001677615:SectorRiskMember 2024-05-30 2024-05-30 0001677615 cik0001677615:RiskOfForeignInvestingMember 2024-05-30 2024-05-30 0001677615 cik0001677615:CurrencyRiskMember 2024-05-30 2024-05-30 0001677615 cik0001677615:LeverageRiskMember 2024-05-30 2024-05-30 0001677615 cik0001677615:LiquidityMember 2024-05-30 2024-05-30 0001677615 cik0001677615:CollateralPriceRiskMember 2024-05-30 2024-05-30 0001677615 cik0001677615:TransportationAndWarehousingRiskMember 2024-05-30 2024-05-30 0001677615 cik0001677615:LegalRiskMember 2024-05-30 2024-05-30 0001677615 cik0001677615:RiskRelatedToTheEconomyMember 2024-05-30 2024-05-30 0001677615 cik0001677615:CallRiskMember 2024-05-30 2024-05-30 0001677615 cik0001677615:EmergingMarketsMember 2024-05-30 2024-05-30 0001677615 dei:BusinessContactMember 2024-05-30 2024-05-30 xbrli:pure xbrli:shares iso4217:USD
As filed with the Securities and Exchange Commission on May 30, 2024
1933 Act File
No. 
333
-   
1940 Act File
No. 
811-23174
 
 
 
SECURITIES AND
EXCHANGE
COMMISSION
Washington, D.C. 20549
 
 
FORM
N-2
 
 
REGISTRATION STATEMENT
UNDER
THE SECURITIES ACT OF 1933
 
Pre-Effective
Amendment No.  
 
Post-Effective Amendment No.  
 
and/or
REGISTRATION STATEMENT
UNDER
THE INVESTMENT COMPANY ACT OF 1940
 
Amendment No. 27
 
 
 
FEDERATED HERMES PROJECT AND TRADE
FINANCE TENDER FUND
(Exact Name of Registrant as Specified in Charter)
 
 
Federated Hermes Funds
4000 Ericsson Drive
Warrendale, Pennsylvania 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)
 
 
 
Check box if the only securities being registered on this Form are being offered pursuant to dividend or interest reinvestment plans.
 
Check box if any securities being registered on this Form will be offered on a delayed or continuous basis in reliance on Rule 415 under the Securities Act of 1933 (“Securities Act”), other than securities offered in connection with a dividend reinvestment plan.
 
Check box if this Form is a registration statement pursuant to General Instruction A.2 or a post-effective amendment thereto.
 
Check box if this Form is a registration statement pursuant to General Instruction B or a post-effective amendment thereto that will become effective upon filing with the Commission pursuant to Rule 462(e) under the Securities Act.
 
Check box if this Form is a post-effective amendment to a registration statement filed pursuant to General Instruction B to register additional securities or additional classes of securities pursuant to Rule 413(b) under the Securities Act.
It is proposed that this filing will become effective (check appropriate box)
 
when declared effective pursuant to Section 8(c) of the Securities Act
The following boxes should only be included and completed if the registrant is
making
this filing in accordance with Rule 486 under the Securities Act.
 
immediately upon filing pursuant to paragraph (b)
 
on (date) pursuant to paragraph (b)
 
60 days after filing pursuant to paragraph (a)
 
on (date) pursuant to paragraph (a)
If appropriate, check the following box:
 
This post-effective amendment designates a new effective date for a previously filed post-effective amendment.
 
This Form is filed to register additional securities for an offering pursuant to Rule 462(b) under the Securities Act, and the Securities Act registration statement number of the earlier effective registration statement for the same offering is:
 
This Form is a post-effective amendment filed pursuant to Rule 462(c) under the Securities Act, and the Securities Act registration statement number of the earlier effective registration statement for the same offering is:
 
This Form is a post-effective amendment filed pursuant to Rule 462(d) under the Securities Act, and the Securities Act registration statement number of the earlier effective registration statement for the same offering is:
Check each box that appropriately characterizes the Registrant:
 
Registered
Closed-End
Fund
(closed-end
company that is registered under the Investment Company Act of 1940 (“Investment Company Act”)).
 
Business Development Company
(closed-end
company that intends or has elected to be regulated as a business development company under the Investment Company Act).
 
Interval Fund (Registered
Closed-End
Fund or a Business Development Company that makes periodic repurchase offers under Rule
23c-3
under the Investment Company Act).
 
A.2 Qualified (qualified to register securities pursuant to General Instruction A.2 of this Form).
 
Well-Known Seasoned Issuer (as defined by Rule 405 under the Securities Act).
 
Emerging Growth Company (as defined by Rule
12b-2
under the Securities Exchange Act of 1934 (“Exchange Act”).
 
If an Emerging Growth Company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 7(a)(2)(B) of Securities Act.
 
New Registrant (registered or regulated under the Investment Company Act for less than 12 calendar months preceding this filing).
 
 
 

Prospectus
May 31
,
2024

Federated Hermes Project and Trade Finance
Tender Fund

Investment objective
.
Federated Hermes Project and Trade Finance Tender Fund (the “Fund”) commenced operations on
December 7, 2016, and is a continuously offered, diversified, closed-end management investment company. The Fund’s investment
objective is to provide total return primarily from income. The Fund pursues its investment objective primarily by investing in trade
finance, structured trade, export finance, import finance, supply chain financing and project finance assets of entities, including
sovereign entities (“trade finance related securities”). Trade finance related securities
primarily
will be located
in, or have exposure to,
global emerging markets. Trade finance transactions refer to the capital needed to buy or sell, import or export, products or other
tangible goods. Project finance transactions are typically used to build something tangible or to expand existing plant capacity to
produce more goods for trade; and the Fund typically invests in project finance deals when the project has been largely completed and
goods are being produced for export (i.e., transactions are of a short-term nature). No assurance can be given that the Fund’s
investment objective will be achieved.

The Fund’s shareholder reports will be made available on
FederatedHermes.com/us/FundInformation
, and you will be notified and
provided with a link each time a report is posted to the website. You may request to receive paper reports from the Fund or from
your financial intermediary, free of charge, at any time. You may also request to receive documents through e-delivery.

Investing in the Fund’s Shares involves certain risks and should not constitute a complete investment program. Risks,
including “Risk of Investing in Trade Finance Related Securities,” “Interest Rate Risk,” and “Risk of Investing in Derivative
Contracts and Hybrid Instruments,” are described in the “Risk Factors” section beginning on page 22 of this prospectus.
The Fund’s Shares will not be listed on an exchange. It is not anticipated that a secondary market will develop. An investment
in the Fund may not be suitable for investors who may need the money they invest in a specified timeframe.

Not FDIC Insured ▪ May Lose Value ▪ No Bank Guarantee

Neither the U.S. Securities and Exchange Commission (the “SEC”) nor any state securities commission has approved or
disapproved of these securities or determined if this prospectus is truthful or complete. Any representation to the contrary
is a criminal offense.
 
Price to Public
1
Maximum Sales Load
as a Percentage of
Purchase Amount
Proceeds to
Registrant
2
Per Share
At Current NAV
None
Current NAV
Total
$529,970,760.86
None
$529,970,760.86
1
Common shares of beneficial interest (the “Shares”) are continuously offered at current net asset value (NAV), which will fluctuate.
2
Total proceeds to the Fund assume that all registered Shares will be sold in a continuous offering. The proceeds may differ from that shown if other than
the then-current net asset value at which Shares are sold varies from that shown and/or additional Shares are registered.
The date of this Prospectus is
May 31
,
2024

Federated Securities Corp. (the “Distributor”) acts as the distributor of the Fund’s Shares, on a best efforts basis, subject
to various conditions. Shares may be purchased through the Distributor or through advisers, brokers, dealers or banks that
have entered into selling agreements with the Distributor. Neither the Distributor nor any other adviser, broker, dealer or
bank is obligated to buy from the Fund any of the Shares.
Portfolio management strategies
.
Under normal market conditions, the Fund’s investment program will consist
primarily of investing in trade finance related securities. It is the Adviser and Sub-Adviser’s (each as defined below) intent
to focus the Fund’s investments in trade finance related securities.
The Fund seeks to provide investors with a portfolio that exceeds the ICE BofA US Dollar 1-Month Deposit Offered
Rate Constant Maturity Index with low volatility and low correlation to stock and fixed income market returns as well as
commodities. The Fund’s investments are expected to consist primarily of loans, or similar instruments used directly or
indirectly to finance domestic and international trade and related infrastructure projects. These are expected to include, but
not be limited to, facilities for pre-export finance, process and commodities finance, receivables financing, letters of credit
and other documentary credits, promissory notes, bills of exchange and other negotiable instruments. The Fund may gain
exposure to such investments by way of purchase, assignment, participation, sub-participation, guarantee, insurance,
derivative or any other appropriate financial instrument. The Fund invests only in funded letters of credit and other
instruments that do not create unfunded commitments to lend. The Fund may also take positions in more traditional assets
including bonds, equities and foreign exchange instruments for the purpose of hedging and investment. The Fund, from
time to time, may also use currency forwards for hedging purposes. However, although not generally anticipated to be
used, the Fund reserves the flexibility to use derivative contracts and/or hybrid instruments to implement elements of its
investment strategy. Derivative investments made by the Fund are included within the Fund’s 80% policy and are
calculated at market value. Under normal market conditions, the Fund will invest at least 80% of its net assets, plus the
amount of any borrowings for investment purposes, in trade finance related securities. Up to 20% of the Fund’s assets may
be invested in other types of fixed-income securities and money market instruments.
Adviser and Sub-Adviser
. The Fund’s investment adviser is Federated Investment Management Company (FIMC or
the “Adviser”). As of December 31,
2023
, FIMC and its affiliates managed approximately $
757.6
billion. FIMC has
engaged Federated Hermes (UK) LLP (the “Sub-Adviser”) as a sub-adviser to the Fund. As of December 31,
2023
, the
Sub-Adviser acted as investment adviser for and/or managed approximately $
11.5
billion of assets. Under the supervision
of the Adviser and oversight by the Board of Trustees of the Fund (the “Board”) and pursuant to a sub-advisory agreement
between the Adviser and the Sub-Adviser, the Sub-Adviser will act as sub-investment adviser to the Fund. The
Sub-Adviser will have day-to-day portfolio management responsibilities for the Fund.

This prospectus contains information you should know before investing, including information about risks. Please read
it before you invest and keep it for future reference. Copies of the Fund’s semi-annual and annual reports, when available,
may be obtained without charge by writing to the Fund at its address at 4000 Ericsson Drive, Warrendale, Pennsylvania
15086-7561 or by calling the Fund at 1-855-328-0109. Copies of the Fund’s semi-annual and annual reports, when
available, may also be obtained without charge at
FederatedHermes.com/us
. In addition, the SEC maintains a website
(
sec.gov
) that contains the annual and semi-annual reports and other information regarding registrants that file
electronically with the SEC.
A Statement of Additional Information dated
May 31
,
2024
(SAI) has been filed with the SEC and can be obtained
without charge by calling 1-855-328-0109 or by writing to the Fund. Copies of the SAI may also be obtained free of
charge at
FederatedHermes.com/us
.
This prospectus incorporates by reference the entire Statement of Additional
Information. The Statement of Additional Information is available along with shareholder reports and other Fund-related
materials from the EDGAR database on the SEC’s internet site (
sec.gov
) or, upon payment of copying fees, by contacting
the SEC by electronic mail at publicinfo@sec.gov. The Fund’s address is 4000 Ericsson Drive, Warrendale,
PA 15086-7561.
The Fund’s shares do not represent a deposit or obligation of, and are not guaranteed or endorsed by, any bank or other
insured depository institution, and are not federally insured by the Federal Deposit Insurance Corporation, the Federal
Reserve Board or any other government agency.

You should rely only on the information contained or incorporated by reference in this prospectus. The Fund has
not, and the Distributor has not, authorized any other person to provide you with different information. If anyone
provides you with different or inconsistent information, you should not rely on it. Neither the Fund nor the
Distributor is making an offer to sell these securities in any jurisdiction where the offer or sale is not permitted.
You should not assume that the information provided by this prospectus is accurate as of any date other than the
date on the front of this prospectus. The Fund’s business, financial condition and results of operations may have
changed since the date of this prospectus.


Prospectus Summary
This is only a summary. This summary may not contain all of the information that you should consider before investing
in the Federated Hermes Project and Trade Finance Tender Fund’s Shares. You should review the more detailed
information contained in this prospectus and in the Statement of Additional Information, especially the information set
forth under the heading “Investment Objectives and Policies” and “Risk Factors.”
The Fund
Federated Hermes Project and Trade Finance Tender Fund (the “Fund”) commenced operations on December 7, 2016
and is a continuously offered, diversified, closed-end management investment company. The Fund’s investment objective
is to provide total return primarily from income. No assurance can be given that the Fund’s investment objective will be
achieved. The Fund’s investment adviser is Federated Investment Management Company (FIMC or the “Adviser”).
Under the supervision of the Adviser and oversight by the Board of Trustees of the Fund (the “Board”)
Federated Hermes (UK) LLP (the “Sub-Adviser”) will have day-to-day portfolio management responsibilities for
the Fund.
The OFFERING
The Fund continuously offers and sells shares of beneficial interests (the “Shares”). Investors who purchase Shares
in the offering, and other persons who acquire Shares and are admitted to the Fund by its Board of Trustees (each
individually a “Trustee” and collectively, the “Board”), will become shareholders of the Fund (the “Shareholders”). The
Fund currently intends to accept purchases of Shares as of the last business day of each calendar month, typically
following 30 calendar days’ advance notice, which may be waived at the discretion of the Board, or at such other times as
may be determined by the Board. All Shares are sold at the most recently calculated net asset value per Share as of the
date on which the purchase is accepted. The minimum initial investment in the Fund by any account is $100,000, and the
minimum additional investment in the Fund is $25,000. The minimum investment amounts may be reduced or waived.
See
 
“Purchase Terms.” At the discretion of the Board and provided that it is in the best interests of the Fund and Shareholders
to do so, the Fund intends to provide a limited degree of liquidity to the Shareholders by conducting repurchase offers
generally quarterly. In each repurchase offer, the Fund may offer to repurchase its Shares at their NAV on the relevant
valuation date. See “Repurchases and Transfers of Shares.”
Investment Objective and Strategies
The Fund’s investment objective is to provide total return primarily from income. While there is no assurance that the
Fund will achieve its investment objective it endeavors to do so by following the strategies and policies described in
this Prospectus.
The Fund pursues its investment objective primarily by investing in trade finance, structured trade, export finance,
import finance, supply chain financing and project finance assets of entities, including sovereign entities (“trade finance
related securities”). Trade finance related securities
primarily
will be located
in, or have exposure to, global emerging
markets. Under normal circumstances, the Fund anticipates that approximately 75% or more of its assets may be invested
in trade finance related securities of companies or other entities (including sovereign entities)
primarily
located
in or
having exposure to global emerging markets. Trade finance transactions refer to the capital needed to buy or sell, or import
or export, products or other tangible goods. Project finance transactions are typically used to build something tangible or
to expand existing plant capacity to produce more goods for trade; and the Fund typically invests in project finance deals
when the project has been largely completed and goods are being produced for export (i.e., transactions are of a
short-term nature).
Under normal circumstances, the Fund intends to hold its positions through to maturity. There are no limits on the
Fund’s average-weighted maturity. However, under normal conditions, the Fund is anticipated to have an average dollar-weighted
maturity of not more than 24 months. The Fund’s investments in trade finance related securities are often unrated
but may also be below investment grade (or “junk” investments).
The Adviser and Sub-Adviser believe that trade finance is a risk mitigated asset class and historically, while trade
finance is not immune from default arising from credit or sovereign risk factors, during these periods of financial stress,
treatment of trade finance creditors typically has been preferential either formally or informally as a result of:
◾ 
The underlying use or purpose of funds (critical imports or key exports, governmental economic priorities, etc.);
◾ 
The types of transactional security (export contracts, escrow accounts, inventory, fixed assets, etc.); and
◾ 
The recognition of the economic benefit that is derived from trade generally.
For purposes of this Prospectus, the Adviser and Sub-Adviser, are sometimes referred to together, as applicable, as the
“Fund’s Adviser.”
1

During sovereign and corporate restructurings, trade finance related securities can achieve differentiated treatment in a
default and then recovery situation compared to other forms of debt.
The Fund’s investments are expected to consist primarily of loans, or similar instruments used to finance domestic and
international trade and related infrastructure projects. These are expected to include, but not be limited to, facilities for
pre-export finance, process and commodities finance, receivables financing, letters of credit and other documentary
credits, promissory notes, bills of exchange and other negotiable instruments. The Fund may engage in such investments
by way of purchase, assignment, participation, guarantee, insurance, derivative or any other appropriate financial
instrument. The Fund invests only in funded letters of credit and other instruments that do not create unfunded
commitments to lend.
The Fund may invest without limitation in securities and obligations for which there is no readily available trading
market or which are otherwise illiquid, including trade finance securities and other fixed-income or
derivative instruments.
The Fund may, from time to time, have larger allocations to certain broad market sectors, such as the energy sector, in
attempting to achieve its
investment objective
.
The Fund may also take positions in traditional assets including bonds, (investment-grade or noninvestment-grade
(otherwise known as “junk bonds”)) debt securities, equities, foreign exchange instruments, as well as derivatives for the
purposes set forth below. There can be no assurance that the Fund’s use of derivatives will work as intended. Derivative
investments made by the Fund are included within the Fund’s 80% policy (as described below) and are calculated at
market value. The instruments in which the Fund invests may be guaranteed by the U.S. government. A substantial portion
of the Fund’s investments will be in obligations of non-U.S. issuers or borrowers, including those of issuers in
emerging markets.
Under normal circumstances, the Fund will invest at least 80% of its net assets, plus the amount of any borrowings for
investment purposes, in trade finance related securities. Up to 20% of the Fund’s assets may be invested in other types of
fixed-income securities and money market instruments as described in this Prospectus. It is the Fund’s Adviser’s intent to
focus the Fund’s investments in trade finance related securities.
Because the Fund refers to trade finance related securities in its name, it will notify Shareholders at least 60 days in
advance of any change in its investment policies that would enable the Fund to normally invest less than 80% of its net
assets, plus the amount of any borrowings for investment purposes, in trade finance related securities.
Investment Selection Strategies
The Fund’s Adviser analyzes the risk-adjusted return characteristics of potential financings and conducts initial
expected annual excess return calculations and due diligence analysis of the facility and the obligor to evaluate if they are
appropriate investments. Analysis includes:
Origination.
Assess quality and track record of originator, define originator’s role in the transaction and define
originator’s relationship with the borrower. At this stage, documents are reviewed such as, but not limited to: the offtake
contracts, loan agreement, legal opinions, expert consultants’ reports, and insurance policies if applicable.
Obligor.
A thorough review of obligor including, but not limited to: credit analysis, shareholders, market position,
access to capital markets and quality of audit/accounting firm. Typically, three years of audited financials and projections
are required, among other credit-analysis tools to make this assessment.
Country.
A country’s credit rating, historic treatment of trade flows, the importance of the sector to this country and
currency convertibility are all considered.
Sector.
Evaluated under the following considerations: Strategic priority, critical imports, foreign exchange earner,
macro sector themes, and liquidity and tax/tariff issues.
Mitigants.
The proposed transaction is also evaluated by its ability to mitigate risks such as, but not limited to: country,
production, quality, market, operational and payment issues risks, commodity, price, environmental, country and legal.
Documentation considerations are also examined closely.
The transaction is then analyzed for its portfolio suitability based upon:
Deal Structure.
Tenor, grace period, amortization schedule, drawing conditions and financing structure of the deal are
thoroughly reviewed.
Deal Pricing.
Relative value of spreads to market, value for risk and return projections are carefully considered.
Portfolio.
The tenor, yield target and concentration of the Fund’s portfolio are carefully considered. Concentration
analysis includes region, country, and sector and obligor structure.
2

Temporary Investments
The Fund may temporarily depart from its principal investment strategies by investing its assets in shorter-term debt
securities and similar obligations or holding cash. It may do this in response to unusual circumstances, such as: adverse
market, economic, or other conditions (for example, to help avoid potential losses, or during periods when there is a
shortage of appropriate securities); to maintain liquidity to meet Shareholder redemptions; or to accommodate cash
inflows. It is possible that such investments could affect the Fund’s investment returns and/or the ability to achieve the
Fund’s investment objectives.
ERISA PLANS AND OTHER TAX-EXEMPT ENTITIES
Investors subject to ERISA and other tax-exempt entities, including employee benefit plans, individual retirement
accounts (each, an IRA) and 401(k) Plans (collectively, “ERISA Plans”) may purchase Shares. Because the Fund is
an investment company registered under the 1940 Act, the underlying assets of the Fund will not be considered to be “plan
assets” of an ERISA Plan investing in the Fund for purposes of ERISA’s fiduciary responsibility and prohibited
transaction rules. Thus, the Adviser will not be a fiduciary within the meaning of ERISA with respect to the assets of
any ERISA Plan that becomes a Shareholder, solely as a result of the ERISA Plan’s investment in the Fund.
The Adviser and Sub-Adviser
The Fund’s investment adviser is FIMC. As of December 31,
2023
, FIMC and its affiliates managed approximately
$
757.6
billion. FIMC has engaged the Sub-Adviser as a sub-adviser to the Fund. As of December 31,
2023
, the
Sub-Adviser acted as investment adviser for and/or managed approximately $
11.5
billion of assets. Under the supervision
of the Adviser and oversight by the Board and pursuant to a sub-advisory agreement between the Adviser and the
Sub-Adviser, the Sub-Adviser will act as sub-investment adviser to the Fund. The Sub-Adviser will have day-to-day
portfolio management responsibilities for the Fund.
Distributions
The Fund intends to make regular quarterly cash distributions to Shareholders. The Fund will distribute annually any
net short-term capital gain and any net capital gain (which is the excess of net long-term capital gain over net short-term
capital loss). Distributions to Shareholders cannot be assured, and the amount of each quarterly distribution is likely to
vary. See “Distributions” and “Federal Income Tax Matters.”
Dividend Reinvestment Plan
Each Shareholder will automatically be a participant under the Fund’s Dividend Reinvestment Plan (DRP) and have all
income dividends and/or capital gains distributions automatically reinvested in Shares. Election not to participate in the
DRP and to receive all income dividends and/or capital gains distributions, if any, in cash may be made by notice to the
Fund or, if applicable, to a Shareholder’s broker or other intermediary (who should be directed to inform the Fund).
Closed-end FUND Structure
LIMITED LIQUIDITY
The Fund has been organized as a closed-end management investment company. Closed-end funds differ from open-end
management investment companies (commonly known as mutual funds) in that closed-end fund shareholders do not have
the right to redeem their shares on a daily basis. In order to meet daily redemption requests, mutual funds are subject to
more stringent regulatory limitations than closed-end funds. In particular, a mutual fund generally may not invest more
than 15% of its assets in illiquid securities.
The Fund will not list the Shares on any securities exchange, and it is not expected that any secondary market will
develop for the Shares. Shareholders will not be able to tender for repurchase their Shares on a daily basis because the
Fund is a closed-end fund. Shares may not currently be exchanged for shares of any other fund. However, in order to
provide liquidity, the Fund intends on a quarterly basis to conduct repurchase offers for a portion of its outstanding Shares.
An investment in the Fund is suitable only for investors who can bear the risks associated with the limited liquidity of the
Shares. Shares should be viewed as a long-term investment.
3

REPURCHASES OF SHARES BY THE FUND
Because the Fund is a closed-end fund, shareholders do not have the right to require the Fund to repurchase any or all
of their Shares. At the discretion of the Board and provided that it is in the best interests of the Fund and Shareholders to
do so, the Fund intends to provide a limited degree of liquidity to the Shareholders by conducting repurchase offers
generally quarterly (or more or less frequently as determined by the Board in its discretion). In each repurchase offer, the
Fund may offer to repurchase its Shares at their NAV on the relevant valuation date (each, a “Valuation Date”), which will
occur on or before the expiration date of the repurchase offer (the “Expiration Date”). Each repurchase offer ordinarily
will be limited to the repurchase of approximately 5-15% of the net asset value of the Fund, although the Board can
determine to authorize the Fund to repurchase in excess of 15% of the net asset value of the Fund in its discretion. If the
value of Shares tendered for repurchase exceeds the value the Fund intended to repurchase, the Fund, in its sole discretion,
may (a) accept the additional Shares permitted to be accepted pursuant to Rule 13e-4(f) under the Exchange Act of
1934, as amended (the “Exchange Act”); or (b) determine to repurchase less than the full number of Shares tendered. In
the event less than the full number of Shares tendered will be repurchased, Shareholders will have their Shares
repurchased on a pro rata basis, and tendering Shareholders will not have all of their tendered Shares repurchased by the
Fund. Shareholders tendering Shares for repurchase will be asked to give written notice of their intent to do so as soon as
practicable and in any event by no later than the date specified in the notice describing the terms of the applicable
repurchase offer (
i.e
., the Expiration Date). See “Repurchases and Transfers of Shares.”
The Expiration Date will be a date set by the Board occurring no sooner than twenty (20) business days after the
commencement date of the repurchase offer and at least ten (10) business days from the date that notice of an increase or
decrease in the percentage of the securities being sought or consideration offered is first published, sent or given to
Shareholders. The Expiration Date may be extended by the
Fund
in its sole discretion. The Fund will not accept any
repurchase request received by it or its designated agent after the Expiration Date.
The Fund has the right to repurchase Shares from a Shareholder if the Board determines that the repurchase is in the
best interests of the Fund or upon the occurrence of certain events specified in the Fund’s Declaration of Trust.
The Fund will repurchase Shares and remit the repurchase price to Shareholders within five (5) business days after the
Expiration Date.
Additional Liquidity Information
: If a Shareholder submits Shares for repurchase by the Fund in accordance with the
tender offer procedures and the Fund has not repurchased all of those Shares within three years from the Valuation Date of
the applicable repurchase offer period, then the Fund will, in accordance with the terms of its Declaration of Trust, be
dissolved and liquidated. See “Repurchases and Transfers of Shares
No Right of Redemption” and “
Repurchases
of Shares.”
Special Risk Considerations
The following describes various principal risks of investing in the Fund. A more detailed description of these and other
risks of investing in the Fund are described under “Risk Factors” in this prospectus and under “Investment Risks” in the
Fund’s Statement of Additional Information.
Risk of Investing In Trade Finance Related Securities
The Fund pursues its investment objective by investing primarily in trade finance, structured trade finance, export
finance and project finance or related obligations of companies or other entities (including sovereign entities)
primarily
located
in or having exposure to global emerging markets. As such, the Fund is subject to all of the risks typical to
investments generally made in emerging markets, in addition to risks specific to the trade finance asset class.
Emerging Markets.
The Fund will make investments in emerging markets. Investors should be aware that the risks
associated with an investment in emerging markets are higher than those attached to similar investments in developed
countries. Investment in emerging markets involves risk factors and special considerations which may not be typically
associated with investing in more developed markets and are likely to include but not be restricted to the following:
Political and Economic Factors:
Political and economic change and instability may be more likely to occur and have a
greater effect on the economies and markets of emerging countries. Government policies, taxation, restrictions on foreign
investment and on currency convertibility and repatriation, currency fluctuations and other developments in the laws and
regulations of the relevant country could result in losses. In the event of nationalization, expropriation, or other
confiscation, the Fund could lose its entire investment in a foreign security.
4

Status of Loan Markets:
In comparison with more developed primary and secondary loan markets, the emerging market
loan market is smaller, may experience reduced liquidity and as a result potentially more volatile securities prices. This
may result in greater volatility in the net asset value of the Fund than would be the case if the investments were made in
more developed markets. In addition, different transaction settlement and clearing procedures, safe custody and
registration procedures may be underdeveloped enhancing the chance of an error, fraud or default, causing losses to the
Fund. Such underdeveloped procedures may be unable to keep pace with the volume of securities transactions or
otherwise make it difficult to engage in such transactions. In addition, custodial expenses for emerging market securities
are generally higher than for developed market securities.
Legal Considerations:
The legal infrastructure and accounting, auditing and reporting standards in emerging markets
may not provide the same degree of investor information or protection as would generally apply in more developed
markets. Certain investments in particular emerging markets may be subject to restrictions which may limit the availability
of attractive investment opportunities to the Fund. Furthermore, emerging markets are generally not as efficient as those in
more developed countries. In some cases, a market for the security may not exist locally and therefore transactions may
need to be made on a neighboring exchange.
Costs:
Emerging markets securities may incur brokerage or stock transfer taxes or other withholding taxes levied by
foreign governments which may have the effect of increasing the cost of investment and which may reduce the realized
gain or increase the loss on such securities at the time of sale.
Regulation:
The issuers of emerging markets securities or borrowers in emerging market countries, such as companies,
banks and other financial institutions, may be subject to less stringent regulation than would be the case for issuers in
developed countries, and therefore potentially carry greater risk.
Accounting Reporting Standards:
The issuers of emerging market securities or borrowers in emerging market countries,
such as companies, banks and other financial institutions, may be subject to local accounting and audit practices. These
may differ from international accounting practices leading to a greater risk of financial misreporting or misrepresentation.
Credit Ratings:
Emerging market loans are often unrated but may also be below investment grade (or “junk”
investments). The market values of corporate loans rated below investment grade and comparable unrated securities tend
to be more sensitive to company-specific developments and changes in economic conditions than for higher rated
securities. Issuers of these securities are often highly leveraged, so that their ability to service debt obligations during an
economic downturn may be impaired. In addition, such issuers may not have more traditional methods of financing
available to them, and may be unable to repay debt at maturity by refinancing. The risk of loss due to default in payment
of interest or principal by such issuers is significantly greater than in the case of investment-grade securities. These
securities may be subordinated to the prior payment of senior or secured indebtedness.
Taxation:
Taxation of interest received by the Fund with respect to emerging market borrowers may be subject to
foreign taxes that may or may not be reclaimable. Trade finance related securities may include methods to minimize such
risks but no assurance can be given that such techniques will be successful. In addition, markets in which the Fund invests
may have less well developed or defined tax laws and procedures than in more developed markets and this may adversely
affect the level of tax suffered by investment in those markets. This may also include the imposition of retroactive taxation
which had not reasonably been anticipated in the valuation of the assets of the Fund. This may result in uncertainty which
could necessitate significant provisions being made for foreign taxes in the calculation of the NAV of the Fund. The Fund
intends to elect to be treated and to qualify each year as a regulated investment company (RIC) under the Internal Revenue
Code of 1986, as amended (the “Code”). In order to qualify as a RIC, the Fund must meet certain requirements regarding
the source of its income and the diversification of its assets. Interest received by the Fund in connection with its trade
finance related investments will be qualifying income for purposes of such requirements, but income from engaging in
lending or other business activities would not be qualifying income. The Fund must take into account the distinction
between these types of income in structuring its participation in trade finance related investments.
Additional risks associated with investing in foreign securities, and emerging markets in particular, are discussed below
under “Risks of Foreign Investing.”
Transportation and Warehousing Risk.
Because of the transaction structuring involved, certain of the Fund’s
investments will be backed by commodities or other trade finance goods in transit or held in warehouses or physical assets
such as plant or land. Negligence and fraud are always significant risks in transactions involving the financing of such
assets. The Fund may use methods to minimize such risks but no assurance can be given that such efforts will
be successful.
5

Legal Risk.
Laws in emerging markets may be less sophisticated than in developed countries. Accordingly the Fund
may be subject to additional legal risks concerning its investments in the underlying trade finance related security and in
particular the effectiveness of various legal contracts that form the trade finance related security such as loan
documentation, local law security agreements and collateral management arrangements. These include, but are not limited
to, inadequate investor protection, unclear or contradictory legislation or regulations and lack of enforcement thereof,
ignorance or breach of legislation or regulations on the part of other market participants, lack of legal redress and breaches
of confidentiality. It may be difficult to obtain and enforce a judgment in certain emerging markets against borrowers or
against local assets which provide collateral or security in support of a specific investment in a trade finance related
security in which the Fund may be invested.
Collateral Price Risk
.
Many investment transactions may be supported or secured by underlying collateral, which may
include primary commodities, and other secondary or tertiary goods or physical assets. The price of this commodity or
asset collateral may be highly volatile in terms of value or subject to illiquidity at the time of a required sale.
Liquidity
.
Trade finance investments are not listed on any stock exchange or securities market, and the established or
recognized market (if any) for the investments may be relatively small and/or poorly developed, therefore trades may only
be executed on a matched bargain basis and prices may not be published or be readily available from an independent
price source.
Market Risk.
The profitability of the investment strategy of the Fund may depend on correct assessments of the future
course of credit spreads of trade finance loans and other investments by the Fund’s Adviser. There can be no assurance
that the Fund’s Adviser will be able to accurately predict such price movements.
Specificity of Certain Investments.
Certain securities in particular jurisdictions may only be held by entities (often
banks) resident in those jurisdictions, and not directly by the Fund. Depending on the existence or otherwise and local
interpretation of trust or fiduciary laws in the relevant jurisdiction, the Fund may have the risk of such entity holding or
registering such security. In the event of the insolvency of such an entity, the Fund may only rank as an unsecured creditor
and the whole or part of such security may be lost.
The Fund may also acquire participations, sub-participations or other interests in emerging market debt, where the
additional performance risk of the grantor of such interest will be taken, as well as the risk of the underlying emerging
market debt. In the event of the insolvency of the grantor, the relevant Fund would only rank as an unsecured creditor and
the whole or part of the relevant investments may be lost.
Interest Rate Risk
Prices of fixed-income securities rise and fall in response to changes in interest rates. Generally, when interest rates rise,
prices of fixed-income securities fall. However, market factors, such as the demand for particular fixed-income securities,
may cause the price of certain fixed-income securities to fall while the prices of other securities rise or remain unchanged.
The longer the duration of a fixed-income security, the more susceptible it is to interest rate risk. The duration of a
fixed-income security may be equal to or shorter than the stated maturity of a fixed-income security. Recent and potential
future changes in monetary policy made by central banks and/or their governments are likely to affect the level of interest
rates. Duration measures the price sensitivity of a fixed-income security given a change in interest rates. For example, if a
fixed-income security has an effective duration of three years, a 1% increase in general interest rates would be expected to
cause the security’s value to decline about 3% while a 1% decrease in general interest rates would be expected to cause the
security’s value to increase about 3%.
Issuer Credit Risk
It is possible that interest or principal on securities will not be paid when due. Non-investment grade securities generally
have a higher default risk than investment-grade securities. Such non-payment or default may reduce the value of the
Fund’s portfolio holdings, its share price and its performance.
Many fixed-income securities receive credit ratings from nationally recognized statistical rating organizations
(NRSROs) such as Fitch Rating Service, Moody’s Investor Services, Inc. and Standard & Poor’s that assign ratings to
securities by assessing the likelihood of an issuer and/or guarantor default. Higher credit ratings correspond to lower
perceived credit risk and lower credit ratings correspond to higher perceived credit risk. Credit ratings may be upgraded or
downgraded from time to time as an NRSRO’s assessment of the financial condition of a party obligated to make
payments with respect to such securities and credit risk changes. The impact of any credit rating downgrade can be
uncertain. Credit rating downgrades may lead to increased interest rates and volatility in financial markets, which in turn
could negatively affect the value of the Fund’s portfolio holdings, its share price and its investment performance. Credit
ratings are not a guarantee of quality. Credit ratings may lag behind the current financial conditions of the issuer and/or
guarantor and do not provide assurance against default or other loss of money. Credit ratings do not protect against a
decline in the value of a security. If a security has not received a rating, the Fund must rely entirely upon the Adviser’s
credit assessment.
6

Fixed-income securities generally compensate for greater credit risk by paying interest at a higher rate. The difference
between the yield of a security and the yield of a U.S. Treasury security or other appropriate benchmark with a comparable
maturity (the “spread”) measures the additional interest paid for risk. Spreads may increase generally in response to
adverse economic or market conditions. A security’s spread may also increase if the security’s rating is lowered, or the
security is perceived to have an increased credit risk. An increase in the spread will cause the price of the security to
decline if interest rates remain unchanged.
Counterparty Credit Risk
Credit risk includes the possibility that a party to a transaction involving the Fund will fail to meet its obligations. This
could cause the Fund to lose money or to lose the benefit of the transaction or prevent the Fund from selling or buying
other securities to implement its investment strategy.
Prepayment and Extension Risk
During periods of declining interest rates or for other purposes, borrowers may exercise their option to prepay principal
earlier than scheduled which may force the Fund to reinvest in lower-yielding debt instruments. Also, when interest rates
fall, the price of mortgage-backed securities may not rise to as great an extent as that of other fixed-income securities.
When interest rates rise, borrowers are less likely to prepay principal. A decreased rate of prepayments lengthens the
expected maturity of a mortgage-backed security, and the price of mortgage-backed securities may decrease more than the
price of other fixed-income securities when interest rates rise.
Call Risk
Call risk is the possibility that an issuer may redeem a fixed-income security before maturity (a “call”) at a price below
its current market price. An increase in the likelihood of a call may reduce the security’s price.
If a fixed-income security is called, the Fund may have to reinvest the proceeds in other fixed-income securities with
lower interest rates, higher credit risks or other less favorable characteristics.
Liquidity Risk
Trading opportunities are more limited for fixed-income securities that have not received any credit ratings, have
received any credit ratings below investment grade or are not widely held. These features may make it more difficult to
sell or buy a security at a favorable price or time. Consequently, the Fund may have to accept a lower price to sell a
security, sell other securities to raise cash or give up an investment opportunity, any of which could have a negative effect
on the Fund’s performance. Infrequent trading of securities may also lead to an increase in their price volatility.
Noninvestment-grade securities generally have less liquidity than investment-grade securities.
Liquidity risk also refers to the possibility that the Fund may not be able to sell a security or close out a derivative
contract when it wants to. If this happens, the Fund will be required to continue to hold the security or keep the position
open, and the Fund could incur losses.
OTC derivative contracts generally carry greater liquidity risk than exchange-traded contracts. This risk may be
increased in times of financial stress, if the trading market for OTC derivative contracts becomes restricted.
Loan instruments may not be readily marketable and may be subject to restrictions on resale. In some cases,
negotiations involved in disposing of loans may require weeks to complete. Thus, transactions in loan instruments may
take longer than seven days to settle. This could pose a liquidity risk to the Fund and, if the Fund’s exposure to such
investments is substantial, could impair the Fund’s ability to meet shareholder redemptions in a timely manner.
Additionally, collateral on loan instruments may consist of assets that may not be readily liquidated, and there is no
assurance that the liquidation of such assets will satisfy a borrower’s obligations under the instrument. Loans and other
forms of indebtedness may be structured such that they are not securities under securities laws. As such, it is unclear
whether loans and other forms of direct indebtedness offer securities law protections, such as those against fraud and
misrepresentation. In the absence of definitive regulatory guidance, while there can be no assurance that fraud or
misrepresentation will not occur with respect to the loans and other investments in which the Fund invests, the Fund relies
on the Adviser’s research in an attempt to seek to avoid situations where fraud or misrepresentation could adversely affect
the Fund.
7

Risk Associated with Noninvestment-Grade Securities
Securities rated below investment grade, also known as junk bonds, generally entail greater economic, credit and
liquidity risks than investment-grade securities. For example, their prices are more volatile, economic downturns and
financial setbacks may affect their prices more negatively, and their trading market may be more limited. These securities
are considered speculative with respect to the issuer’s ability to pay interest and repay principal.
Sector Risk
Companies with similar characteristics may be grouped together in broad categories called sectors. Sector risk is the
possibility that a certain sector may underperform other sectors or the market as a whole. As the Adviser allocates more of
the Fund’s portfolio holdings to a particular sector, the Fund’s performance will be more susceptible to any economic,
business or other developments which generally affect that sector.
Risk Related to the Economy
The value of the Fund’s portfolio may decline in tandem with a drop in the overall value of the markets in which the
Fund invests and/or other markets based on negative developments in the U.S. and global economies. Economic, political
and financial conditions,
industry or economic trends and developments
or public health risks
,
such as epidemics or
pandemics,
may, from time to time, and for varying periods of time, cause volatility, illiquidity or other potentially adverse
effects in the financial markets, including the fixed-income market. The commencement, continuation or ending of
government policies and economic stimulus programs, changes in monetary policy, increases or decreases in interest rates,
or other factors or events that affect the financial markets, including the fixed-income markets, may contribute to the
development of or increase in volatility, illiquidity, shareholder redemptions and other adverse effects, which could
negatively impact the Fund’s performance. For example, the value of certain portfolio securities may rise or fall in
response to changes in interest rates, which could result from a change in government policies, and has the potential to
cause investors to move out of certain portfolio securities, including fixed-income securities, on a large scale. This may
increase redemptions from funds that hold large amounts of certain securities and may result in decreased liquidity and
increased volatility in the financial markets. Market factors, such as the demand for particular portfolio securities, may
cause the price of certain portfolio securities to fall while the prices of other securities rise or remain unchanged. Among
other investments, lower-grade bonds and loans may be particularly sensitive to changes in the economy.
Geopolitical Risk
Global economic, political and financial conditions, war or other military action or political or economic sanctions,
may, from time to time, and for varying periods of time, cause volatility, illiquidity, shareholder repurchase requests,
loss of value, or other potentially adverse effects in the financial markets, including the fixed-income market. In
particular, as a result of continued political tensions and armed conflicts, including the Russian invasion of Ukraine
commencing in February of 2022, the extent and ultimate result of which are unknown at this time, the United States
and the European Union, along with the regulatory bodies of a number of countries, have imposed economic sanctions
on certain Russian corporate entities and individuals, and certain sectors of Russia’s economy, which may result in,
among other things, the continued devaluation of Russian currency, a downgrade in the country’s credit rating, and/or
a decline in the value and liquidity of Russian securities, property or interests. These sanctions could also result in the
immediate freeze of Russian securities and/or funds invested in prohibited assets, impairing the ability of a fund to
buy, sell, receive or deliver those securities and/or assets. These sanctions or the threat of additional sanctions could
also result in Russia taking counter measures or retaliatory actions, which may further impair the value and liquidity
of Russian securities. The United States and other nations or international organizations may also impose additional
economic sanctions or take other actions that may adversely affect Russia-exposed issuers and companies in various
sectors of the Russian economy. Any or all of these potential results could lead Russia’s economy into a recession.
Economic sanctions and other actions against Russian institutions, companies, and individuals resulting from the
ongoing conflict may also have a substantial negative impact on other economies and securities markets both
regionally and globally, as well as on companies with operations in the conflict region, the extent to which is
unknown at this time.
8

Risk of Foreign Investing
Foreign securities pose additional risks because foreign economic or political conditions may be less favorable than
those of the United States. Securities in foreign markets may also be subject to taxation policies that reduce returns for
U.S. investors.
Foreign companies may not provide information (including financial statements) as frequently or to as great an extent as
companies in the United States. Foreign companies may also receive less coverage than U.S. companies by market
analysts and the financial press. In addition, foreign countries may lack uniform accounting, auditing and financial
reporting standards or regulatory requirements comparable to those applicable to U.S. companies. These factors may
prevent the Fund and its Adviser from obtaining information concerning foreign companies that is as frequent, extensive
and reliable as the information available concerning companies in the United States.
Foreign countries may have restrictions on foreign ownership of securities or may impose exchange controls, capital
flow restrictions or repatriation restrictions which could adversely affect the liquidity of the Fund’s investments.
Since many loan instruments involve parties (for example, lenders, borrowers and agent banks) located in multiple
jurisdictions outside of the United States, there is a risk that a security interest in any related collateral may be
unenforceable and obligations under the related loan agreements may not be binding.
Currency Risk
Exchange rates for currencies fluctuate daily. The combination of currency risk and market risks tends to make
securities traded in foreign markets more volatile than securities traded exclusively in the United States. The Adviser and
Sub-Adviser attempt to manage currency risk by limiting the amount the Fund invests in securities denominated in a
particular currency. However, diversification will not protect the Fund against a general increase in the value of the
U.S. dollar relative to other currencies.
Investing in currencies or securities denominated in a foreign currency, entails risk of being exposed to a currency that
may not fully reflect the strengths and weaknesses of the economy of the country or region utilizing the currency.
Currency risk includes both the risk that currencies in which the Fund’s investments are traded, or currencies in which the
Fund has taken an active investment position, will decline in value relative to the U.S. dollar and, in the case of hedging
positions, that the U.S. dollar will decline in value relative to the currency being hedged. In addition, it is possible that a
currency (such as, for example, the euro) could be abandoned in the future by countries that have already adopted its use,
and the effects of such an abandonment on the applicable country and the rest of the countries utilizing the currency are
uncertain but could negatively affect the Fund’s investments denominated in the currency. If a currency used by a country
or countries is replaced by another currency, the Fund’s Adviser and Sub-Adviser would evaluate whether to continue to
hold any investments denominated in such currency, or whether to purchase investments denominated in the currency that
replaces such currency, at the time. Such investments may continue to be held, or purchased, to the extent consistent with
the Fund’s investment objective and permitted under applicable law.
Many countries rely heavily upon export-dependent businesses and any strength in the exchange rate between a
currency and the U.S. dollar or other currencies can have either a positive or a negative effect upon corporate profits and
the performance of investments in the country or region utilizing the currency. Adverse economic events within such
country or region may increase the volatility of exchange rates against other currencies, subjecting the Fund’s investments
denominated in such country’s or region’s currency to additional risks. In addition, certain countries, particularly emerging
market countries, may impose foreign currency exchange controls or other restrictions on the transferability, repatriation
or convertibility of currency.
Leverage Risk
Leverage risk is created when an investment, which includes, for example, an investment in a derivative contract,
exposes the Fund to a level of risk that exceeds the amount invested. Changes in the value of such an investment magnify
the Fund’s risk of loss and potential for gain. Investments can have these same results if their returns are based on a
multiple of a specified index, security or other benchmark.
9

Risk of Investing in Derivative Contracts and Hybrid Instruments
The Fund may use currency forwards for hedging purposes. In addition, although not generally anticipated, the Fund
reserves the flexibility to use other derivative contracts and/or hybrid instruments to implement elements of its investment
strategy. The Fund’s exposure to derivative contracts and hybrid instruments (either directly or through its investment in
another investment company) involves risks different from, or possibly greater than, the risks associated with investing
directly in securities and other traditional investments. First, changes in the value of the derivative contracts and hybrid
instruments in which the Fund invests may not be correlated with changes in the value of the underlying Reference
Instruments or, if they are correlated, may move in the opposite direction than originally anticipated. Second, while some
strategies involving derivatives may reduce the risk of loss, they may also reduce potential gains or, in some cases, result
in losses by offsetting favorable price movements in portfolio holdings. Third, there is a risk that derivative contracts and
hybrid instruments may be erroneously priced or improperly valued and, as a result, the Fund may need to make increased
cash payments to the counterparty. Fourth, exposure to derivative contracts and hybrid instruments may have tax
consequences to the Fund and its Shareholders. For example, derivative contracts and hybrid instruments may cause the
Fund to realize increased ordinary income or short-term capital gains (which are treated as ordinary income for Federal
income tax purposes) and, as a result, may increase taxable distributions to Shareholders. In addition, under certain
circumstances certain derivative contracts and hybrid instruments may cause the Fund to: (a) incur an excise tax on a
portion of the income related to those contracts and instruments; and/or (b) reclassify, as a return of capital, some or all of
the distributions previously made to Shareholders during the fiscal year as dividend income. Fifth, a common provision in
OTC derivative contracts permits the counterparty to terminate any such contract between it and the Fund, if the value of
the Fund’s total net assets declines below a specified level over a given time period. Factors that may contribute to such a
decline (which usually must be substantial) include significant Shareholder redemptions and/or a marked decrease in the
market value of the Fund’s investments. Any such termination of the Fund’s OTC derivative contracts may adversely
affect the Fund (for example, by increasing losses and/or costs, and/or preventing the Fund from fully implementing its
investment strategies). Sixth, the Fund may use a derivative contract to benefit from a decline in the value of a Reference
Instrument. If the value of the Reference Instrument declines during the term of the contract, the Fund makes a profit on
the difference (less any payments the Fund is required to pay under the terms of the contract). Any such strategy involves
risk. There is no assurance that the Reference Instrument will decline in value during the term of the contract and make a
profit for the Fund. The Reference Instrument may instead appreciate in value creating a loss for the Fund. Seventh, a
default or failure by a CCP or an FCM (also sometimes called a “futures broker”), or the failure of a contract to be
transferred from an Executing Dealer to the FCM for clearing, may expose the Fund to losses, increase its costs, or prevent
the Fund from entering or exiting derivative positions, accessing margin or fully implementing its investment strategies.
The central clearing of a derivative and trading of a contract over a SEF could reduce the liquidity in, or increase costs of
entering into or holding, any contracts. Finally, derivative contracts and hybrid instruments may also involve other risks
described in this Prospectus, such as interest rate, credit, currency, liquidity and leverage risks.
Illiquidity of Shares
The Fund is a closed-end investment company designed primarily for long-term investors and is not intended to be a
trading vehicle. The Fund does not currently intend to list Shares for trading on any national securities exchange. There is
no secondary trading market for Shares, and it is not expected that a secondary market will develop. Shares therefore are
not readily marketable. Because the Fund is a closed-end investment company, Shares in the Fund may not be tendered for
repurchase on a daily basis, and they may not be exchanged for shares of any other fund. Although the Fund, at the
discretion of the Board, will consider whether to make periodic repurchase offers of its outstanding Shares at net asset
value, Shares are significantly less liquid than shares of funds that trade on a stock exchange. There is no guarantee that
you will be able to sell all of your Shares that you desire to sell in any particular repurchase offer.
10

Potential Consequences of Regular Repurchase Offers
The Fund’s repurchase offer policy may have the effect of decreasing the size of the Fund over time absent significant
new investments in the Fund. It may also force the Fund to sell assets it would not otherwise sell and/or to maintain an
increased amount of cash or liquid investments at times. It may also reduce the investment opportunities available to the
Fund and cause its expense ratio to increase. In addition, because of the limited market for certain of the Fund’s private
securities, the Fund may be forced to sell its more liquid securities, in order to meet cash requirements for repurchases.
This may have the effect of substantially increasing the Fund’s ratio of relatively more illiquid securities to relatively more
liquid securities for the remaining investors. In addition, the Fund may be required to maintain a portion of its portfolio in
cash or cash equivalents. The amount may vary, but typically will be approximately the amount of the outstanding
repurchase offers (currently expected to be 5-15% of the net asset value of the Fund). An allocation of cash or cash
equivalents above the amount of the outstanding repurchase offers also may be maintained to operate the Fund and effect
its investment program. When the Fund holds cash or cash equivalents, it is unable to invest those assets in other
investments consistent with its investment objective and investment strategies, and the Fund may receive less returns on
such cash and cash equivalents as compared to such other investments. Accordingly, the Fund’s performance may be
negatively impacted by holding cash or cash equivalents in such amounts.
Large Shareholder Risk
A significant percentage of the Fund’s Shares may be owned or controlled by a large shareholder, such as other funds or
accounts, including those of which the Adviser or an affiliate of the Adviser may have investment discretion. Accordingly,
the Fund can be subject to the potential for large scale inflows and outflows as a result of purchases and redemptions made
by significant shareholders. These inflows and outflows could be significant and, if frequently occurring, could negatively
affect the Fund’s net asset value and performance and could cause the Fund to buy or sell securities at inopportune times
in order to meet purchase or redemption requests. Investments in the Fund by other investment companies also can create
conflicts of interests for the Adviser to the Fund and the investment adviser to the acquiring fund. For example, a conflict
of interest can arise due to the possibility that the investment adviser to the acquiring fund could make a decision to
redeem the acquiring fund’s investment in the Fund. In the case of an investment by an affiliated fund, a conflict of
interest can arise if, because of the acquiring fund’s investment in the Fund, the Fund is able to garner more assets from
third-party investors, thereby growing the Fund and increasing the management fees received by the Adviser, which could
also be the investment adviser to the acquiring fund.
Technology Risk
The Adviser uses various technologies in managing the Fund, consistent with its investment objective(s) and strategy
described in this Prospectus. For example, proprietary and third-party data and systems are utilized to support decision-making
for the Fund. Data imprecision, software or other technology malfunctions, programming inaccuracies and similar
circumstances may impair the performance of these systems, which may negatively affect Fund performance.
11

Summary of Fund Expenses
The purpose of the table below is to help you understand
all
fees and expenses that you,
as
a Shareholder, would bear
directly or indirectly.
 
 
Shareholder Transaction Expenses
 
Sales Load paid by you (as a percentage of offering price)
None
 
Annual Expenses (percentage of net assets attributable to Shares)
 
Management Fee
0.50%
Other Expenses
1
0.14%
Acquired Fund Fees and Expenses
0.01%
Total Annual Fund Operating Expenses
0.65%
Fee Waiver and/or Expense Reimbursements
2
(0.22)%
Total Annual Fund Operating Expenses After Fee Waiver and/or Expense Reimbursements
0.43%
1
Other Expenses” include the Fund’s operating expenses, including professional fees, transfer agency fees, administration fees, custody fees, offering costs
and other operating expenses and are estimated for the current fiscal year.
2
The Adviser and certain of its affiliates on their own initiative have agreed to waive certain amounts of their respective fees and/or reimburse expenses. Total
annual fund operating expenses (excluding Acquired Fund Fees and Expenses, interest expense, extraordinary expenses, proxy-related expenses, premiums
for risk insurance policies on portfolio securities and certain legal fees related to specific investments
, if any) paid by the Fund’s Shares (after the waivers
and/or reimbursements) will not exceed 0.40% (the “Fee Limit”) up to but not including the later of (the “Termination Date”): (a)
June
1,
2025
; or (b) the date
of the Fund’s next effective Prospectus. While the Adviser and its affiliates currently do not anticipate terminating or increasing these arrangements prior to
the Termination Date, these arrangements may only be terminated or the Fee Limit increased prior to the Termination Date with the agreement of the Fund’s
Board of Trustees
(the “Trustees”)
.
EXAMPLE
The following example illustrates the expenses that you would pay
on
a $1,000 investment in Shares, for the time
periods indicated and then redeem or hold all of your Shares at the end of those periods assuming (1) total annual expenses
of
0.65
% of net assets attributable to the Shares and (2) a 5% annual return:*
1 Year
$
7
3 Years
$
21
5 Years
$
36
10 Years
$
81
The example should not be considered a representation of future expenses.

Actual expenses may be higher or lower.
*
The example assumes that the Operating Expenses remain the same for each year, and that all dividends and distributions are reinvested at net asset value.
The Example does not reflect sales charges (loads) on reinvested dividends. If these sales charges (loads) were included, your cost would be higher. Actual
expenses may be greater or less than those assumed. Moreover, the Fund’s actual rate of return may be greater or less than the hypothetical 5% return shown
in the example.
12

Financial Information
The Financial Highlights will help you understand the Fund’s financial performance for its past ten fiscal years or since
inception, if the life of the Fund is shorter. Some of the information is presented on a per share basis. Total returns
represent the rate an investor would have earned (or lost) on an investment in the Fund, assuming reinvestment of any
dividends or capital gains.
This information has been audited by KPMG LLP, an independent registered public accounting firm, whose report,
along with the Fund’s audited financial statements, is included in the Annual Report.
13

Financial Highlights
(For a Share Outstanding Throughout Each Period)
 
Year Ended March 31,
Period
Ended
3/31/2017
1
2024
2023
2022
2021
2020
2019
2018
Net Asset Value, Beginning of Period
$9.87
$9.80
$9.92
$9.71
$9.98
$10.00
$10.02
$10.01
Income From Investment Operations:
 
 
 
 
 
 
 
 
Net investment income
2
0.78
0.46
0.19
0.25
0.39
0.45
0.28
0.02
Net realized and unrealized gain (loss)
0.08
0.12
(0.11)
0.22
(0.27)
(0.01)
0.02
0.00
3
TOTAL FROM INVESTMENT OPERATIONS
0.86
0.58
0.08
0.47
0.12
0.44
0.30
0.02
Less Distributions:
 
 
 
 
 
 
 
 
Distributions from net investment income
(0.75)
(0.51)
(0.20)
(0.26)
(0.38)
(0.45)
(0.32)
(0.01)
Distributions from net realized gain
(0.07)
(0.00)
3
(0.00)
3
(0.00)
3
(0.01)
(0.01)
(0.00)
3
__
TOTAL DISTRIBUTIONS
(0.82)
(0.51)
(0.20)
(0.26)
(0.39)
(0.46)
(0.32)
(0.01)
Net Asset Value, End of Period
$9.91
$9.87
$9.80
$9.92
$9.71
$9.98
$10.00
$10.02
Total Return
4
9.04%
6.07%
0.80%
4.91%
1.13%
4.42%
3.04%
0.22%
Ratios to Average Net Assets:
 
 
 
 
 
 
 
 
Net expenses
5
0.41%
0.41%
0.41%
0.71%
0.71%
0.70%
0.67%
0.34%
6
Net investment income
7.77%
4.70%
1.94%
2.57%
3.94%
4.44%
2.74%
1.37%
6
Expense waiver/reimbursement
7
0.22%
0.24%
0.22%
0.44%
0.32%
0.29%
0.34%
1.72%
6
Supplemental Data:
 
 
 
 
 
 
 
 
Net assets, end of period (000 omitted)
$608,323
$577,272
$560,685
$39,835
$63,873
$51,680
$49,484
$70,873
Portfolio turnover
8
47%
52%
36%
47%
73%
57%
39%
4%
1
Reflects operations for the period from January 31, 2017 (date of initial public investment) to March 31, 2017. During the period prior to date of initial
public investment, a distribution of $0.012 per share was made to the Adviser.
2
Per share numbers have been calculated using the average shares method.
3
Represents less than $0.01.
4
Based on net asset value. Total returns for periods of less than one year are not annualized.
5
Amount does not reflect net expenses incurred by investment companies in which the Fund may invest.
6
Computed on an annualized basis.
7
This expense decrease is reflected in both the net expense and the 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.
Further information about the Fund’s performance is contained in the Fund’s Annual Report, dated March 31,
2024
, which can be
obtained free of charge.
14

The Fund
The Fund, which commenced operations on December 7, 2016, is a continuously offered, diversified, closed-end
management investment company registered under the Investment Company Act of 1940, as amended (the “1940 Act”).
The Fund was organized as a Delaware statutory trust on June 30, 2016, pursuant to a Certificate of Trust, which is
governed by the laws of the State of Delaware. The Fund
’s principal office is located at 4000 Ericsson Drive, Warrendale,
Pennsylvania 15086-7561, and its telephone number is 1-855-328-0109. The Fund’s investment adviser is Federated
Investment Management Company (FIMC or the “Adviser”). Under the supervision of the Adviser and oversight by the
Board of Trustees of the Fund (the “Board”), Federated Hermes (UK) LLP (the “Sub-Adviser”) will have day-to-day
portfolio management responsibilities of the Fund.
Use of Proceeds
The net proceeds to the Fund will be invested in accordance with the Fund’s investment objectives and policies (as
stated below) as soon as practicable. The Fund currently anticipates being able to do so, under normal circumstances,
within three months after receipt. Pending investment of the net proceeds in accordance with the Fund’s investment
objectives and policies, the Fund will invest in high-quality, short-term debt securities, cash and/or cash equivalents.
Investors should expect, therefore, that before the Fund has fully invested the proceeds of the offering in accordance with
its investment objectives and policies, the Fund would earn interest income at a modest rate. If the Fund’s investments are
delayed, the
Fund could experience lower returns and a reduced distribution amount or a distribution consisting
principally
of a return of capital.
Investment Objective and Policies
Investment Objective
The investment objective of the Fund is to provide total return primarily from income.
While there is no assurance that the Fund will achieve its investment objective it endeavors to do so by following the
strategies and policies described in this Prospectus.
The Fund pursues its investment objective primarily by investing in trade finance, structured trade, export finance,
import finance, supply chain financing and project finance assets of entities, including sovereign entities (“trade finance
related securities”). Trade finance related securities
primarily
will be located
in, or have exposure to, global emerging
markets. Under normal circumstances, the Fund anticipates that approximately 75% or more of its assets may be invested
in trade finance related securities of companies or other entities (including sovereign entities)
primarily
located
in or
having exposure to global emerging markets. Trade finance transactions refer to the capital needed to buy or sell, or import
or export, products or other tangible goods. Project finance transactions are typically used to build something tangible or
to expand existing plant capacity to produce more goods for trade; and the Fund typically invests in project finance deals
when the project has been largely completed and goods are being produced for export (i.e., transactions are of a
short-term nature).
Under normal circumstances, the Fund intends to hold its positions through to maturity. There are no limits on the
Fund’s average-weighted maturity. However, under normal conditions, the Fund is anticipated to have an average dollar-weighted
maturity of not more than 24 months. The Fund’s investments in trade finance related securities are often unrated
but may also be below investment grade (or “junk” investments).
Primary Investment Policies
The Adviser and Sub-Adviser believe that trade finance is a risk mitigated asset class and historically, while trade
finance is not immune from default arising from credit or sovereign risk factors, during these periods of financial stress,
treatment of trade finance creditors typically has been preferential either formally or informally as a result of:
◾ 
The underlying use or purpose of funds (critical imports or key exports, governmental economic priorities, etc.);
◾ 
The types of transactional security (export contracts, escrow accounts, inventory, fixed assets, etc.); and
◾ 
The recognition of the economic benefit that is derived from trade generally.
For purposes of this Prospectus, the Adviser and Sub-Adviser, are sometimes referred to together, as applicable, as the
“Fund’s Adviser.”
During sovereign and corporate restructurings, trade finance related securities can achieve differentiated treatment in a
default and then recovery situation compared to other forms of debt.
15

The Fund’s investments are expected to consist primarily of loans, or similar instruments used to finance domestic and
international trade and related infrastructure projects. These are expected to include, but not be limited to, facilities for
pre-export finance, process and commodities finance, receivables financing, letters of credit and other documentary
credits, promissory notes, bills of exchange and other negotiable instruments. The Fund may engage in such investments
by way of purchase, assignment, participation, guarantee, insurance, derivative or any other appropriate financial
instrument. The Fund invests only in funded letters of credit and other instruments that do not create unfunded
commitments to lend.
The Fund may invest without limitation in securities and obligations for which there is no readily available trading
market or which are otherwise illiquid, including trade finance securities and other fixed-income or
derivative instruments.
The Fund may, from time to time, have larger allocations to certain broad market sectors, such as the energy sector, in
attempting to achieve its
investment objective
.
The Fund may also take positions in traditional assets including bonds, (investment-grade or noninvestment-grade
(otherwise known as “junk bonds”)) debt securities, equities, foreign exchange instruments, as well as derivatives for the
purposes set forth below. There can be no assurance that the Fund’s use of derivatives will work as intended. Derivative
investments made by the Fund are included within the Fund’s 80% policy (as described below) and are calculated at
market value. The instruments in which the Fund invests may be guaranteed by the U.S. government. A substantial portion
of the Fund’s investments will be in obligations of non-U.S. issuers or borrowers, including those of issuers in
emerging markets.
Under normal circumstances, the Fund will invest at least 80% of its net assets, plus the amount of any borrowings for
investment purposes, in trade finance related securities. Up to 20% of the Fund’s assets may be invested in other types of
fixed-income securities and money market instruments as described in this Prospectus. It is the Fund’s Adviser’s intent to
focus the Fund’s investments in trade finance related securities.
Because the Fund refers to trade finance related securities in its name, it will notify Shareholders at least 60 days in
advance of any change in its investment policies that would enable the Fund to normally invest less than 80% of its net
assets, plus the amount of any borrowings for investment purposes, in trade finance related securities.
The Fund’s Adviser analyzes the risk-adjusted return characteristics of potential financings and conducts initial
expected annual excess return calculations and due diligence analysis of the facility and the obligor to evaluate if they are
appropriate investments. Analysis includes:
Origination.
Assess quality and track record of originator, define originator’s role in the transaction and define
originator’s relationship with the borrower. At this stage, documents are reviewed such as, but not limited to: the offtake
contracts, loan agreement, legal opinions, expert consultants’ reports, and insurance policies if applicable.
Obligor.
A thorough review of obligor including, but not limited to: credit analysis, shareholders, market position,
access to capital markets and quality of audit/accounting firm. Typically, three years of audited financials and projections
are required, among other credit-analysis tools to make this assessment.
Country.
A country’s credit rating, historic treatment of trade flows, the importance of the sector to this country and
currency convertibility are all considered.
Sector.
Evaluated under the following considerations: Strategic priority, critical imports, foreign exchange earner,
macro sector themes, and liquidity and tax/tariff issues.
Mitigants.
The proposed transaction is also evaluated by its ability to mitigate risks such as, but not limited to: country,
production, quality, market, operational and payment issues risks, commodity, price, environmental, country and legal.
Documentation considerations are also examined closely.
The transaction is then analyzed for its portfolio suitability based upon:
Deal Structure.
Tenor, grace period, amortization schedule, drawing conditions and financing structure of the deal are
thoroughly reviewed.
Deal Pricing.
Relative value of spreads to market, value for risk and return projections are carefully considered.
Portfolio.
The tenor, yield target and concentration of the Fund’s portfolio are carefully considered. Concentration
analysis includes region, country, and sector and obligor structure.
TEMPORARY INVESTMENTS
The Fund may temporarily depart from its principal investment strategies by investing its assets in shorter-term debt
securities and similar obligations or holding cash. It may do this in response to unusual circumstances, such as: adverse
market, economic, or other conditions (for example, to help avoid potential losses, or during periods when there is a
shortage of appropriate securities); to maintain liquidity to meet Shareholder redemptions; or to accommodate cash
inflows. It is possible that such investments could affect the Fund’s investment returns and/or the ability to achieve the
Fund’s investment objectives.
16

Primary Investment Types
The following provides general information on the Fund’s principal investments. The Fund’s Statement of Additional
Information (SAI) provides information about the Fund’s non-principal investments and may provide additional
information about the Fund’s principal investments.
Trade Finance Related Securities
The Fund’s Adviser will attempt to identify opportunities and invest the Fund’s assets in trade finance related securities.
Specifically, these securities will consist of trade finance, structured trade finance, project finance or export finance
transactions where there is a flow of goods or services (typically of a cross-border nature) and a financing need. These
trade finance structures are subject to significant individual variation but typical structures may include but not be limited
to the following:
Buyer’s credit.
An extension of credit typically made by a bank to a buyer of goods (i.e., importer) to finance the
purchase of goods under a commercial contract of sale.
Contract frustration and trade credit indemnity.
An insurance policy issued by an insurer in favor of an insured
(typically a supplier or a bank) that provides conditional coverage to the insured against loss incurred as a result of
non-payment/non-delivery by an obligor involved in a trade transaction.
Cross border leases.
Cross border leases, often structured with insignificant residual value.
Export credit agency financing.
A loan where an export credit agency act as lender, co-lender or guarantor.
Import finance.
An extension of credit made to an importer that finances his imports.
Inventory finance.
An extension of credit made to a borrowing entity (be it an importer or exporter) secured against the
physical inventory held and owned by that borrower. The inventory may be held in a warehouse.
Letter of Credit (L/C).
A written undertaking, or obligation, of a bank made at the request of its customer (usually an
importer) to honor or pay an exporter against presentation of trade documents that comply with terms specified in the letter
of credit.
Multilateral agency financing.
A loan where a multilateral agency acts as either a lender or a co-lender. Such a loan
may benefit from preferred creditor status in the event of shortages of foreign exchange that may be experienced by
sovereign governments.
Pre-export finance.
An extension of credit to an exporter before export of the goods has taken place. This can be
secured against the subject goods or sales proceeds, or unsecured.
Pre-payment agreement.
An extension of credit to an exporter where the source of pay-back is dependent on
collections from the end purchaser. The difference between pre-export finance and a pre-payment agreement is that the
latter arrangement may involve the buyer of the goods as a contractual party and is in effect a payment for goods in
advance of delivery.
Promissory notes, bills of exchange and other forms of negotiable instrument.
A written promise to pay issued by
(or drawn on) an obligor in favor of a beneficiary.
Receivables.
Receivables or flows of receivables created in consideration for the transfer of goods and services.
Supplier Credit.
An extension of credit made by a supplier (or exporter) to an importer to finance a purchase of goods.
Banks or other lenders may purchase or participate in the credit instrument if the instrument permits transfer.
Trade finance related loans and other loan assignments and participations.
The Fund expects primarily to purchase
trade finance loans and other loans by assignment, transfer or novation from a participant in the original syndicate of
lenders or from subsequent holders of such interests. When a loan is assigned, transferred or novated, the Fund generally is
a lender of record on the loan agreement and has full voting rights per the loan agreement. The Fund may also purchase
participations on a primary basis from a mandated lead arranger during the formation of the original syndicate making
such loans. Loan participations typically represent direct participations in a loan to a corporate or other borrower, and
generally are offered by banks or other financial institutions or on behalf of themselves or the lending syndicate. The Fund
may participate in such syndications, or can buy part of a loan, becoming a part lender. When purchasing loan
participations, the Fund assumes the credit risk associated with the corporate or other borrower and may assume the credit
or counterparty risk associated with an interposed bank or other financial intermediary. In addition, the Fund will be
subject to the requirements of each loan agreement, which may differ. Typically, however, taking action under a loan
agreement requires action by more than one lender and, generally, no one lender, unless they are at least a majority lender,
can act unilaterally.
17

Fixed-Income Securities
Fixed-income securities pay interest, dividends or distributions at a specified rate. The rate may be a fixed percentage of
the principal or may be adjusted periodically. In addition, the issuer of a fixed-income security must repay the principal
amount of the security, normally within a specified time. Fixed-income securities provide more regular income than equity
securities. However, the returns on fixed-income securities are limited and normally do not increase with the issuer’s
earnings. This limits the potential appreciation of fixed-income securities as compared to equity securities.
A security’s yield measures the annual income earned on a security as a percentage of its price. A security’s yield will
increase or decrease depending upon whether it costs less (a “discount”) or more (a “premium”) than the principal amount.
If the issuer may redeem the security before its scheduled maturity, the price and yield on a discount or premium security
may change based upon the probability of an early redemption. Securities with higher risks generally have higher yields.
The following describes the fixed-income securities in which the Fund principally invests:
Treasury Securities (A Fixed-Income Security)
Treasury securities are direct obligations of the federal government of the United States. Treasury securities are
generally regarded as having minimal credit risks.
Government Securities (A Fixed-Income Security)
Government securities are issued or guaranteed by a federal agency or instrumentality acting under federal authority.
Some government securities, including those issued by Government National Mortgage Association (“Ginnie Mae”), are
supported by the full faith and credit of the United States and are guaranteed only as to the timely payment of interest
and principal.
Other government securities receive support through federal subsidies, loans or other benefits, but are not backed by the
full faith and credit of the United States. For example, the U.S. Treasury is authorized to purchase specified amounts of
securities issued by (or otherwise make funds available to) the Federal Home Loan Bank System, Federal Home Loan
Mortgage Corporation (“Freddie Mac”) and Federal National Mortgage Association (“Fannie Mae”) in support of
such obligations.
Some government agency securities have no explicit financial support and are supported only by the credit of the
applicable agency, instrumentality or corporation. The U.S. government has provided financial support to Freddie Mac and
Fannie Mae, but there is no assurance that it will support these or other agencies in the future.
The Fund treats mortgage-backed securities guaranteed by a federal agency or instrumentality as government securities.
Although such a guarantee protects against credit risk, it does not eliminate it entirely or reduce other risks.
Corporate Debt Securities (A Fixed-Income Security)
Corporate debt securities are fixed-income securities issued by businesses. Notes, bonds, debentures and commercial
paper are the most prevalent types of corporate debt securities. The Fund may also purchase interests in bank loans to
companies. The credit risks of corporate debt securities vary widely among issuers.
In addition, the credit risk of an issuer’s debt security may vary based on its priority for repayment. For example, higher
ranking (“senior”) debt securities have a higher priority than lower ranking (“subordinated”) securities. This means that
the issuer might not make payments on subordinated securities while continuing to make payments on senior securities. In
addition, in the event of bankruptcy, holders of senior securities may receive amounts otherwise payable to the holders of
subordinated securities. Some subordinated securities, such as trust-preferred and capital-securities notes, also permit the
issuer to defer payments under certain circumstances. For example, insurance companies issue securities known as surplus
notes that permit the insurance company to defer any payment that would reduce its capital below regulatory requirements.
Asset-Backed Securities (A Fixed-Income Security)
Asset-backed securities are payable from pools of obligations other than mortgages. Most asset-backed securities
involve consumer or commercial debts with maturities of less than 10 years. However, almost any type of fixed-income
assets (including other fixed-income securities) may be used to create an asset-backed security. Asset-backed securities
may take the form of notes or pass-through certificates.
Lower-Rated, Fixed-Income Securities
Lower-rated, fixed-income securities are securities rated below investment grade (i.e., BB or lower) by a nationally
recognized statistical rating organization (NRSRO). There is no minimal acceptable rating for a security to be purchased
or held by the Fund and the Fund may purchase or hold unrated securities and securities whose issuers are in default.
18

Foreign Securities
Foreign securities are securities of issuers based outside the United States. To the extent a Fund invests in securities
included in its applicable broad-based securities market index, the Fund may consider an issuer to be based outside the
United States if the applicable index classifies the issuer as based outside the United States. Accordingly, the Fund may
consider an issuer to be based outside the United States if the issuer satisfies at least one, but not necessarily all, of
the following:
◾ 
it is organized under the laws of, or has its principal office located in, another country;
◾ 
the principal trading market for its securities is in another country;
◾ 
it (directly or through its consolidated subsidiaries) derived in its most current fiscal year at least 50% of its total assets,
capitalization, gross revenue or profit from goods produced, services performed or sales made in another country; or
◾ 
it is classified by an applicable index as based outside the United States.
Foreign securities are primarily denominated in foreign currencies. Along with the risks normally associated with
domestic securities of the same type, foreign securities are subject to currency risks and risks of foreign investing. Trading
in certain foreign markets is also subject to liquidity risks.
Foreign Government Securities (A Type of Foreign Fixed-Income Security)
Foreign government securities generally consist of fixed-income securities supported by national, state or provincial
governments or similar political subdivisions. Foreign government securities also include debt obligations of supranational
entities, such as international organizations designed or supported by governmental entities to promote economic
reconstruction or development, international banking institutions and related government agencies. Examples of these
include, but are not limited to, the International Bank for Reconstruction and Development (the “World Bank”), the Asian
Development Bank, the European Investment Bank and the Inter-American Development Bank.
Foreign government securities also include fixed-income securities of quasi-governmental agencies that are either
issued by entities owned by a national, state or equivalent government or are obligations of a political unit that are not
backed by the national government’s full faith and credit. Further, foreign government securities include mortgage-related
securities issued or guaranteed by national, state or provincial governmental instrumentalities, including
quasi-governmental agencies.
Foreign Exchange Contracts
In order to convert U.S. dollars into the currency needed to buy a foreign security, or to convert foreign currency
received from the sale of a foreign security into U.S. dollars, the Fund may enter into spot currency trades. In a spot trade,
the Fund agrees to exchange one currency for another at the current exchange rate. The Fund may also enter into
derivative contracts in which a foreign currency is an underlying asset. The exchange rate for currency derivative contracts
may be higher or lower than the spot exchange rate. Use of these derivative contracts may increase or decrease the Fund’s
exposure to currency risks.
Derivative Contracts
Derivative contracts are financial instruments that derive their value from underlying securities, commodities,
currencies, indices, or other assets or instruments, including other derivative contracts (each a “Reference Instrument” and
collectively, “Reference Instruments”). The most common types of derivative contracts are swaps, futures and options, and
major asset classes include interest rates, equities, commodities and foreign exchange. Each party to a derivative contract
may sometimes be referred to as a “counterparty.” Some derivative contracts require payments relating to an actual, future
trade involving the Reference Instrument. These types of derivatives are frequently referred to as “physically settled”
derivatives. Other derivative contracts require payments relating to the income or returns from, or changes in the market
value of, a Reference Instrument. These types of derivatives are known as “cash-settled” derivatives since they require
cash payments in lieu of delivery of the Reference Instrument.
Many derivative contracts are traded on exchanges. In these circumstances, the relevant exchange sets all the terms of
the contract except for the price. Parties to an exchange-traded derivative contract make payments through the exchange.
Most exchanges require traders to maintain margin accounts through their brokers to cover their potential obligations to
the exchange. Parties to the contract make (or collect) daily payments to the margin accounts to reflect losses (or gains) in
the value of their contracts. This protects traders against a potential default by their counterparty. Trading contracts on an
exchange also allows traders to hedge or mitigate certain risks or carry out more complex trading strategies by entering
into offsetting contracts.
19

The Fund may also trade derivative contracts over-the-counter (OTC), meaning off-exchange, in transactions negotiated
directly between the Fund and an eligible counterparty, which may be a financial institution. OTC contracts do not
necessarily have standard terms, so they may be less liquid and more difficult to close out than exchange-traded derivative
contracts. In addition, OTC contracts with more specialized terms may be more difficult to value than exchange-traded
contracts, especially in times of financial stress.
The market for swaps and other OTC derivatives was largely unregulated prior to the enactment of federal legislation
known as the Dodd-Frank Wall Street Reform and Consumer Protection Act (the “Dodd-Frank Act”). Regulations enacted
by the Commodity Futures Trading Commission (the “CFTC”) under the Dodd-Frank Act require the Fund to clear certain
types of swap contracts (including certain interest rate and credit default swaps) through a central clearinghouse known as
a derivatives clearing organization (DCO).
To clear a swap through a DCO, the Fund will submit the contract to, and post margin with, a futures commission
merchant (FCM) that is a clearinghouse member. The Fund may enter into the swap with a counterparty other than the
FCM and arrange for the contract to be transferred to the FCM for clearing or enter into the contract with the FCM itself.
If the Fund must centrally clear a transaction, the CFTC’s regulations also generally require that the swap be executed on a
registered exchange (either a designated contract market (DCM) or swap execution facility (SEF)). Central clearing is
presently required only for certain swaps; the CFTC is expected to impose a mandatory central clearing requirement for
additional derivative instruments over time.
DCOs, DCMs, SEFs and FCMs are all subject to regulatory oversight by the CFTC. In addition, certain derivative
market participants that act as market makers and engage in a significant amount of “dealing” activity are also required to
register as swap dealers with the CFTC. Among other things, swap dealers are subject to minimum capital requirements
and business conduct standards and must also post and collect initial and variation margin on uncleared swaps with certain
of their counterparties. Because of this, if the Fund enters into uncleared swaps with any swap dealers, it may be subject to
initial and variation margin requirements that could impact the Fund’s ability to enter into swaps in the OTC market,
including making transacting in uncleared swaps significantly more expensive.
At this point in time, most of the Dodd-Frank Act has been fully implemented, though a small number of remaining
rulemakings are unfinished or are subject to phase-in periods. Any future regulatory or legislative activity would not
necessarily have a direct, immediate effect upon the Fund, though it is within the realm of possibility that, upon
implementation of these measures or any future measures, they could potentially limit or completely restrict the ability of
the Fund to use these instruments as a part of its investment strategy, increase the costs of using these instruments or make
them less effective.
Depending on how the Fund uses derivative contracts and the relationships between the market value of a derivative
contract and the Reference Instrument, derivative contracts may increase or decrease the Fund’s exposure to the risks of
the Reference Instrument and may also expose the Fund to liquidity and leverage risks. OTC contracts also expose the
Fund to credit risks in the event that a counterparty defaults on the contract, although this risk may be mitigated by
submitting the contract for clearing through a DCO, or certain other factors, such as collecting margin from
the counterparty.
As discussed above, a counterparty’s exposure under a derivative contract may in some cases be required to be secured
with initial and/or variation margin (a form of “collateral”).
The Fund may invest in a derivative contract if it is permitted to own, invest in, or otherwise have economic exposure to
the Reference Instrument. The Fund is not required to own a Reference Instrument in order to buy or sell a derivative
contract relating to that Reference Instrument. The Fund may trade in the following specific types and/or combinations of
derivative contracts:
Futures Contracts (A Type of Derivative)
Futures contracts provide for the future sale by one party and purchase by another party of a specified amount of a
Reference Instrument at a specified price, date and time. Entering into a contract to buy a Reference Instrument is
commonly referred to as buying a contract or holding a long position in the asset. Entering into a contract to sell a
Reference Instrument is commonly referred to as selling a contract or holding a short position in the Reference Instrument.
Futures contracts are considered to be commodity contracts. The Adviser has claimed an exclusion from the definition of
the term “commodity pool operator” under the Commodity Exchange Act with respect to the Fund and, therefore, is not
subject to registration or regulation as a commodity pool operator under the Act with respect to the Fund. Futures contracts
traded OTC are frequently referred to as forward contracts. The Fund can buy or sell financial futures (such as interest rate
futures, index futures and security futures), as well as, currency futures and currency forward contracts.
20

Option Contracts (A Type of Derivative)
Option contracts (also called “options”) are rights to buy or sell a Reference Instrument for a specified price (the
“exercise price”) during, or at the end of, a specified period. The seller (or “writer”) of the option receives a payment, or
premium, from the buyer, which the writer keeps regardless of whether the buyer uses (or “exercises”) the option. A call
option gives the holder (buyer) the right to buy the Reference Instrument from the seller (writer) of the option. A put
option gives the holder the right to sell the Reference Instrument to the writer of the option. Options may be bought or sold
on a wide variety of Reference Instruments. Options that are written on futures contracts will be subject to margin
requirements similar to those applied to futures contracts.
Swap Contracts (A Type of Derivative)
A swap contract (also known as a “swap”) is a type of derivative contract in which two parties agree to pay each other
(swap) the returns derived from Reference Instruments. Swaps do not always involve the delivery of the Reference
Instruments by either party, and the parties might not own the Reference Instruments underlying the swap. The payments
are usually made on a net basis so that, on any given day, the Fund would receive (or pay) only the amount by which its
payment under the contract is less than (or exceeds) the amount of the other party’s payment. Swap agreements are
sophisticated instruments that can take many different forms and are known by a variety of names. Common types of
swaps in which the Fund may invest include, interest rate swaps, caps and floors, total return swaps, credit default swaps
and currency swaps.
Other Investments, Transactions, Techniques
Hybrid Instruments
Hybrid instruments combine elements of two different kinds of securities or financial instruments (such as a derivative
contract). Frequently, the value of a hybrid instrument is determined by reference to changes in the value of a Reference
Instrument (that is a designated security, commodity, currency, index or other asset or instrument including a derivative
contract). The Fund may use hybrid instruments only in connection with permissible investment activities. Hybrid
instruments can take on many forms including, but not limited to, the following forms. First, a common form of a hybrid
instrument combines elements of a derivative contract with those of another security (typically a fixed-income security). In
this case all or a portion of the interest or principal payable on a hybrid security is determined by reference to changes in
the price of a Reference Instrument. Second, hybrid instruments may include convertible securities with conversion terms
related to a Reference Instrument.
Depending on the type and terms of the hybrid instrument, its risks may reflect a combination of the risks of investing in
the Reference Instrument with the risks of investing in other securities, currencies and derivative contracts. Thus, an
investment in a hybrid instrument may entail significant risks in addition to those associated with traditional investments
or the Reference Instrument. Hybrid instruments are also potentially more volatile than traditional securities or the
Reference Instrument. Moreover, depending on the structure of the particular hybrid, it may expose the Fund to leverage
risks or carry liquidity risks.
Derivatives Regulation and Asset Coverage
The regulation of the U.S. and non-U.S. derivatives markets has undergone substantial change in recent years and such
change may continue. In addition, effective August 19, 2022, Rule 18f-4 (the “Derivatives Rule”) under the Investment
Company Act of 1940, as amended (the “1940 Act”), replaced the asset segregation framework previously used by funds
to comply with limitations on leverage imposed by the 1940 Act. The Derivatives Rule generally mandates that a fund
either limit derivatives exposure to 10% or less of its net assets, or in the alternative implement: (i) limits on leverage
calculated based value-at-risk (VAR); (ii) a written derivatives risk management program (DRMP) administered by a
derivatives risk manager appointed by the Fund’s Board, including a majority of the independent Board members, that is
periodically reviewed by the Board; and (iii) new reporting and recordkeeping requirements.
Investment Ratings for Investment-Grade Securities
The Fund’s Adviser will determine whether a security is investment grade based upon the credit ratings given by one or
more nationally recognized statistical rating organizations (NRSROs). For example, Standard & Poor’s, an NRSRO,
assigns ratings to investment-grade securities (AAA, AA, A and BBB) based on their assessment of the likelihood of the
issuer’s inability to pay interest or principal (default) when due on each security. Lower credit ratings correspond to higher
credit risk. If a security has not received a rating, the Fund must rely entirely upon the Fund’s Adviser’s credit assessment
that the security is comparable to investment grade. If a security is downgraded below the minimum quality grade
discussed above, the Fund’s Adviser will reevaluate the security, but will not be required to sell it.
21

Investment Ratings for NonInvestment-Grade Securities
Noninvestment-grade securities are rated below BBB- by an NRSRO. These bonds have greater economic, credit and
liquidity risks than investment-grade securities.
Illiquid Securities
Illiquid securities are securities that the fund reasonably expects cannot be sold or disposed of in current market
conditions in seven calendar days or less without the sale or disposition significantly changing the market value of the
investment. These may include private placements, repurchase agreements that the Fund cannot dispose of within seven
days, and securities eligible for resale under Rule 144A of the Securities Act of 1933.
Investing in Securities of Other Investment Companies
The Fund may invest its assets in securities of other investment companies, including the securities of affiliated money
market funds, as an efficient means of implementing its investment strategies, managing its uninvested cash and/or other
investment reasons consistent with the Fund’s investment objective and investment strategies. These other investment
companies, which may include shares of an affiliated fund, including a money market fund, are managed independently of
the Fund and incur additional fees and/or expenses which would, therefore, be borne indirectly by the Fund in connection
with any such investment. These investments also can create conflicts of interest for the Adviser to the Fund and the
investment adviser to the acquired fund. For example, a conflict of interest can arise due to the possibility that the Adviser
to the Fund could make a decision to redeem the Fund’s investment in the acquired fund. In the case of an investment in
an affiliated fund, a conflict of interest can arise if, because of the Fund’s investment in the acquired fund, the acquired
fund is able to garner more assets, thereby growing the acquired fund and increasing the management fees received by the
investment adviser to the acquired fund, which would either be the Adviser or an affiliate of the Adviser. However, the
Adviser believes that the benefits and efficiencies of making investments in other investment companies should outweigh
the potential additional fees and/or expenses and resulting conflicts of interest. The Fund may invest in money market
securities directly.
Additional Information Regarding the Security Selection Process
As part of analysis in its security selection process, among other factors, the Adviser also evaluates whether
environmental, social and governance factors could have positive or negative impact on the risk profiles of many issuers or
guarantors in the universe of securities in which the Fund may invest. The Adviser may also consider information derived
from active engagements conducted by its in-house stewardship team with certain issuers or guarantors on environmental,
social and governance topics. This qualitative analysis does not automatically result in including or excluding specific
securities but may be used by Federated Hermes as an additional input in its primary analysis.
Risk Factors
An investment in the Fund involves investment risks. Therefore, it is possible to lose some or all of your money by
investing in the Fund. The following provides general information on the risks associated with the Fund’s principal
investments. Any additional risks associated with the Fund’s non-principal investments are described in the Fund’s SAI.
The Fund’s SAI also may provide additional information about the risks associated with the Fund’s principal investments.
Risk of Investing In Trade Finance Related Securities
The Fund pursues its investment objective by investing primarily in trade finance, structured trade finance, export
finance and project finance or related obligations of companies or other entities (including sovereign entities)
primarily
located
in or having exposure to global emerging markets. As such, the Fund is subject to all of the risks typical to
investments generally made in emerging markets, in addition to risks specific to the trade finance asset class.
Emerging Markets.
The Fund will make investments in emerging markets. Investors should be aware that the risks
associated with an investment in emerging markets are higher than those attached to similar investments in developed
countries. Investment in emerging markets involves risk factors and special considerations which may not be typically
associated with investing in more developed markets and are likely to include but not be restricted to the following:
Political and Economic Factors:
Political and economic change and instability may be more likely to occur and have a
greater effect on the economies and markets of emerging countries. Government policies, taxation, restrictions on foreign
investment and on currency convertibility and repatriation, currency fluctuations and other developments in the laws and
regulations of the relevant country could result in losses. In the event of nationalization, expropriation, or other
confiscation, the Fund could lose its entire investment in a foreign security.
22

Status of Loan Markets:
In comparison with more developed primary and secondary loan markets, the emerging market
loan market is smaller, may experience reduced liquidity and as a result potentially more volatile securities prices. This
may result in greater volatility in the net asset value of the Fund than would be the case if the investments were made in
more developed markets. In addition, different transaction settlement and clearing procedures, safe custody and
registration procedures may be underdeveloped enhancing the chance of an error, fraud or default, causing losses to the
Fund. Such underdeveloped procedures may be unable to keep pace with the volume of securities transactions or
otherwise make it difficult to engage in such transactions. In addition, custodial expenses for emerging market securities
are generally higher than for developed market securities.
Legal Considerations:
The legal infrastructure and accounting, auditing and reporting standards in emerging markets
may not provide the same degree of investor information or protection as would generally apply in more developed
markets. Certain investments in particular emerging markets may be subject to restrictions which may limit the availability
of attractive investment opportunities to the Fund. Furthermore, emerging markets are generally not as efficient as those in
more developed countries. In some cases, a market for the security may not exist locally and therefore transactions may
need to be made on a neighboring exchange.
Costs:
Emerging markets securities may incur brokerage or stock transfer taxes or other withholding taxes levied by
foreign governments which may have the effect of increasing the cost of investment and which may reduce the realized
gain or increase the loss on such securities at the time of sale.
Regulation:
The issuers of emerging markets securities or borrowers in emerging market countries, such as companies,
banks and other financial institutions, may be subject to less stringent regulation than would be the case for issuers in
developed countries, and therefore potentially carry greater risk.
Accounting Reporting Standards:
The issuers of emerging market securities or borrowers in emerging market countries,
such as companies, banks and other financial institutions, may be subject to local accounting and audit practices. These
may differ from international accounting practices leading to a greater risk of financial misreporting or misrepresentation.
Credit Ratings:
Emerging market loans are often unrated but may also be below investment grade (or “junk”
investments). The market values of corporate loans rated below investment grade and comparable unrated securities tend
to be more sensitive to company-specific developments and changes in economic conditions than for higher rated
securities. Issuers of these securities are often highly leveraged, so that their ability to service debt obligations during an
economic downturn may be impaired. In addition, such issuers may not have more traditional methods of financing
available to them, and may be unable to repay debt at maturity by refinancing. The risk of loss due to default in payment
of interest or principal by such issuers is significantly greater than in the case of investment-grade securities. These
securities may be subordinated to the prior payment of senior or secured indebtedness.
Taxation:
Taxation of interest received by the Fund with respect to emerging market borrowers may be subject to
foreign taxes that may or may not be reclaimable. Trade finance related securities may include methods to minimize such
risks but no assurance can be given that such techniques will be successful. In addition, markets in which the Fund invests
may have less well developed or defined tax laws and procedures than in more developed markets and this may adversely
affect the level of tax suffered by investment in those markets. This may also include the imposition of retroactive taxation
which had not reasonably been anticipated in the valuation of the assets of the Fund. This may result in uncertainty which
could necessitate significant provisions being made for foreign taxes in the calculation of the NAV of the Fund. The Fund
intends to elect to be treated and to qualify each year as a RIC under the Code. In order to qualify as a RIC, the Fund must
meet certain requirements regarding the source of its income and the diversification of its assets. Interest received by the
Fund in connection with its trade finance related investments will be qualifying income for purposes of such requirements,
but income from engaging in lending or other business activities would not be qualifying income. The Fund must take into
account the distinction between these types of income in structuring its participation in trade finance related investments.
Additional risks associated with investing in foreign securities, and emerging markets in particular, are discussed below
under “Risks of Foreign Investing.”
Transportation and Warehousing Risk.
Because of the transaction structuring involved, certain of the Fund’s
investments will be backed by commodities or other trade finance goods in transit or held in warehouses or physical assets
such as plant or land. Negligence and fraud are always significant risks in transactions involving the financing of such
assets. The Fund may use methods to minimize such risks but no assurance can be given that such efforts will
be successful.
Legal Risk.
Laws in emerging markets may be less sophisticated than in developed countries. Accordingly the Fund
may be subject to additional legal risks concerning its investments in the underlying trade finance related security and in
particular the effectiveness of various legal contracts that form the trade finance related security such as loan
documentation, local law security agreements and collateral management arrangements. These include, but are not limited
to, inadequate investor protection, unclear or contradictory legislation or regulations and lack of enforcement thereof,
23

ignorance or breach of legislation or regulations on the part of other market participants, lack of legal redress and breaches
of confidentiality. It may be difficult to obtain and enforce a judgment in certain emerging markets against borrowers or
against local assets which provide collateral or security in support of a specific investment in a trade finance related
security in which the Fund may be invested.
Collateral Price Risk
.
Many investment transactions may be supported or secured by underlying collateral, which may
include primary commodities, and other secondary or tertiary goods or physical assets. The price of this commodity or
asset collateral may be highly volatile in terms of value or subject to illiquidity at the time of a required sale.
Liquidity
.
Trade finance investments are not listed on any stock exchange or securities market, and the established or
recognized market (if any) for the investments may be relatively small and/or poorly developed, therefore trades may only
be executed on a matched bargain basis and prices may not be published or be readily available from an independent
price source.
Market Risk.
The profitability of the investment strategy of the Fund may depend on correct assessments of the future
course of credit spreads of trade finance loans and other investments by the Fund’s Adviser. There can be no assurance
that the Fund’s Adviser will be able to accurately predict such price movements.
Specificity of Certain Investments.
Certain securities in particular jurisdictions may only be held by entities (often
banks) resident in those jurisdictions, and not directly by the Fund. Depending on the existence or otherwise and local
interpretation of trust or fiduciary laws in the relevant jurisdiction, the Fund may have the risk of such entity holding or
registering such security. In the event of the insolvency of such an entity, the Fund may only rank as an unsecured creditor
and the whole or part of such security may be lost.
The Fund may also acquire participations, sub-participations or other interests in emerging market debt, where the
additional performance risk of the grantor of such interest will be taken, as well as the risk of the underlying emerging
market debt. In the event of the insolvency of the grantor, the relevant Fund would only rank as an unsecured creditor and
the whole or part of the relevant investments may be lost.
Interest Rate Risk
Prices of fixed-income securities rise and fall in response to changes in interest rates. Generally, when interest rates rise,
prices of fixed-income securities fall. However, market factors, such as the demand for particular fixed-income securities,
may cause the price of certain fixed-income securities to fall while the prices of other securities rise or remain unchanged.
The longer the duration of a fixed-income security, the more susceptible it is to interest rate risk. The duration of a
fixed-income security may be equal to or shorter than the stated maturity of a fixed-income security. Recent and potential
future changes in monetary policy made by central banks and/or their governments are likely to affect the level of interest
rates. Duration measures the price sensitivity of a fixed-income security given a change in interest rates. For example, if a
fixed-income security has an effective duration of three years, a 1% increase in general interest rates would be expected to
cause the security’s value to decline about 3% while a 1% decrease in general interest rates would be expected to cause the
security’s value to increase about 3%.
Issuer Credit Risk
It is possible that interest or principal on securities will not be paid when due. Noninvestment-grade securities generally
have a higher default risk than investment-grade securities. Such non-payment or default may reduce the value of the
Fund’s portfolio holdings, its share price and its performance.
Many fixed-income securities receive credit ratings from nationally recognized statistical rating organizations
(NRSROs) such as Fitch Rating Service, Moody’s Investor Services, Inc. and Standard & Poor’s that assign ratings to
securities by assessing the likelihood of an issuer and/or guarantor default. Higher credit ratings correspond to lower
perceived credit risk and lower credit ratings correspond to higher perceived credit risk. Credit ratings may be upgraded or
downgraded from time to time as an NRSRO’s assessment of the financial condition of a party obligated to make
payments with respect to such securities and credit risk changes. The impact of any credit rating downgrade can be
uncertain. Credit rating downgrades may lead to increased interest rates and volatility in financial markets, which in turn
could negatively affect the value of the Fund’s portfolio holdings, its share price and its investment performance. Credit
ratings are not a guarantee of quality. Credit ratings may lag behind the current financial conditions of the issuer and/or
guarantor and do not provide assurance against default or other loss of money. Credit ratings do not protect against a
decline in the value of a security. If a security has not received a rating, the Fund must rely entirely upon the Adviser’s
credit assessment.
24

Fixed-income securities generally compensate for greater credit risk by paying interest at a higher rate. The difference
between the yield of a security and the yield of a U.S. Treasury security or other appropriate benchmark with a comparable
maturity (the “spread”) measures the additional interest paid for risk. Spreads may increase generally in response to
adverse economic or market conditions. A security’s spread may also increase if the security’s rating is lowered, or the
security is perceived to have an increased credit risk. An increase in the spread will cause the price of the security to
decline if interest rates remain unchanged.
Counterparty Credit Risk
Credit risk includes the possibility that a party to a transaction involving the Fund will fail to meet its obligations. This
could cause the Fund to lose money or to lose the benefit of the transaction or prevent the Fund from selling or buying
other securities to implement its investment strategy.
PREPAYMENT AND EXTENSION RISK
During periods of declining interest rates or for other purposes, borrowers may exercise their option to prepay principal
earlier than scheduled which may force the Fund to reinvest in lower-yielding debt instruments. Also, when interest rates
fall, the price of mortgage-backed securities may not rise to as great an extent as that of other fixed-income securities.
When interest rates rise, borrowers are less likely to prepay principal. A decreased rate of prepayments lengthens the
expected maturity of a mortgage-backed security, and the price of mortgage-backed securities may decrease more than the
price of other fixed-income securities when interest rates rise.
CALL RISK
Call risk is the possibility that an issuer may redeem a fixed-income security before maturity (a “call”) at a price below
its current market price. An increase in the likelihood of a call may reduce the security’s price.
If a fixed-income security is called, the Fund may have to reinvest the proceeds in other fixed-income securities with
lower interest rates, higher credit risks or other less favorable characteristics.
LIQUIDITY RISK
Trading opportunities are more limited for fixed-income securities that have not received any credit ratings, have
received any credit ratings below investment grade or are not widely held. These features may make it more difficult to
sell or buy a security at a favorable price or time. Consequently, the Fund may have to accept a lower price to sell a
security, sell other securities to raise cash or give up an investment opportunity, any of which could have a negative effect
on the Fund’s performance. Infrequent trading of securities may also lead to an increase in their price volatility.
Noninvestment-grade securities generally have less liquidity than investment-grade securities.
Liquidity risk also refers to the possibility that the Fund may not be able to sell a security or close out a derivative
contract when it wants to. If this happens, the Fund will be required to continue to hold the security or keep the position
open, and the Fund could incur losses.
OTC derivative contracts generally carry greater liquidity risk than exchange-traded contracts. This risk may be
increased in times of financial stress, if the trading market for OTC derivative contracts becomes restricted.
Loan instruments may not be readily marketable and may be subject to restrictions on resale. In some cases,
negotiations involved in disposing of loans may require weeks to complete. Thus, transactions in loan instruments may
take longer than seven days to settle. This could pose a liquidity risk to the Fund and, if the Fund’s exposure to such
investments is substantial, could impair the Fund’s ability to meet shareholder redemptions in a timely manner.
Additionally, collateral on loan instruments may consist of assets that may not be readily liquidated, and there is no
assurance that the liquidation of such assets will satisfy a borrower’s obligations under the instrument. Loans and other
forms of indebtedness may be structured such that they are not securities under securities laws. As such, it is unclear
whether loans and other forms of direct indebtedness offer securities law protections, such as those against fraud and
misrepresentation. In the absence of definitive regulatory guidance, while there can be no assurance that fraud or
misrepresentation will not occur with respect to the loans and other investments in which the Fund invests, the Fund relies
on the Adviser’s research in an attempt to seek to avoid situations where fraud or misrepresentation could adversely affect
the Fund.
Risk Associated with Noninvestment-Grade Securities
Securities rated below investment grade, also known as junk bonds, generally entail greater economic, credit and
liquidity risks than investment-grade securities. For example, their prices are more volatile, economic downturns and
financial setbacks may affect their prices more negatively, and their trading market may be more limited. These securities
are considered speculative with respect to the issuer’s ability to pay interest and repay principal.
25

SECTOR RISK
Companies with similar characteristics may be grouped together in broad categories called sectors. Sector risk is the
possibility that a certain sector may underperform other sectors or the market as a whole. As the Adviser allocates more of
the Fund’s portfolio holdings to a particular sector, the Fund’s performance will be more susceptible to any economic,
business or other developments which generally affect that sector.
RISK RELATED TO THE ECONOMY
The value of the Fund’s portfolio may decline in tandem with a drop in the overall value of the markets in which the
Fund invests and/or other markets based on negative developments in the U.S. and global economies. Economic, political
and financial conditions,
industry or economic trends and developments
or public health risks
,
such as epidemics or
pandemics,
may, from time to time, and for varying periods of time, cause volatility, illiquidity or other potentially adverse
effects in the financial markets, including the fixed-income market. The commencement, continuation or ending of
government policies and economic stimulus programs, changes in monetary policy, increases or decreases in interest rates,
or other factors or events that affect the financial markets, including the fixed-income markets, may contribute to the
development of or increase in volatility, illiquidity, shareholder redemptions and other adverse effects, which could
negatively impact the Fund’s performance. For example, the value of certain portfolio securities may rise or fall in
response to changes in interest rates, which could result from a change in government policies, and has the potential to
cause investors to move out of certain portfolio securities, including fixed-income securities, on a large scale. This may
increase redemptions from funds that hold large amounts of certain securities and may result in decreased liquidity and
increased volatility in the financial markets. Market factors, such as the demand for particular portfolio securities, may
cause the price of certain portfolio securities to fall while the prices of other securities rise or remain unchanged. Among
other investments, lower-grade bonds and loans may be particularly sensitive to changes in the economy.
Geopolitical Risk
Global economic, political and financial conditions, war or other military action or political or economic sanctions,
may, from time to time, and for varying periods of time, cause volatility, illiquidity, shareholder repurchase requests,
loss of value, or other potentially adverse effects in the financial markets, including the fixed-income market. In
particular, as a result of continued political tensions and armed conflicts, including the Russian invasion of Ukraine
commencing in February of 2022, the extent and ultimate result of which are unknown at this time, the United States
and the European Union, along with the regulatory bodies of a number of countries, have imposed economic sanctions
on certain Russian corporate entities and individuals, and certain sectors of Russia’s economy, which may result in,
among other things, the continued devaluation of Russian currency, a downgrade in the country’s credit rating, and/or
a decline in the value and liquidity of Russian securities, property or interests. These sanctions could also result in the
immediate freeze of Russian securities and/or funds invested in prohibited assets, impairing the ability of a fund to
buy, sell, receive or deliver those securities and/or assets. These sanctions or the threat of additional sanctions could
also result in Russia taking counter measures or retaliatory actions, which may further impair the value and liquidity
of Russian securities. The United States and other nations or international organizations may also impose additional
economic sanctions or take other actions that may adversely affect Russia-exposed issuers and companies in various
sectors of the Russian economy. Any or all of these potential results could lead Russia’s economy into a recession.
Economic sanctions and other actions against Russian institutions, companies, and individuals resulting from the
ongoing conflict may also have a substantial negative impact on other economies and securities markets both
regionally and globally, as well as on companies with operations in the conflict region, the extent to which is
unknown at this time.
Risk of Foreign Investing
Foreign securities pose additional risks because foreign economic or political conditions may be less favorable than
those of the United States. Securities in foreign markets may also be subject to taxation policies that reduce returns for
U.S. investors.
Foreign companies may not provide information (including financial statements) as frequently or to as great an extent as
companies in the United States. Foreign companies may also receive less coverage than U.S. companies by market
analysts and the financial press. In addition, foreign countries may lack uniform accounting, auditing and financial
reporting standards or regulatory requirements comparable to those applicable to U.S. companies. These factors may
prevent the Fund and its Adviser from obtaining information concerning foreign companies that is as frequent, extensive
and reliable as the information available concerning companies in the United States.
Foreign countries may have restrictions on foreign ownership of securities or may impose exchange controls, capital
flow restrictions or repatriation restrictions which could adversely affect the liquidity of the Fund’s investments.
26

Since many loan instruments involve parties (for example, lenders, borrowers and agent banks) located in multiple
jurisdictions outside of the United States, there is a risk that a security interest in any related collateral may be
unenforceable and obligations under the related loan agreements may not be binding.
Currency Risk
Exchange rates for currencies fluctuate daily. The combination of currency risk and market risks tends to make
securities traded in foreign markets more volatile than securities traded exclusively in the United States. The Adviser and
Sub-Adviser attempt to manage currency risk by limiting the amount the Fund invests in securities denominated in a
particular currency. However, diversification will not protect the Fund against a general increase in the value of the
U.S. dollar relative to other currencies.
Investing in currencies or securities denominated in a foreign currency, entails risk of being exposed to a currency that
may not fully reflect the strengths and weaknesses of the economy of the country or region utilizing the currency.
Currency risk includes both the risk that currencies in which the Fund’s investments are traded, or currencies in which the
Fund has taken an active investment position, will decline in value relative to the U.S. dollar and, in the case of hedging
positions, that the U.S. dollar will decline in value relative to the currency being hedged. In addition, it is possible that a
currency (such as, for example, the euro) could be abandoned in the future by countries that have already adopted its use,
and the effects of such an abandonment on the applicable country and the rest of the countries utilizing the currency are
uncertain but could negatively affect the Fund’s investments denominated in the currency. If a currency used by a country
or countries is replaced by another currency, the Fund’s Adviser and Sub-Adviser would evaluate whether to continue to
hold any investments denominated in such currency, or whether to purchase investments denominated in the currency that
replaces such currency, at the time. Such investments may continue to be held, or purchased, to the extent consistent with
the Fund’s investment objective and permitted under applicable law.
Many countries rely heavily upon export-dependent businesses and any strength in the exchange rate between a
currency and the U.S. dollar or other currencies can have either a positive or a negative effect upon corporate profits and
the performance of investments in the country or region utilizing the currency. Adverse economic events within such
country or region may increase the volatility of exchange rates against other currencies, subjecting the Fund’s investments
denominated in such country’s or region’s currency to additional risks. In addition, certain countries, particularly emerging
market countries, may impose foreign currency exchange controls or other restrictions on the transferability, repatriation
or convertibility of currency.
Leverage Risk
Leverage risk is created when an investment, which includes, for example, an investment in a derivative contract,
exposes the Fund to a level of risk that exceeds the amount invested. Changes in the value of such an investment magnify
the Fund’s risk of loss and potential for gain. Investments can have these same results if their returns are based on a
multiple of a specified index, security or other benchmark.
Risk of Investing in Derivative Contracts and Hybrid Instruments
The Fund may use currency forwards for hedging purposes. In addition, although not generally anticipated, the Fund
reserves the flexibility to use other derivative contracts and/or hybrid instruments to implement elements of its investment
strategy. The Fund’s exposure to derivative contracts and hybrid instruments (either directly or through its investment in
another investment company) involves risks different from, or possibly greater than, the risks associated with investing
directly in securities and other traditional investments. First, changes in the value of the derivative contracts and hybrid
instruments in which the Fund invests may not be correlated with changes in the value of the underlying Reference
Instruments or, if they are correlated, may move in the opposite direction than originally anticipated. Second, while some
strategies involving derivatives may reduce the risk of loss, they may also reduce potential gains or, in some cases, result
in losses by offsetting favorable price movements in portfolio holdings. Third, there is a risk that derivative contracts and
hybrid instruments may be erroneously priced or improperly valued and, as a result, the Fund may need to make increased
cash payments to the counterparty. Fourth, exposure to derivative contracts and hybrid instruments may have tax
consequences to the Fund and its Shareholders. For example, derivative contracts and hybrid instruments may cause the
Fund to realize increased ordinary income or short-term capital gains (which are treated as ordinary income for Federal
income tax purposes) and, as a result, may increase taxable distributions to Shareholders. In addition, under certain
circumstances certain derivative contracts and hybrid instruments may cause the Fund to: (a) incur an excise tax on a
portion of the income related to those contracts and instruments; and/or (b) reclassify, as a return of capital, some or all of
the distributions previously made to Shareholders during the fiscal year as dividend income. Fifth, a common provision in
OTC derivative contracts permits the counterparty to terminate any such contract between it and the Fund, if the value of
the Fund’s total net assets declines below a specified level over a given time period. Factors that may contribute to such a
decline (which usually must be substantial) include significant Shareholder redemptions and/or a marked decrease in the
27

market value of the Fund’s investments. Any such termination of the Fund’s OTC derivative contracts may adversely
affect the Fund (for example, by increasing losses and/or costs, and/or preventing the Fund from fully implementing its
investment strategies). Sixth, the Fund may use a derivative contract to benefit from a decline in the value of a Reference
Instrument. If the value of the Reference Instrument declines during the term of the contract, the Fund makes a profit on
the difference (less any payments the Fund is required to pay under the terms of the contract). Any such strategy involves
risk. There is no assurance that the Reference Instrument will decline in value during the term of the contract and make a
profit for the Fund. The Reference Instrument may instead appreciate in value creating a loss for the Fund. Seventh, a
default or failure by a CCP or an FCM (also sometimes called a “futures broker”), or the failure of a contract to be
transferred from an Executing Dealer to the FCM for clearing, may expose the Fund to losses, increase its costs, or prevent
the Fund from entering or exiting derivative positions, accessing margin or fully implementing its investment strategies.
The central clearing of a derivative and trading of a contract over a SEF could reduce the liquidity in, or increase costs of
entering into or holding, any contracts. Finally, derivative contracts and hybrid instruments may also involve other risks
described in this Prospectus, such as interest rate, credit, currency, liquidity and leverage risks.
Illiquidity of Shares
The Fund is a closed-end investment company designed primarily for long-term investors and is not intended to be a
trading vehicle. The Fund does not currently intend to list Shares for trading on any national securities exchange. There is
no secondary trading market for Shares, and it is not expected that a secondary market will develop. Shares therefore are
not readily marketable. Because the Fund is a closed-end investment company, Shares in the Fund may not be tendered for
repurchase on a daily basis, and they may not be exchanged for shares of any other fund.
Although the Fund, at the discretion of the Board, will consider whether to make periodic repurchase offers of its
outstanding Shares at net asset value, Shares are significantly less liquid than shares of funds that trade on a stock
exchange. There is no guarantee that you will be able to sell all of your Shares that you desire to sell in any particular
repurchase offer. If a repurchase offer is oversubscribed by Shareholders holding Shares of the Fund, the Fund may
repurchase only a pro rata portion of the Shares tendered by each Shareholder. The potential for pro-ration may cause
some investors to tender more Shares for repurchase than they otherwise would wish to have repurchased. In addition, in
extreme cases, the Fund may not be able to complete repurchases due to the Fund’s holding of illiquid investments. In that
event, you may be able to sell your Shares only if you are able to find an investor willing to purchase your Shares. Any
such sale may have to be negotiated at unfavorable prices and must comply with applicable securities laws and must be
approved by the Board. Due to the requirements regarding tenders offers and the frequency with which the Fund expects
to offer to repurchase Shares, in the event the Fund makes repurchase offers it is unlikely that the Fund will be able to
extend the expiration date of, or increase the amount of, any repurchase offer, which may result in an investor needing to
subscribe to more than one repurchase offer to exit the Fund in the case of oversubscribed repurchase offers.
Potential Consequences of Regular Repurchase Offers
The Fund’s repurchase offer policy may have the effect of decreasing the size of the Fund over time from what it
otherwise would have been absent significant new investments in the Fund. It may also force the Fund to sell assets it
would not otherwise sell and/or to maintain increased amounts of cash or liquid investments at times. It may also reduce
the investment opportunities available to the Fund and cause its expense ratio to increase. In addition, because of the
limited market for private securities held by the Fund, the Fund may be forced to sell its liquid securities in order to meet
cash requirements for repurchases. This may have the effect of substantially increasing the Fund’s ratio of relatively more
illiquid securities to relatively more liquid securities for the remaining investors. It is not the intention of the Fund to do
this; however, it may occur. In addition, the Fund may be required to maintain a portion of its portfolio in cash or cash
equivalents. The amount may vary, but typically will be approximately the amount of the outstanding repurchase offers
(currently expected to be 5-15% of the net asset value of the Fund). An allocation of cash or cash equivalents above the
amount of the outstanding repurchase offers also may be maintained to operate the Fund and effect its investment
program. When the Fund holds cash or cash equivalents, it is unable to invest those assets in other investments consistent
with its investment objective and investment strategies, and the Fund may receive less returns on such cash and cash
equivalents as compared to such other investments. Accordingly, the Fund’s performance may be negatively impacted by
holding cash or cash equivalents in such amounts.
Large Shareholder Risk
A significant percentage of the Fund’s Shares may be owned or controlled by a large shareholder, such as other funds or
accounts, including those of which the Adviser or an affiliate of the Adviser may have investment discretion. Accordingly,
the Fund can be subject to the potential for large scale inflows and outflows as a result of purchases and redemptions made
by significant shareholders. These inflows and outflows could be significant and, if frequently occurring, could negatively
affect the Fund’s net asset value and performance and could cause the Fund to buy or sell securities at inopportune times
28

in order to meet purchase or redemption requests. Investments in the Fund by other investment companies also can create
conflicts of interests for the Adviser to the Fund and the investment adviser to the acquiring fund. For example, a conflict
of interest can arise due to the possibility that the investment adviser to the acquiring fund could make a decision to
redeem the acquiring fund’s investment in the Fund. In the case of an investment by an affiliated fund, a conflict of
interest can arise if, because of the acquiring fund’s investment in the Fund, the Fund is able to garner more assets from
third-party investors, thereby growing the Fund and increasing the management fees received by the Adviser, which could
also be the investment adviser to the acquiring fund.
technology Risk
The Adviser uses various technologies in managing the Fund, consistent with its investment objective(s) and strategy
described in this Prospectus. For example, proprietary and third-party data and systems are utilized to support decision-making
for the Fund. Data imprecision, software or other technology malfunctions, programming inaccuracies and similar
circumstances may impair the performance of these systems, which may negatively affect Fund performance.
Management of the Fund
Board of Trustees
The management of the Fund, including general supervision of the duties performed by the Adviser under the Advisory
Agreement (each of which are defined below) and the Sub-Adviser under the Sub-Advisory Agreement (each of which are
defined below), is the responsibility of the Fund’s board of trustees (the “Board”) under the laws of the State of Delaware.
The name and business addresses of the Trustees and officers of the Fund and their principal occupations and other
affiliations are set forth under “Management of the Fund” in the Statement of Additional Information.
The Adviser
Federated Investment Management Company acts as the Fund’s investment adviser (the “Adviser”) under an investment
advisory agreement (the “Advisory Agreement”). Federated Advisory Services Company (FASC), an affiliate of the
Adviser, provides certain support services to the Adviser. The fee for these services is paid by the Adviser and not by the
Fund. The address of the Adviser and FASC is 1001 Liberty Avenue, Pittsburgh, PA 15222-3779. The Adviser is a direct
wholly-owned subsidiary of Federated Hermes, Inc. (“Federated Hermes”), a publicly-held company. The Adviser and
other advisory subsidiaries of Federated Hermes combined advise approximately
101
registered investment companies
spanning equity, fixed-income and money market mutual funds and also manage a variety of other pooled investment
vehicles, private investment companies and customized separately managed accounts (including non-U.S./offshore funds).
Federated Hermes’ assets under management totaled approximately $
757.6
billion as of December 31,
2023
. Federated
Hermes was established in 1955 as Federated Investors, Inc. and is one of the largest investment managers in the United
States with nearly 2,000 employees. Federated Hermes provides investment products to more than
10,000
investment
professionals and institutions.
The Sub-Adviser
The Adviser has delegated daily management of some or all of the Fund assets to the Sub-Adviser, Federated
Hermes (UK) LLP, a limited liability partnership incorporated in England and Wales, (the “Sub-Adviser”) and an affiliate
of the Adviser. For purposes of this Prospectus, the Adviser and Sub-Adviser, are sometimes referred to together, as
applicable, as the “Fund’s Adviser.” The Sub-Adviser is paid by the Adviser and not by the Fund, based on the portion of
securities the Sub-Adviser manages. The Sub-Adviser’s address is 150 Cheapside, London EC2V 6ET, England.
Under the supervision of the Adviser and oversight by the Board and pursuant to a sub-advisory agreement between the
Adviser and the Sub-Adviser (the “Sub-Advisory Agreement”), Federated Hermes (UK) LLP, will act as sub-investment
adviser to the Fund. The Sub-Adviser will have day-to-day portfolio management responsibilities of the Fund.
Federated Hermes (UK) LLP, a limited liability partnership incorporated in England and Wales, is a wholly owned
London based subsidiary of Federated Hermes, Inc., and is authorized and regulated by the U.K. Financial Conduct
Authority to provide investment management services. The Sub-Adviser advises approximately
four
registered investment
companies. The Sub-Adviser’s assets under management totaled approximately $
11.5
billion as of December 31,
2023
.
The Sub-Adviser’s assets under management are currently primarily comprised of assets from non-US domiciled funds,
other pooled investment vehicles and separate accounts, such as UK registered money market funds and other accounts of
institutional clients from the UK, Europe and certain other non-US jurisdictions.
The Fund’s Shareholder reports will contain information regarding the basis for the Board’s approval of the Fund’s
Advisory and Sub-Advisory Agreements. The Fund’s semi-annual reports for the six month periods ending each
September 30 and the annual reports for the fiscal years ending each March 31 discuss the Board’s annual evaluation
and approval of those agreements, which typically occurs annually in May.
29

PORTFOLIO MANAGEMENT INFORMATION
Messrs. Ihab Salib, Christopher P. McGinley, Maarten Offeringa and Kazaur Rahman are the Fund’s portfolio managers
responsible for managing the Fund’s overall investment program.
Ihab L. Salib, Senior Portfolio Manager
Ihab L. Salib, Senior Portfolio Manager, has been the Fund’s portfolio manager since its inception in December
of 2016.
Mr. Salib is Head of the International Fixed Income Group and Head of the Currency Management Committee. He is
responsible for day to day management of the Fund focusing on asset allocation, interest rate strategy and security
selection. He has been with the Adviser or an affiliate since 1999; has worked in investment management since 1992; has
managed investment portfolios since 2002. Education: B.A., State University of New York at Stony Brook.
Christopher P. McGinley, Senior Portfolio Manager
Christopher P. McGinley, Senior Portfolio Manager, has been the Fund’s portfolio manager since its inception in
December of 2016.
Mr. McGinley is Head of the Trade Finance Team and is responsible for day to day management of the Fund focusing
on asset allocation, interest rate strategy and security selection. He has been with the Adviser or an affiliate since 2004;
has worked in investment management since 2005; has managed investment portfolios since 2009. Education: B.S.,
University of Pittsburgh; M.P.I.A., University of Pittsburgh.
Maarten Offeringa, Portfolio Manager
Maarten Offeringa, Portfolio Manager, has been the Fund’s portfolio manager since July of 2019.
Effective August 1, 2023, Mr. Offeringa is dual employed with the Sub-Adviser and Federated Hermes Limited
(“FHL”) and serves as Portfolio Manager of the Fund in his capacity as an employee of the Sub-Adviser.
Mr. Offeringa is responsible for providing research and advice on sector allocation and security selection. He has been
with the Adviser or an affiliate since 2018; has worked in financial services since 2002; has worked in investment
management since 2018; has managed investment portfolios since 2019. Previous associations: Director, Bank of America
Merrill Lynch; Vice President, J.P. Morgan. Education: MA, Vrije Universiteit Amsterdam.
Kazaur Rahman, Portfolio Manager
Kazaur Rahman, ACA, Portfolio Manager, has been the Fund’s portfolio manager since July of 2023.
Effective August 1, 2023, Mr. Rahman is dual employed with the Sub-Adviser and FHL and serves as Portfolio
Manager of the Fund in his capacity as an employee of the Sub-Adviser.
Mr. Rahman is responsible for providing research and advice on sector allocation and security selection. He has been
with the Adviser or an affiliate since 2019; has worked in financial services since 2005; has worked in investment
management since 2019; has managed investment portfolios since 2023. Previous associations include roles with:
Deutsche Bank; VTB Capital; Bank of America; PricewaterhouseCoopers (PwC). Education: BSc, University of London.
The Fund’s SAI provides additional information about the Portfolio Managers’ compensation, management of other
accounts and ownership of securities in the Fund.
Investment Advisory Agreement
Pursuant to an investment advisory agreement between the Adviser and the Fund, the Adviser will receive an annual fee
in a maximum amount equal to 0.50% of the Fund’s average daily net assets (the “Management Fee”). The Adviser may
voluntarily waive a portion of its fee or reimburse the Fund for certain operating expenses. The Adviser and its affiliates
have also agreed to certain “Fee Limits” as described in the footnote to the “Summary of Fund Expenses” table found in
this Prospectus.
In addition to the Management Fee of the Adviser, the Fund pays all other costs and expenses of its operations,
including compensation of its trustees (other than those affiliated with the Adviser), custodian, transfer and dividend
disbursing agent expenses, legal fees, rating agency fees, listing fees and expenses, expenses of independent auditors,
expenses of repurchasing shares, expenses of preparing, printing and distributing Shareholder reports, notices, proxy
statements and reports to governmental agencies and taxes, if any.
Investment Sub-Advisory Agreement
The Adviser (and not the Fund) will pay to the Sub-Adviser as compensation under the Sub-Advisory Agreement an
annual fee equal to 0.39% of the average daily net assets of the Fund.
30

Administrative Agreement
Federated Administrative Services (“the Administrator”), a subsidiary of Federated Hermes, provides administrative
personnel and services (including certain legal, compliance and financial administrative services) necessary to operate the
Fund. The Administrator’s address is 1001 Liberty Avenue, Pittsburgh, PA 15222-3779. The Administrator currently
receives no compensation for providing administrative services to the Fund.
Distributions
The Fund intends to make quarterly distributions of net investment income, after payment of interest on outstanding
borrowings, if any. The Fund will distribute annually any net short-term capital gain and any net capital gain (which is the
excess of net long-term capital gain over short-term capital loss). Distributions to Shareholders cannot be assured, and the
amount of each quarterly distribution is likely to vary. It is possible, although not intended, that distributions could exceed
net investment income and net short-term and long-term capital gain, resulting in a return of capital.
Federal Income Tax Matters
The Fund intends to elect to be treated and to qualify each year as a RIC under the Code. Accordingly, the Fund must,
among other things, meet the following requirements regarding the source of its income and the diversification of
its assets:
◾ 
The Fund must derive in each taxable year at least 90% of its gross income from the following sources (i.e., qualifying
income): (a) dividends, interest (including tax-exempt interest), payments with respect to certain securities loans, and
gains from the sale or other disposition of stock, securities or foreign currencies, or other income (including but not
limited to gain from options, futures and forward contracts) derived with respect to its business of investing in such
stock, securities or foreign currencies; and (b) net income derived from interests in “qualified publicly traded
partnerships” (as defined in the Code).
◾ 
The Fund must diversify its holdings so that, at the end of each quarter of each taxable year: (a) at least 50% of the
market value of the Fund’s total assets is represented by cash and cash items, U.S. government securities, the securities
of other regulated investment companies and other securities, with such other securities limited, in respect of any one
issuer, to an amount not greater than 5% of the value of the Fund’s total assets and not more than 10% of the
outstanding voting securities of such issuer; and (b) not more than 25% of the market value of the Fund’s total assets is
invested in the securities (other than U.S. government securities and the securities of other regulated investment
companies) of: (I) any one issuer; (II) any two or more issuers that the Fund controls and that are determined to be
engaged in the same business or similar or related trades or businesses; or (III) any one or more “qualified publicly
traded partnerships” (as defined in the Code).
As a RIC, the Fund generally will not be subject to U.S. federal income tax on income and gains that the Fund
distributes to its Shareholders provided that it distributes each taxable year at least the sum of: (i) 90% of the Fund’s
investment company taxable income (which includes, among other items, dividends, interest and the excess of any net
short-term capital gain over net long-term capital loss and other taxable income, other than any net capital gain, reduced
by deductible expenses) determined without regard to the deduction for dividends paid; and (ii) 90% of the Fund’s net
tax-exempt interest (the excess of its gross tax-exempt interest over certain disallowed deductions). The Fund intends to
distribute substantially all of such income each year. The Fund will be subject to income tax at regular corporate rates on
any taxable income or gains that it does not distribute to its Shareholders.
In order to avoid incurring a 4% non-deductible federal excise tax obligation, the Code requires that the Fund distribute
(or be deemed to have distributed) by December 31 of each calendar year an amount at least equal to the sum of: (i) 98%
of its ordinary income (and not taking into account any capital gain or loss) for such year; (ii) 98.2% of its capital gain net
income (which is the excess of its realized net long term capital gain over its realized net short-term capital loss), generally
computed on the basis of the one-year period ending on October 31 of such year, after reduction by any available capital
loss carryforwards; and (iii) 100% of any ordinary income and capital gain net income from the prior year (as previously
computed) that were not paid out during such year and on which the Fund paid no federal income tax. While the Fund
intends to distribute any ordinary income and capital gain in the manner necessary to minimize imposition of the 4%
excise tax, there can be no assurance that sufficient amounts of the Fund’s ordinary income and capital gain will be
distributed to avoid entirely the imposition of the tax. In that event, the Fund will be liable for the tax only on the amount
by which it does not meet the foregoing distribution requirement.
Distributions of any taxable net investment income and net short-term capital gain will generally be taxable as ordinary
income. Distributions of the Fund’s net capital gain designated as capital gain dividends, if any, will be taxable to
Shareholders as long-term capital gains, regardless of the length of time they held their Shares. Distributions, if any, in
excess of the Fund’s earnings and profits will first reduce the adjusted tax basis of a holder’s Shares and, after that basis
has been reduced to zero, will constitute capital gains to the Shareholder (assuming the Shares are held as a capital asset).
31

The Fund’s distributions generally will not qualify either for the dividends received deduction generally available to
corporate taxpayers or as qualified dividend income subject to favorable tax treatment for individual taxpayers. “Qualified
dividend income” means dividends received by the Fund from U.S. corporations and qualifying foreign corporations,
provided that the Fund satisfies certain holding period and other requirements in respect of the stock of such corporations
and, when distributed by the Fund to individual Shareholders, such Shareholders satisfy certain holding period and other
requirements in respect of their Fund Shares.
Dividends and other distributions declared by the Fund in October, November or December of any year and payable to
Shareholders of record on a date in any of those months will be deemed to have been paid by the Fund and received by the
Shareholders on December 31 of that year if the distributions are paid by the Fund during the following January.
Accordingly, those distributions will be taxed to Shareholders for the year in which that December 31 falls. The Fund will
inform Shareholders of the source and tax status of all distributions promptly after the close of each calendar year.
Dividends and interest received, and gains realized, by the Fund on foreign securities may be subject to income,
withholding or other taxes imposed by foreign countries and U.S. possessions (collectively “foreign taxes”) that would
reduce the return on its securities. Tax conventions between certain countries and the United States, however, may reduce
or eliminate foreign taxes, and many foreign countries do not impose taxes on capital gains in respect of investments by
foreign investors.
The Fund believes that substantially all of its investments will generate qualifying income for purposes of the
previously-mentioned 90% gross income requirement for treatment as a RIC under current federal income tax law.
Interest received by the Fund in connection with its trade finance investments will, by definition, be qualifying income for
purposes of such requirements, but income from loan origination or other business activities would not be qualifying
income. The Fund must take into account the distinction between these types of income to ensure when structuring its
participation in trade finance investments that amounts received are for the use of money, not payment for services. Also,
the Code expressly provides the U.S. Treasury with authority to issue regulations that would exclude foreign currency
gains from qualifying income if such gains are not directly related to a fund’s business of investing in stock or securities.
While to date the U.S. Treasury has not exercised this regulatory authority, there can be no assurance that it will not issue
regulations in the future (possibly with retroactive application) that would treat some or all of the Fund’s foreign currency
gains as non-qualifying income for RIC purposes, which may affect the Fund’s status as a RIC for all years to which such
regulations are applicable.
The repurchase or transfer of Shares may result in a taxable gain or loss to the tendering Shareholder. Different tax
consequences may apply for tendering and non-tendering Shareholders in connection with a repurchase offer. For
example, if a Shareholder does not tender all of his or her Shares, such repurchase may not be treated as an exchange for
U.S. federal income tax purposes and may result in deemed distributions to non-tendering Shareholders. On the other
hand, Shareholders who tender all of their Shares (including Shares deemed owned by Shareholders under constructive
ownership rules) will be treated as having sold their Shares and generally will realize a capital gain or loss. Such gain or
loss is measured by the difference between the Shareholder’s amount received and his or her adjusted tax basis of the
Shares. For non-corporate Shareholders, gain or loss from the transfer or repurchase of Shares generally will be taxable at
a U.S. federal income tax rate dependent upon the length of time the Shares were held. Shares held for a period of one year
or less at the time of such repurchase or transfer will, for U.S. federal income tax purposes, generally result in short-term
capital gains or losses, and those held for more than one year will generally result in long-term capital gains or losses.
The foregoing briefly summarizes some of the material federal income tax consequences to Shareholders of investing in
Shares, reflects the federal tax law as of the date of this prospectus, and does not address special tax rules applicable to
certain types of investors, such as corporate and foreign investors. Unless otherwise noted, this discussion assumes that an
investor is a U.S. person and holds the Shares as a capital asset. This discussion is based upon current provisions of the
Code, the regulations promulgated thereunder, and judicial and administrative ruling authorities, all of which are subject to
change or differing interpretations by the courts or the IRS retroactively or prospectively. Investors should consult their
tax advisors regarding other federal, state or local tax considerations that may be applicable in their particular
circumstances, as well as any pending or proposed tax law changes.
Dividend Reinvestment Plan
Pursuant to the Dividend Reinvestment Plan (DRP) established by the Fund, each Shareholder will automatically
be a participant under the DRP and have all income distributions, whether dividend distributions or capital gains
distributions, automatically reinvested in additional Shares. Election not to participate in the DRP and to receive all
income distributions, whether dividend distributions or capital gains distributions, in cash may be made by notice to a
Shareholder’s intermediary (who should be directed to inform the Fund). A Shareholder is free to change this election at
32

any time. If, however, a Shareholder elects to change its election within 95 days prior to a distribution, the request will be
effective only with respect to distributions after the 95-day period. A Shareholder whose Shares are registered in the name
of a nominee (such as an intermediary) must contact the nominee regarding its status under the DRP, including whether
such nominee will participate on such Shareholder’s behalf as such nominee will be required to make any such election.
Generally, for U.S. federal income tax purposes, Shareholders receiving Shares under the DRP will be treated as having
received a distribution equal to amount payable to them in cash as a distribution had the Shareholder not participated in
the DRP.
Shares will be issued pursuant to the DRP at their NAV determined on the next valuation date following the ex-dividend
date (the last date of a dividend period on which an investor can purchase Shares and still be entitled to receive the
dividend). There is no sales load or other charge for reinvestment. A request for change of participation/non-participation
status in the DRP must be received by the Fund within the above timeframe to be effective for that dividend or capital gain
distribution. A Fund may terminate the DRP at any time upon written notice to the participants in the DRP. The Fund may
amend the DRP at any time upon 30 days’ written notice to the participants. Any expenses of the DRP will be borne by
the Fund.
Description of Capital Structure
SUMMARY OF THE DECLARATION OF TRUST
An investor in the Fund will be a Shareholder of the Fund and his or her rights in the Fund will be established and
governed by the Fund’s Declaration of Trust. The following is a summary description of additional items and of select
provisions of the Declaration of Trust that may not be described elsewhere in this Prospectus or the SAI. The description
of such items and provisions is not definitive and reference should be made to the complete text of the Declaration
of Trust.
LIABILITY; INDEMNIFICATION
Under Delaware law and the Declaration of Trust, each Shareholder will be liable for the debts and obligations of the
Fund only to the extent of the value of such Shareholder’s Shares. The Declaration of Trust provides that the Trustees and
the Adviser (including certain of its affiliates, among others) shall not be liable to the Fund or any of the Shareholders for
any loss or damage occasioned by any act or omission in the performance of their services as such in the absence of willful
misfeasance, bad faith, gross negligence, or reckless disregard of the duties involved in the conduct of their office or as
otherwise required by applicable law.
The Declaration of Trust also contains provisions for the indemnification, to the extent permitted by law, of the
members and former members of the Board and the Adviser (including certain of its affiliates, among others) by the Fund
(but not by the Shareholders individually) against any liability and expense to which any of them may be liable that arise
in connection with the performance of their activities on behalf of the Fund. None of these persons shall be personally
liable to any Shareholder by reason of any change in the federal or state income tax laws applicable to the Fund or its
Shareholders. The rights of indemnification and exculpation provided under the Declaration of Trust shall not be construed
so as to limit liability or provide for indemnification of the members and former members of the Board and the Adviser
(including certain of its affiliates, among others) for any liability (including liability under applicable federal or state
securities laws which, under certain circumstances, impose liability even on persons that act in good faith), to the extent
(but only to the extent) that such indemnification or limitation on liability would be in violation of applicable law, but shall
be construed so as to effectuate the applicable provisions of the Declaration of Trust to the fullest extent permitted by law.
AMENDMENT
The Declaration of Trust may generally be amended, in whole or in part, with the approval of a majority of the Trustees
(including a majority of the Independent Trustees, if required by the 1940 Act). Shareholders have the right to vote on any
amendment: (i) affecting their right to vote granted under the Declaration of Trust; (ii) to the Declaration of Trust’s
amendment provision; (iii) for which such vote is required by law; and (iv) submitted to them by the Trustees.
TERM, DISSOLUTION AND LIQUIDATION
The Fund may be dissolved upon the affirmative vote of a majority of the Trustees without Shareholder approval, unless
such approval is required by the 1940 Act. In doing so, the Trustees may: (i) sell the Fund’s assets to another entity in
exchange for interests in the acquiring entity; or (ii) sell all of the Fund’s assets for cash. Following such liquidation, and
after payments to creditors and payment of any Fund expenses, the Fund’s Shareholders are entitled to receive the
proceeds of such sale, distributed in proportion to the number of Shares held by each Shareholder. Upon termination of the
Fund, the Fund will file a certificate terminating its existence as a Delaware statutory trust.
33

SHARES
General.
All Shares are sold at the most recently calculated net asset value per Share as of the date on which the
purchase is accepted. The net asset value of a Share is determined by dividing the Fund’s aggregate net asset value by the
number of Shares outstanding at the applicable date.
Reserves.
 
Appropriate reserves may be created, accrued, and charged against net assets for contingent liabilities as of
the date the contingent liabilities become known to the Fund. Reserves will be in such amounts (subject to increase or
reduction) that the Fund may deem necessary or appropriate. The amount of any reserve (or any increase or decrease
therein) will be proportionately charged or credited, as appropriate, against net assets.
Voting.
Each Shareholder has the right to cast a number of votes equal to the number of Shares held by such
Shareholder at a meeting of Shareholders called by the Board. Shareholders are entitled to vote on any matter as set forth
in the Declaration of Trust and the 1940 Act. Notwithstanding their ability to exercise their voting privileges, Shareholders
in their capacity as such are not entitled to participate in the management or control of the Fund’s business, and may not
act for or bind the Fund.
Purchase Terms
The Fund currently intends to accept purchases of Shares as of the last business day of each calendar month, typically
following 30 calendar days’ advance notice, or at such other times as may be determined by the Board. The 30 calendar
day advance notice may be waived at the discretion of the Fund. The Board may discontinue accepting purchases on a
monthly basis at any time. Any amounts received in connection with the offer of Shares and closings will promptly be
placed in an escrow account prior to their investment in the Fund. All purchases are subject to the receipt of cleared funds
prior to the applicable purchase date in the full amount of the purchase. Although the Fund may accept, in its sole
discretion, a purchase prior to receipt of cleared funds, an investor may not become a Shareholder until cleared funds have
been received. The investor must also submit a completed application before the applicable purchase date. The Fund
reserves the right to reject any purchase of Shares and the Adviser may, in its sole discretion, suspend the offer of Shares
at any time.
All Shares are sold at the most recently calculated net asset value per Share as of the date on which the purchase is
accepted. The minimum initial investment in the Fund by any account is $100,000, and the minimum additional
investment in the Fund is $25,000. The Fund may accept investments for a lesser amount under certain circumstances, as
determined by the Adviser. Investors that are employees of the Adviser or its affiliates are eligible to invest in Shares and
may be subject to lower minimum investments than other investors. Certain selling brokers, dealers or banks and financial
advisors may impose higher or lower minimum investment levels or other requirements than those imposed by the Fund.
The investment minimum with respect to Shares purchased through an omnibus account, including an omnibus account of
a bank, broker-dealer, trust company and plan recordkeeper, is calculated at the omnibus account level.
Except as otherwise permitted by the Fund, initial and any additional purchases of Shares of the Fund by any
Shareholder must be paid by wire, and all contributions must be transmitted by the time and in the manner that is specified
in the application. Initial and any additional contributions to the capital of the Fund must be made in a single payment.
Although the Fund may, in its discretion, accept contributions of securities, the Fund does not currently intend to accept
contributions of securities. If the Fund chooses to accept a contribution of securities, the securities would be valued in the
same manner that the Fund values its other assets. Because of anti-money laundering concerns, the Fund will not accept
investments made in cash. For this purpose, cash includes currency (i.e., coin or paper money), cashier’s checks, bank
drafts, travelers’ checks, and money orders.
Financial intermediaries may also impose fees (subject to compliance with applicable FINRA rules), terms and
conditions on investor accounts and investments in the Fund that are in addition to the fees, terms and conditions set forth
in the Prospectus. Such terms and conditions are not imposed by the Fund, the Distributor or any other service provider of
the Fund. Any terms and conditions imposed by a financial intermediary, or operational limitations applicable to such
parties, may affect or limit a shareholder’s ability to subscribe for Shares, or otherwise transact business with the Fund.
Investors should direct any questions regarding terms and conditions applicable to their accounts or relevant operational
limitations to the financial intermediary.
34

Determination of Net Asset Value
Pricing of Fund Shares
The net asset value of the Fund is determined as of the end of regular trading on the New York Stock Exchange (NYSE)
(normally, 4:00 p.m., Eastern time) each day the NYSE is open. The Fund calculates the NAV by valuing its assets,
subtracting its liabilities and dividing the balance by the number of Shares outstanding. The Fund’s current NAV and/or
public offering price may be found at
FederatedHermes.com/us/Products/Closed-End-Funds/Project And Trade Finance
Tender
, via online news sources and in certain newspapers.
Pursuant to Rule 2a-5 under the Investment Company Act of 1940, the Board has 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,
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 subject to Board oversight and certain reporting and other requirements intended to provide the Board the
information it needs to oversee the Adviser’s fair value determinations.
The Valuation Committee is also authorized to use pricing specialists to provide fair value evaluations of the current
value of certain investments for purposes of calculating the NAV, including most trade finance related securities and other
debt securities. The Fund’s SAI discusses the methods used by pricing services and the Valuation Committee in
valuing investments.
When the Fund holds securities that trade principally in foreign markets on days the NYSE is closed, the value of the
Fund’s assets may change on days you cannot purchase or redeem Shares. This may also occur when the U.S. markets for
fixed-income securities are open on a day the NYSE is closed.
In calculating its 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.
◾ 
Fixed-income securities are fair valued using price evaluations provided by a pricing service approved by 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.
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, or if information furnished by a
pricing service, in the opinion of the 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 generally 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.
Shares of other mutual funds are valued based upon their reported NAVs. The prospectuses for these mutual funds
explain the circumstances under which they will use fair value pricing and the effects of using fair value pricing.
Fair Valuation and Significant Events Procedures
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 price evaluations of the current fair value of
certain investments for purposes of calculating the NAV. 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 as the valuation designee. The Board periodically reviews the fair valuations made by
the Valuation Committee. The Board has 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. The Fund’s SAI discusses the
methods used by pricing services and the Valuation Committee in valuing investments.
Using fair value to price investments may result in a value that is different from an investment’s most recent closing
price and from the prices used by other registered funds to calculate their NAVs. The application of the fair value
procedures to an investment represents a good faith determination of such investment’s fair value. 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 could be materially different.
35

The Adviser also has 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; and
◾ 
Announcements concerning matters such as acquisitions, recapitalizations or litigation developments or a natural
disaster affecting the issuer’s operations or regulatory changes or market developments affecting the issuer’s industry.
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 Fund’s investments in trade finance agreements are
primarily determined by applying discounted cash flow methodologies utilizing various inputs such as available or implied
credit ratings, loan characteristics, seniority, collateral, comparable debt instruments, yield curves or indices, broader loan
data, bond data and bond sector curves. When appropriate, other considerations may include asset liquidation analyses,
internal credit assessments and general market conditions. The Fund utilizes third-party pricing specialists in determining
its valuations. Typically, there are no other sources of evaluations for these investments and the inputs utilized are less
observable. Additionally, trade finance agreements are typically held to maturity by investors and therefore do not trade on
a consistent basis. Accordingly, executed trade prices are usually unavailable and thus, generally cannot be relied upon to
support valuations of these investments. Therefore, inputs unobservable in active markets must be relied upon more
heavily. The prices realized for these investments upon sale may be different than prices used by the Fund to value them
and the differences could be material.
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. The Board periodically reviews fair
valuations made in response to significant events.
The fair valuation of securities following a significant event can serve to reduce arbitrage opportunities for short-term
traders to profit at the expense of long-term investors in the Fund. For example, such arbitrage opportunities may exist
when the market on which portfolio securities are traded closes before the Fund calculates its NAV, which is typically the
case with Asian and European markets. However, there is no assurance that these significant event procedures will prevent
dilution of the NAV by short-term traders.
Repurchases and Transfers of Shares
No Right of Redemption
No Shareholder or other person holding Shares acquired from a shareholder will have the right to require the Fund to
repurchase those Shares. There is no public market for Shares, and none is expected to develop. With limited exceptions,
Shares are not transferable and liquidity normally will be provided only through repurchase offers that will be made from
time to time by the Fund, as described below. Any transfer of Shares in violation of the Declaration of Trust, which
requires Board approval of any transfer, will not be permitted and will be void. Consequently, Shareholders may not be
able to liquidate their investment other than as a result of repurchases of Shares by the Fund, as described below. For
information on the Fund’s policies regarding transfers of Shares, see “Repurchases, Mandatory Repurchases and Transfers
of Shares” in the SAI.
Repurchases of Shares
At the discretion of the Board and provided that it is in the best interests of the Fund and Shareholders to do so, the
Fund intends to provide a limited degree of liquidity to the Shareholders by conducting repurchase offers generally
quarterly (or more or less frequently as determined by the Board in its discretion). In each repurchase offer, the Fund may
offer to repurchase its Shares at their NAV on the relevant valuation date (each, a “Valuation Date”), which will occur on
or before the expiration date of the repurchase offer (the “Expiration Date”).
36

Each repurchase offer ordinarily will be limited to the repurchase of approximately 5-15% of the net asset value of the
Fund, although the Board can determine to authorize the Fund to repurchase in excess of 15% of the net asset value of the
Fund in its discretion. If the value of Shares tendered for repurchase exceeds the value the Fund intended to repurchase,
the Fund, in its sole discretion, may (a) accept the additional Shares permitted to be accepted pursuant to Rule 13e-4(f)
under the Exchange Act; or (b) determine to repurchase less than the full number of Shares tendered. In the event less
than the full number of Shares tendered will be repurchased, Shareholders will have their Shares repurchased on a
pro rata
 
basis, and tendering Shareholders will not have all of their tendered Shares repurchased by the Fund. Shareholders
tendering Shares for repurchase will be asked to give written notice of their intent to do so as soon as practicable and in
any event by no later than the date specified in the notice describing the terms of the applicable repurchase offer (
i.e
., the
Expiration Date). The tender offer period will commence at least twenty (20) business days prior to the Expiration Date.
In determining whether the Fund should repurchase Shares from Shareholders pursuant to written tenders, the Board
will consider a variety of factors. The Board expects that the Fund will ordinarily offer to repurchase Shares from
Shareholders quarterly. The Expiration Date will be a date set by the Board occurring no sooner than twenty (20) business
days after the commencement date of the repurchase offer and at least ten (10) business days from the date that notice of
an increase or decrease in the percentage of the securities being sought or consideration offered is first published, sent or
given to Shareholders. The Expiration Date may be extended by the
Fund
in its sole discretion. The Fund will not accept
any repurchase request received by it or its designated agent after the Expiration Date. The Board will consider the
following factors, among others, in making its determination:
◾ 
whether any Shareholders have requested to tender Shares to the Fund;
◾ 
the liquidity of the Fund’s assets;
◾ 
the investment plans and working capital requirements of the Fund;
◾ 
the relative economies of scale with respect to the size of the Fund;
◾ 
the history of the Fund in repurchasing Shares;
◾ 
the availability of information as to the value of the Fund’s assets;
◾ 
the anticipated tax consequences to the Fund of any proposed repurchases of Shares; and
◾ 
the economic condition of the
securities markets and the economy generally as well as political, national or
international developments or
current affairs
.
The Fund has the right to repurchase Shares from a Shareholder if the Board determines that the repurchase is in the
best interests of the Fund or upon the occurrence of certain events specified in the Fund’s Declaration of Trust.
The Fund will make repurchase offers, if any, to all of its Shareholders on the same terms. This practice may affect the
size of the Fund’s offers. Subject to the Fund’s investment restriction with respect to borrowings, the Fund may borrow
money or issue debt obligations to finance its repurchase obligations pursuant to any such repurchase offer.
Payment for repurchased Shares may require the Fund to liquidate a portion of its portfolio holdings earlier than the
Adviser would otherwise liquidate these holdings, which may result in losses, and may increase the Fund’s
portfolio turnover.
When Shares are repurchased by the Fund, Shareholders will generally receive cash distributions equal to the value of
the Shares repurchased. However, in the sole discretion of the Fund, the proceeds of repurchases of Shares may be paid by
the in-kind distribution of securities held by the Fund, or partly in cash and partly in-kind. The Fund does not expect to
distribute securities in-kind except in unusual circumstances, such as in the unlikely event that the Fund does not have
sufficient cash to pay for Shares that are repurchased or if making a cash payment would result in a material adverse effect
on the Fund or on Shareholders not tendering Shares for repurchase. See “Risk Factors
Illiquidity of Shares” and “Risk
Factors
Potential Consequences of Regular Repurchase Offers” for more information. Repurchases will be effective after
receipt of all eligible written tenders of Shares from Shareholders and acceptance by the Fund.
The Adviser will determine whether to attempt to liquidate investments that are illiquid or difficult to value (which may
cause the Fund to incur certain expenses in connection with the valuation or liquidation of such investments), hold it in the
Fund’s portfolio or distribute it to investors in the Fund in connection with a repurchase by the Fund.
A repurchase in kind is less liquid than a cash redemption. If a repurchase is made in kind, securities received may be
subject to market risk and the shareholder could incur taxable gains and brokerage or other charges in converting the
securities to cash.
Repurchase Procedures
Due to liquidity restraints associated with the Fund’s investments it is expected that, under the procedures applicable to
the repurchase of Shares, Shares will be valued as of the applicable Valuation Date, which will occur on or before the
Expiration Date. As a result, the Fund intends to hold a significant amount of cash or cash equivalents (the amount may
vary, but typically 5-15% of the Fund’s net asset value) to satisfy any potential repurchase requests. An allocation of cash
or cash equivalents above the amount of the outstanding repurchase offers also may be maintained to operate the Fund and
37

effect its investment program. When the Fund holds cash or cash equivalents, it is unable to invest those assets in other
investments consistent with its investment objective and investment strategies, and the Fund may receive less returns on
such cash and cash equivalents as compared to such other investments. Accordingly, the Fund’s performance may be
negatively impacted by holding cash or cash equivalents in such amounts. The Fund will repurchase Shares and remit the
repurchase price to Shareholders within five (5) business days after the Expiration Date.
As stated above, if a repurchase offer is oversubscribed by Shareholders who tender Shares for repurchase (and not
increased), the Fund may repurchase only a
pro rata
portion of the Shares tendered by each Shareholder.
Repurchases of Shares by the Fund are subject to Rule 13e-4 under the Exchange Act and will be made only in
accordance with such rule.
Additional Liquidity Information
: If a Shareholder submits Shares for repurchase by the Fund in accordance with the
tender offer procedures and the Fund has not repurchased all of those Shares within three years from the Valuation Date of
the applicable repurchase offer period, then the Fund will, in accordance with the terms of its Declaration of Trust, be
dissolved and liquidated.
Mandatory Repurchase by the Fund
The Declaration of Trust provides that the Fund may repurchase Shares of a Shareholder or any person acquiring Shares
from or through a shareholder under certain circumstances, including if: (i) ownership of the Shares by the Shareholder or
other person will cause the Fund to be in violation of certain laws; (ii) continued ownership of the Shares may adversely
affect the Fund; (iii) any of the representations and warranties made by a Shareholder in connection with the acquisition of
the Shares was not true when made or has ceased to be true; or (iv) it would be in the best interests of the Fund to
repurchase the Shares or a portion thereof. Notwithstanding the foregoing, involuntary repurchases will be conducted in
accordance with Rule 23c-2 under the 1940 Act. Shareholders whose Shares, or a portion thereof, are repurchased by the
Fund will not be entitled to a return of any amount of sales load, if any, that may have been charged in connection with the
Shareholder’s purchase of the Shares.
Distribution Arrangements
The Distributor acts as the distributor of Shares on a best effort basis, subject to various conditions, pursuant to the
terms of a General Distributor’s Agreement entered into with the Fund. Shares may be purchased through the Distributor
or through advisers, brokers, dealers or banks that have entered into selling agreements with the Distributor. The
Distributor maintains its principal office at 1001 Liberty Avenue, Pittsburgh, PA 15222-3779.
Shares are offered and may be purchased on a monthly basis, or at such other times as may be determined by the Board.
Neither the Distributor nor any other adviser, broker, dealer or bank is obligated to buy from the Fund any of the Shares.
The Distributor does not intend to make a market in Shares. To the extent consistent with applicable law, the Fund has
agreed to indemnify the Distributor and its affiliates and any brokers, advisers or banks and their affiliates that have
entered into selling agreements with the Distributor against certain liabilities.
Shares are being offered only to investors that meet all requirements to invest in the Fund. The minimum initial
investment in the Fund by an investor is $100,000, and the minimum additional investment in the Fund is $25,000. The
minimum investment may be modified by the Fund from time to time. Investors that are employees of the Adviser or its
affiliates are eligible to invest in Shares and may be subject to lower minimum investments than other investors.
The Fund is indirectly subject to a Financial Industry Regulatory Authority, Inc. (FINRA) cap on compensation paid to
FINRA member firms. The cap includes any sales load and distribution and servicing fee. The maximum compensation
payable to all FINRA member firms (in the aggregate) participating in the Fund’s distribution will comply with FINRA
Rule 2341.
All investor funds for this closing of the sale of Shares and for closings of subsequent offerings will be deposited in an
escrow account maintained by an escrow agent for the benefit of the investors. Funds held in the escrow account will not
earn interest.
Custodian and Transfer Agent
State Street Bank & Trust Company is the custodian of the Fund and will maintain custody of the securities and cash of
the Fund. State Street Bank & Trust Company maintains the Fund’s general ledger and computes net asset value per
share daily.
SS&C GIDS, Inc. is the transfer agent and dividend disbursing agent of the Fund.
38

Legal Opinions
Certain legal matters in connection with the Shares will be passed upon for the Fund by K&L Gates LLP,
Boston, Massachusetts.
Reports To Shareholders
The Fund will send to Shareholders unaudited semi-annual and audited annual reports, including a list of
investments held.
Independent Registered Public Accounting Firm
KPMG LLP is the independent registered public accounting firm for the Fund and will audit the Fund’s
financial statements.
39

Additional Information
The Prospectus and the Statement of Additional Information do not contain all of the information set forth in the
Registration Statement that the Fund has filed with the Securities Exchange Commission. The complete Registration
Statement may be obtained from the Securities Exchange Commission upon payment of the fee prescribed by its rules and
regulations. The Statement of Additional Information can be obtained without charge by calling 1-855-328-0109.
Statements contained in this prospectus as to the contents of any contract or other documents referred to are not
necessarily complete, and, in each instance, reference is made to the copy of such contract or other document filed as an
exhibit to the Registration Statement of which this prospectus forms a part, each such statement being qualified in all
respects by such reference.
AUTHORIZED SHARES
As of the date of this Prospectus, there is only a single class of Shares authorized as follows:
(1)
Title of Class
(2)
Amount Authorized
(3)
Amount held by the Fund
or for its Account
(4)
Amount Outstanding
Exclusive of Amount
Shown Under (3)
Common
Unlimited
N/A
122,916,329.78
SPECIAL PROVISION FOR ABANDONED OR UNCLAIMED PROPERTY
Certain states, including the State of Texas, have laws that allow shareholders to designate a representative to receive
abandoned or unclaimed property (“escheatment”) notifications by completing and submitting a designation form that
generally can be found on the official state website. If a shareholder resides in an applicable state and elects to designate a
representative to receive escheatment notifications, escheatment notices generally will be delivered as required by such
state laws, including, as applicable, to both the shareholder and the designated representative. A completed designation
form may be mailed to the Fund (if Shares are held directly with the Fund) or to the shareholder’s financial intermediary
(if Shares are not held directly with the Fund). Shareholders should refer to relevant state law for the shareholder’s specific
rights and responsibilities under his or her state’s escheatment law(s), which can generally be found on a state’s
official website.
40

Appendix A: Hypothetical Investment and Expense Information
The following chart provides additional hypothetical information about the effect of the Fund’s expenses, including
investment advisory fees and other Fund costs, on the Fund’s assumed returns over a 10-year period. The chart shows the
estimated expenses that would be incurred in respect of a hypothetical investment of $1,000, assuming a 5% return each
year, and no repurchase of Shares. The chart also assumes that the Fund’s annual expense ratio stays the same throughout
the 10-year period and that all dividends and distributions are reinvested. The annual expense ratio used in the chart is the
same as stated in the “Summary of Fund Expenses” table of this Prospectus (and thus does not reflect any fee waiver or
expense reimbursement currently in effect). Fund returns, as well as fees and expenses, may fluctuate over time, and your
actual investment returns and total expenses may be higher or lower than those shown below.
FEDERATED HERMES PROJECT AND TRADE FINANCE
TENDER FUND
 
 
 
 
 
ANNUAL EXPENSE RATIO: 0.65%
 
 
 
 
 
MAXIMUM FRONT-END SALES CHARGE: NONE
 
 
 
 
 
Year
Hypothetical
Beginning
Investment
Hypothetical
Performance
Earnings
Investment
After
Returns
Hypothetical
Expenses
Hypothetical
Ending
Investment
1
$1,000.00
$50.00
$1,050.00
$6.64
$1,043.50
2
$1,043.50
$52.18
$1,095.68
$6.93
$1,088.89
3
$1,088.89
$54.44
$1,143.33
$7.23
$1,136.26
4
$1,136.26
$56.81
$1,193.07
$7.55
$1,185.69
5
$1,185.69
$59.28
$1,244.97
$7.87
$1,237.27
6
$1,237.27
$61.86
$1,299.13
$8.22
$1,291.09
7
$1,291.09
$64.55
$1,355.64
$8.57
$1,347.25
8
$1,347.25
$67.36
$1,414.61
$8.95
$1,405.86
9
$1,405.86
$70.29
$1,476.15
$9.34
$1,467.01
10
$1,467.01
$73.35
$1,540.36
$9.74
$1,530.82
Cumulative
 
$610.12
 
$81.04
 
41

Federated Hermes Project and Trade Finance Tender Fund

Federated Hermes Funds

4000 Ericsson Drive

Warrendale, PA 15086-7561
Contact us at
 
FederatedHermes.com/us

or call 1-855-328-0109.
CUSIP 31424D104
Q453200 (
5
/
24
)
©
 
2024
Federated Hermes, Inc.


Statement of Additional Information
May 31
,
2024
 
 
 
 
 

Federated Hermes Project and Trade Finance
Tender Fund

This Statement of Additional Information (SAI) is not a Prospectus and is authorized for distribution to prospective investors only if
preceded or accompanied by the Prospectus of Federated Hermes Project and Trade Finance Tender Fund dated
May 31
,
2024
, as
supplemented from time to time, which is incorporated herein by reference. This SAI should be read in conjunction with such
prospectus, a copy of which may be obtained without charge by contacting your financial intermediary or calling the fund
at 1-855-328-0109.
Federated Hermes Project and Trade
Finance Tender Fund

Federated Hermes Funds

4000 Ericsson Drive

Warrendale, PA 15086-7561
Contact us at
FederatedHermes.com/us

or call 1-855-328-0109.
Federated Securities Corp., Distributor
Q453203 (
05
/
24
)
©
 
2024
Federated Hermes, Inc.

Capitalized terms used in this SAI and not otherwise defined have the meanings given to them in the Fund’s Prospectus.
Investment Strategy
Primary investment strategies are described in the Prospectus. The following is a description of the various additional
investment policies that may be engaged in, whether as a primary or secondary strategy, and a summary of certain attendant
risks. The Adviser may not buy any of the following instruments or use any of the following techniques unless it believes that
doing so will help to achieve the Fund’s investment objective.
The Fund may invest in equity securities, including common stocks, warrants, or rights. Additionally, the Fund may hold
equity interests acquired in conjunction with investments in bonds, loans or other similar instruments of the same or a related
issuer, which may include equity interests embedded in or attached to such instrument, equity interests that are separate
investments in which the Fund has the ability to invest by virtue of its ownership in such instrument of the same or a related
issuer, and equity interests received in respect of ownership of such instrument in connection with a financial restructuring or
reorganization. Such investments may include, among other equity interests, common and preferred stock, warrants and stock
participation rights.
Investments, Techniques, Risks and Limitations
The principal securities or other investments in which the Fund invests are described in the Fund’s Prospectus. The Fund also
may invest in securities or other investments as non-principal investments for any purpose that is consistent with its investment
objective. The following information is either additional information in respect of a principal security or other investment
referenced in the Prospectus or information in respect of a non-principal security or other investment in which case there is no
related disclosure in the Prospectus.
Securities Descriptions and Techniques
EQUITY SECURITIES
Equity securities represent a share of an issuer’s earnings and assets, after the issuer pays its liabilities. The Fund cannot
predict the income it will receive from equity securities because issuers generally have discretion as to the payment of any
dividends or distributions. However, equity securities offer greater potential for appreciation than many other types of securities,
because their value increases directly with the value of the issuer’s business. The following describes the types of equity
securities in which the Fund invests.
Common Stocks
Common stocks are the most prevalent type of equity security. Common stocks receive the issuer’s earnings after the issuer
pays its creditors and any preferred stockholders. As a result, changes in an issuer’s earnings directly influence the value of its
common stock.
Preferred Stocks
Preferred stocks have the right to receive specified dividends or distributions before the issuer makes payments on its common
stock. Some preferred stocks also participate in dividends and distributions paid on common stock. Preferred stocks may also
permit the issuer to redeem the stock. The Fund may also treat such redeemable preferred stock as a fixed-income security.
Interests in Other Limited Liability Companies
Entities such as limited partnerships, limited liability companies, business trusts and companies organized outside the United
States may issue securities comparable to common or preferred stock.
Real Estate Investment Trusts (REITs)
REITs are real estate investment trusts (including foreign REITS and REIT-like entities) that lease, operate and finance
commercial real estate. REITs in the United States are exempt from federal corporate income tax if they limit their operations and
distribute most of their income. Such tax requirements limit a U.S. REIT’s ability to respond to changes in the commercial real
estate market.
1

Warrants
Warrants give the Fund the option to buy the issuer’s equity securities at a specified price (the “exercise price”) at a specified
future date (the “expiration date”). The Fund may buy the designated securities by paying the exercise price before the expiration
date. Warrants may become worthless if the price of the stock does not rise above the exercise price by the expiration date. This
increases the market risks of warrants as compared to the underlying security. Rights are the same as warrants, except companies
typically issue rights to existing stockholders.
Fixed-Income Securities
Fixed-income securities pay interest, dividends or distributions at a specified rate. The rate may be a fixed percentage of the
principal or may be adjusted periodically. In addition, the issuer of a fixed-income security must repay the principal amount of
the security, normally within a specified time. Fixed-income securities provide more regular income than equity securities.
However, the returns on fixed-income securities are limited and normally do not increase with the issuer’s earnings. This limits
the potential appreciation of fixed-income securities as compared to equity securities.
A security’s yield measures the annual income earned on a security as a percentage of its price. A security’s yield will increase
or decrease depending upon whether it costs less (a “discount”) or more (a “premium”) than the principal amount. If the issuer
may redeem the security before its scheduled maturity, the price and yield on a discount or premium security may change based
upon the probability of an early redemption. Securities with higher risks generally have higher yields.
The following describes the types of fixed-income securities in which the Fund invests. This information is either additional
information in respect of a principal security referenced in the Prospectus or information in respect of a non-principal security (in
which case there is no related disclosure in the Prospectus).
Mortgage-Backed Securities (MBS) (A Fixed-Income Security)
An MBS is a type of pass-through security, which is a pooled debt obligation repackaged as interests that pass principal and
interest through an intermediary to investors. In the case of MBS, the ownership interest are issued by a trust and represent
participation interests in pools of adjustable and fixed-rate mortgage loans. MBS are most commonly issued or guaranteed by the
U.S. government (or one of its agencies or instrumentalities) (“agency MBS”), but also may be issued or guaranteed by private
entities (“non-agency MBS”). Unlike conventional debt obligations, MBS provide monthly payments derived from the monthly
interest and principal payments (including any prepayments) made by the individual borrowers on the pooled mortgage loans.
Most MBS make these payments monthly; however, certain MBS are backed by mortgage loans which do not generate monthly
payments but rather generate payments less frequently.
The mortgage loan collateral for non-agency MBS consists of residential mortgage loans that do not conform to GSEs
underwriting guidelines. Non-agency MBS generally offer a higher yield than agency MBS because there are no direct or indirect
government guarantees of payment.
The non-agency and agency MBS acquired by the Fund could be secured by fixed-rate mortgages, adjustable-rate mortgages
or hybrid adjustable-rate mortgages. Adjustable-rate mortgages are mortgages whose interest rates are periodically reset when
market rates change. A hybrid adjustable-rate mortgage (“hybrid ARM”) is a type of mortgage in which the interest rate is fixed
for a specified period and then resets periodically, or floats, for the remaining mortgage term. Hybrid ARMs are usually referred
to by their fixed and floating periods. For example, a “5/1 ARM” refers to a mortgage with a five-year fixed interest rate period,
followed by 25 annual interest rate adjustment periods.
DERIVATIVE CONTRACTS
Derivative contracts are financial instruments that derive their value from underlying securities, commodities, currencies,
indices or other assets or instruments, including other derivative contracts (each a “Reference Instrument” and collectively,
“Reference Instruments”). The most common types of derivative contracts are swaps, futures and options, and the major asset
classes include interest rates, equities, commodities and foreign exchange. Each party to a derivative contract may sometimes be
referred to as a “counterparty.” Some derivative contracts require payments relating to an actual, future trade involving the
Reference Instrument. These types of derivatives are frequently referred to as “physically settled” derivatives. Other derivative
contracts require payments relating to the income or returns from, or changes in the market value of, a Reference Instrument.
These types of derivatives are known as “cash settled” derivatives, since they require cash payments in lieu of delivery of the
Reference Instrument.
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Many derivative contracts are traded on exchanges. In these circumstances, the relevant exchange sets all the terms of the
contract except for the price. Parties to an exchange-traded derivative contract make payments through the exchange. Most
exchanges require traders to maintain margin accounts through their brokers to cover their potential obligations to the exchange.
Parties to the contract make or collect daily payments to the margin accounts to reflect losses (or gains), respectively, in the value
of their contracts. This protects traders against a potential default by their counterparty. Trading contracts on an exchange also
allows traders to hedge or mitigate certain risks or carry out more complex trading strategies by entering into offsetting contracts.
For example, the Fund could close out an open contract to buy an asset at a future date by entering into an offsetting contract
to sell the same asset on the same date. If the offsetting sale price is more than the original purchase price, the Fund realizes a
gain; if it is less, the Fund realizes a loss. Exchanges may limit the amount of open contracts permitted at any one time. Such
limits may prevent the Fund from closing out a position. If this happens, the Fund will be required to keep the contract open
(even if it is losing money on the contract), and to make any payments required under the contract (even if it has to sell portfolio
securities at unfavorable prices to do so). Inability to close out a contract could also harm the Fund by preventing it from
disposing of or trading any assets it has been using to secure its obligations under the contract.
The Fund may also trade derivative contracts over-the-counter (OTC), meaning off-exchange, in transactions negotiated
directly between the Fund and an eligible counterparty, which may be a financial institution. OTC contracts do not necessarily
have standard terms, so they may be less liquid and more difficult to close out than exchange-traded derivative contracts. In
addition, OTC contracts with more specialized terms may be more difficult to value than exchange-traded contracts, especially in
times of financial stress.
The market for swaps and other OTC derivatives was largely unregulated prior to the enactment of federal legislation known
as the Dodd-Frank Wall Street Reform and Consumer Protection Act (the “Dodd-Frank Act”). Regulations enacted by the
Commodity Futures Trading Commission (the “CFTC”) under the Dodd-Frank Act require the Fund to clear certain types of
swap contracts (including certain interest rate and credit default swaps) through a central clearinghouse known as a derivatives
clearing organization (DCO).
To clear a swap through a DCO, the Fund will submit the contract to, and post margin with, a futures commission merchant
(FCM) that is a clearinghouse member. The Fund may enter into the swap with a counterparty other than the FCM and arrange
for the contract to be transferred to the FCM for clearing or enter into the contract with the FCM itself. If the Fund must centrally
clear a transaction, the CFTC’s regulations also generally require that the swap be executed on a registered exchange (either a
designated contract market (DCM) or swap execution facility (SEF)). Central clearing is presently required only for certain
swaps; the CFTC is expected to impose a mandatory central clearing requirement for additional derivative instruments over time.
DCOs, DCMs, SEFs and FCMs are all subject to regulatory oversight by the CFTC. In addition, certain derivative market
participants that act as market makers, and engage in a significant amount of “dealing” activity are also required to register as
swap dealers with the CFTC. Among other things, swap dealers are subject to minimum capital requirements and business
conduct standards and must also post and collect initial and variation margin on uncleared swaps with certain of their
counterparties. Because of this, if the Fund enters into uncleared swaps with any swap dealers, it may be subject to initial and
variation margin requirements that could impact the Fund’s ability to enter into swaps in the OTC market, including making
transacting in uncleared swaps significantly more expensive.
At this point in time, most of the Dodd-Frank Act has been fully implemented, though a small number of remaining
rulemakings are unfinished or are subject to phase-in periods. Any future regulatory or legislative activity would not necessarily
have a direct, immediate effect upon the Fund, though it is within the realm of possibility that, upon implementation of these
measures or any future measures, they could potentially limit or completely restrict the ability of the Fund to use these
instruments as a part of its investment strategy, increase the costs of using these instruments or make them less effective.
Depending on how the Fund uses derivative contracts and the relationships between the market value of a derivative contract
and the Reference Instrument, derivative contracts may increase or decrease the Fund’s exposure to the risks of the Reference
Instrument and may also expose the Fund to liquidity and leverage risk. OTC contracts also expose the Fund to credit risk in the
event that a counterparty defaults on the contract, although this risk may be mitigated by submitting the contract for clearing
through a DCO, or certain other factors, such as collecting margin from the counterparty.
The Fund may invest in a derivative contract if it is permitted to own, invest in or otherwise have economic exposure to the
Reference Instrument. The Fund is not required to own a Reference Instrument in order to buy or sell a derivative contract
relating to that Reference Instrument. The Fund may trade in the following specific types and/or combinations of
derivative contracts:
3

Futures Contracts (A Type of Derivative)
Futures contracts provide for the future sale by one party and purchase by another party of a specified amount of a Reference
Instrument at a specified price, date and time. Entering into a contract to buy a Reference Instrument is commonly referred to as
buying a contract or holding a long position in the asset. Entering into a contract to sell a Reference Instrument is commonly
referred to as selling a contract or holding a short position in the Reference Instrument. Futures contracts are considered to be
commodity contracts. The Adviser has claimed an exclusion from the definition of the term “commodity pool operator” under the
Commodity Exchange Act with respect to the Fund and, therefore, is not subject to registration or regulation as a commodity
pool operator under the Act with respect to the Fund. Futures contracts traded OTC are frequently referred to as forward
contracts. The Fund can buy or sell financial futures (such as interest rate futures, index futures and security futures), as well as
currency futures and currency forward contracts.
Interest Rate Futures
An interest-rate futures contract is an exchange-traded contract for which the Reference Instrument is an interest-bearing fixed
income security or an inter-bank deposit. Two examples of common interest rate futures contracts are U.S. Treasury futures
contracts and Eurodollar futures contracts. The Reference Instrument for a U.S. Treasury futures contract is a U.S. Treasury
security. The Reference Instrument for a Eurodollar futures contract is the
Secured Overnight Financing
Rate (commonly
referred to as
SOFR
); Eurodollar futures contracts enable the purchaser to obtain a fixed rate for the lending of funds over a
stated period of time and the seller to obtain a fixed rate for a borrowing of funds over that same period.
Index Futures
An index futures contract is an exchange-traded contract to make or receive a payment based upon changes in the value of an
index. An index is a statistical composite that measures changes in the value of designated Reference Instruments within
the index.
Security Futures
A security futures contract is an exchange-traded contract to purchase or sell in the future a specific quantity of a security
(other than a Treasury security) or a narrow-based securities index at a certain price. Presently, the only available security futures
contracts use shares of a single equity security as the Reference Instrument. However, it is possible that in the future security
futures contracts will be developed that use a single fixed-income security as the Reference Instrument.
Currency Futures and Currency Forward Contracts
A currency futures contract is an exchange-traded contract to buy or sell a particular currency at a specific price at some time
in the future (commonly three months or more). A currency forward contract is not an exchange-traded contract and represents an
obligation to purchase or sell a specific currency at a future date, at a price set at the time of the contract and for a period agreed
upon by the parties which may be either a window of time or a fixed number of days from the date of the contract. Currency
futures and forward contracts are highly volatile, with a relatively small price movement potentially resulting in substantial gains
or losses to the Fund. Additionally, the Fund may lose money on currency futures and forward contracts if changes in currency
rates do not occur as anticipated or if the Fund’s counterparty to the contract were to default.
Option Contracts (A Type of Derivative)
Option contracts (also called “options”) are rights to buy or sell a Reference Instrument for a specified price (the “exercise
price”) during, or at the end of, a specified period. The seller (or “writer”) of the option receives a payment, or premium, from the
buyer, which the writer keeps regardless of whether the buyer uses (or exercises) the option. Options may be bought or sold on a
wide variety of Reference Instruments. Options that are written on futures contracts will be subject to margin requirements
similar to those applied to futures contracts.
The Fund may buy and/or sell the following types of options:
CALL OPTIONS
A call option gives the holder (buyer) the right to buy the Reference Instrument from the seller (writer) of the option. The Fund
may use call options in the following ways:
◾ 
Buy call options on a Reference Instrument in anticipation of an increase in the value of the Reference Instrument; and
◾ 
Write call options on a Reference Instrument to generate income from premiums, and in anticipation of a decrease or only
limited increase in the value of the Reference Instrument. If the Fund writes a call option on a Reference Instrument that it
owns and that call option is exercised, the Fund foregoes any possible profit from an increase in the market price of the
Reference Instrument over the exercise price plus the premium received.
4

Put Options
A put option gives the holder the right to sell the Reference Instrument to the writer of the option. The Fund may use put
options in the following ways:
◾ 
Buy put options on a Reference Instrument in anticipation of a decrease in the value of the Reference Instrument; and
◾ 
Write put options on a Reference Instrument to generate income from premiums, and in anticipation of an increase or only
limited decrease in the value of the Reference Instrument. In writing puts, there is a risk that the Fund may be required to take
delivery of the Reference Instrument when its current market price is lower than the exercise price.
The Fund may also buy or write options, as needed, to close out existing option positions.
Finally, the Fund may enter into combinations of options contracts in an attempt to benefit from changes in the prices of those
options contracts (without regard to changes in the value of the Reference Instrument).
Swap Contracts (A Type of Derivative Contract)
A swap contract (also known as a “swap”) is a type of derivative contract in which two parties agree to pay each other (swap)
the returns derived from Reference Instruments. Most swaps do not involve the delivery of the underlying assets by either party,
and the parties might not own the Reference Instruments. The payments are usually made on a net basis so that, on any given
day, the Fund would receive (or pay) only the amount by which its payment under the contract is less than (or exceeds) the
amount of the other party’s payment. Swap agreements are sophisticated instruments that can take many different forms and are
known by a variety of names. Common swap agreements that the Fund may use include:
Interest Rate Swaps
Interest rate swaps are contracts in which one party agrees to make regular payments equal to a fixed or floating interest rate
times a stated principal amount (commonly referred to as a “notional principal amount”) in return for payments equal to a
different fixed or floating rate times the same principal amount, for a specific period.
Caps and Floors
Caps and Floors are contracts in which one party agrees to make payments only if an interest rate or index goes above (Cap) or
below (Floor) a certain level in return for a fee from the other party.
Total Return Swaps
A total return swap is an agreement between two parties whereby one party agrees to make payments of the total return from a
Reference Instrument (or a basket of such instruments) during the specified period, in return for payments equal to a fixed or
floating rate of interest or the total return from another Reference Instrument. Alternately, a total return swap can be structured so
that one party will make payments to the other party if the value of a Reference Instrument increases, but receive payments from
the other party if the value of that instrument decreases.
Credit Default Swaps
A credit default swap (CDS) is an agreement between two parties whereby one party (the “Protection Buyer”) agrees to make
payments over the term of the CDS to the other party (the “Protection Seller”), provided that no designated event of default,
restructuring or other credit related event (each a “Credit Event”) occurs with respect to Reference Instrument that is usually a
particular bond, loan or the unsecured credit of an issuer, in general (the “Reference Obligation”). Many CDS are physically
settled, which means that if a Credit Event occurs, the Protection Seller must pay the Protection Buyer the full notional value, or
“par value,” of the Reference Obligation in exchange for delivery by the Protection Buyer of the Reference Obligation or another
similar obligation issued by the issuer of the Reference Obligation (the “Deliverable Obligation”). The Counterparties agree to
the characteristics of the Deliverable Obligation at the time that they enter into the CDS. Alternately, a CDS can be “cash-settled,”
which means that upon the occurrence of a Credit Event, the Protection Buyer will receive a payment from the
Protection Seller equal to the difference between the par amount of the Reference Obligation and its market value at the time of
the Credit Event. The Fund may be either the Protection Buyer or the Protection Seller in a CDS. If the Fund is a Protection
Buyer and no Credit Event occurs, the Fund will lose its entire investment in the CDS (i.e., an amount equal to the payments
made to the Protection Seller over the term of the CDS). However, if a Credit Event occurs, the Fund (as Protection Buyer) will
deliver the Deliverable Obligation and receive a payment equal to the full notional value of the Reference Obligation, even
though the Reference Obligation may have little or no value. If the Fund is the Protection Seller and no Credit Event occurs, the
Fund will receive a fixed rate of income throughout the term of the CDS. However, if a Credit Event occurs, the Fund (as
5

Protection Seller) will pay the Protection Buyer the full notional value of the Reference Obligation and receive the Deliverable
Obligation from the Protection Buyer. A CDS may involve greater risks than if the Fund invested directly in the Reference
Obligation. For example, a CDS may increase credit risk since the Fund has exposure to both the issuer of the Reference
Obligation and the Counterparty to the CDS.
Currency Swaps
Currency swaps are contracts which provide for interest payments in different currencies. The parties might agree to exchange
the notional principal amounts of the currencies as well (commonly called a “foreign exchange swap”).
OTHER INVESTMENTS, TRANSACTIONS, TECHNIQUES
Repurchase Agreements
Repurchase agreements are transactions in which the Fund buys a security from a dealer or bank and agrees to sell the security
back at a mutually agreed upon time and price. The repurchase price exceeds the sale price, reflecting the Fund’s return on the
transaction. This return is unrelated to the interest rate on the underlying security. The Fund will enter into repurchase
agreements only with banks and other recognized financial institutions, such as securities dealers, deemed creditworthy by
the Adviser.
The Fund’s custodian or subcustodian will take possession of the securities subject to repurchase agreements. The Adviser or
subcustodian will monitor the value of the underlying security each day to ensure that the value of the security always equals or
exceeds the repurchase price.
Repurchase agreements are subject to credit risks.
Hybrid Instruments
Hybrid instruments combine elements of two different kinds of securities or financial instruments (such as a derivative
contract). Frequently, the value of a hybrid instrument is determined by reference to changes in the value of a Reference
Instrument (that is a designated security, commodity, currency, index, or other asset or instrument including a derivative
contract). Hybrid instruments can take on many forms including, but not limited to, the following forms. First, a common form of
a hybrid instrument combines elements of a derivative contract with those of another security (typically a fixed-income security).
In this case all or a portion of the interest or principal payable on a hybrid security is determined by reference to changes in the
price of a Reference Instrument. Second, a hybrid instrument may also combine elements of a fixed-income security and an
equity security. Third, hybrid instruments may include convertible securities with conversion terms related to a
Reference Instrument.
Depending on the type and terms of the hybrid instrument, its risks may reflect a combination of the risks of investing in the
Reference Instrument with the risks of investing in other securities, currencies and derivative contracts. Thus, an investment in a
hybrid instrument may entail significant risks in addition to those associated with traditional securities or the Reference
Instrument. Hybrid instruments are also potentially more volatile than traditional securities or the Reference Instrument.
Moreover, depending on the structure of the particular hybrid, it may expose the Fund to leverage risks or carry liquidity risks.
Credit Linked Note (A Type of Hybrid Instrument)
A credit linked note (CLN) is a type of hybrid instrument in which a special purpose entity issues a structured note (the “Note
Issuer”) with respect to which the Reference Instrument is a single bond, a portfolio of bonds, or the unsecured credit of an
issuer, in general (each a “Reference Credit”). The purchaser of the CLN (the “Note Purchaser”) invests a par amount and
receives a payment during the term of the CLN that equals a fixed or floating rate of interest equivalent to a high rated funded
asset (such as a bank certificate of deposit) plus an additional premium that relates to taking on the credit risk of the Reference
Credit. Upon maturity of the CLN, the Note Purchaser will receive a payment equal to: (i) the original par amount paid to the
Note Issuer, if there is no occurrence of a designated event of default, restructuring or other credit event (each a “Credit Event”)
with respect to the issuer of the Reference Credit; or (ii) the market value of the Reference Credit, if a Credit Event has occurred.
Depending upon the terms of the CLN, it is also possible that the Note Purchaser may be required to take physical delivery of the
Reference Credit in the event of a Credit Event. Most credit linked notes use a corporate bond (or a portfolio of corporate bonds)
as the Reference Credit. However, almost any type of fixed-income security (including foreign government securities), index or
derivative contract (such as a credit default swap) can be used as the Reference Credit.
6

Equity Linked Note (A Type of Hybrid Instrument)
An equity linked note (ELN) is a type of hybrid instrument that provides the noteholder with exposure to a single equity
security, a basket of equity securities, or an equity index (the “Reference Equity Instrument”). Typically, an ELN pays interest at
agreed rates over a specified time period and, at maturity, either converts into shares of a Reference Equity Instrument or returns
a payment to the noteholder based on the change in value of a Reference Equity Instrument.
Derivatives Regulation and Asset Coverage
The regulation of the U.S. and non-U.S. derivatives markets has undergone substantial change in recent years and such change
may continue. In addition, effective August 19, 2022, Rule 18f-4 (the “Derivatives Rule”) under the Investment Company Act of
1940, as amended (the “1940 Act”), replaced the asset segregation framework previously used by funds to comply with
limitations on leverage imposed by the 1940 Act. The Derivatives Rule generally mandates that a fund either limit derivatives
exposure to 10% or less of its net assets, or in the alternative implement: (i) limits on leverage calculated based value-at-risk
(VAR); and (ii) a written derivatives risk management program (DRMP) administered by a derivatives risk manager appointed
by the Fund’s Board, including a majority of the independent Board members, that is periodically reviewed by the Board.
In accordance with the requirements of Section 18 of the 1940 Act, any borrowings by the Fund will be made only to the
extent the value of its assets, less its liabilities other than borrowings, is equal to at least 300% of all of its borrowings (the “300%
Asset Coverage Ratio”). The Derivatives Rule permits the Fund to enter into reverse repurchase agreements and similar financing
transactions, notwithstanding limitations on the issuance of senior securities under Section 18 of the 1940 Act, provided that the
Fund either (i) treats these transactions as derivatives transactions under the Derivatives Rule, or (ii) ensures that the 300% Asset
Coverage Ratio with respect to such transactions and any other borrowings in the aggregate. While reverse repurchase
agreements or similar financing transactions aggregated with other indebtedness do not need to be included in the calculation of
whether a fund satisfies the Limited Derivatives Users exception, for funds subject to the VAR testing requirement, reverse
repurchase agreements and similar financing transactions must be included for purposes of such testing whether treated as
derivatives transactions or not. See “Borrowing Money and Issuing Senior Securities” and “Additional Information” below.
Hedging
Hedging transactions are intended to reduce specific risks. For example, to protect the Fund against circumstances that would
normally cause the Fund’s portfolio securities to decline in value, the Fund may buy or sell a derivative contract that would
normally increase in value under the same circumstances. The Fund may also attempt to hedge by using combinations of
different derivative contracts, or derivative contracts and securities. The Fund’s ability to hedge may be limited by the costs of
the derivative contracts. The Fund may attempt to lower the cost of hedging by entering into transactions that provide only
limited protection, including transactions that: (1) hedge only a portion of its portfolio; (2) use derivative contracts that cover a
narrow range of circumstances; or (3) involve the sale of derivative contracts with different terms. Consequently, hedging
transactions will not eliminate risk even if they work as intended. In addition, hedging strategies are not always successful, and
could result in increased expenses and losses to the Fund.
Investment Risks
There are many factors which may affect an investment in the Fund. The Fund’s principal risks are described in the
Prospectus. The following information is either additional information in respect of a principal risk factor referenced in the
Prospectus or information in respect of a non-principal risk factor applicable to the Fund (in which case there is no related
disclosure in the Prospectus).
EQUITY RISK
Equity risk is the risk that the value of securities held by the Fund will rise or fall over time. These fluctuations could be a
sustained trend or a drastic movement. Historically, the equity market has moved in cycles, and the value of the Fund’s equity
securities may fluctuate from day to day. The Fund’s portfolio will reflect changes in prices of individual portfolio stocks or
general changes in stock valuations. Consequently, the Fund’s Share price may decline. Although common stocks have
historically generated higher average returns than fixed-income securities over the long term, common stocks also have
experienced significantly more volatility in returns. An adverse event, such as an unfavorable earnings report, may depress the
value of equity securities of an issuer held by the Fund; the price of common stock of an issuer may be particularly sensitive to
general movements in the stock market; or a drop in the stock market may depress the price of most or all of the common stocks
held by the Fund. In addition, common stock of an issuer in the Fund’s portfolio may decline in price if the issuer fails to make
7

anticipated dividend payments because, among other possible reasons, the issuer of the security experiences a decline in its
financial condition. Furthermore, equity interests in an issuer held by the Fund may not be listed on public stock exchanges and
therefore subject to risks typical of privately held equity. Finally, common stock prices may be sensitive to rising interest rates, as
the costs of capital rise and borrowing costs increase.
The Adviser attempts to manage market risk by limiting the amount the Fund invests in each company’s equity securities.
However, diversification will not protect the Fund against widespread or prolonged declines in the stock market.
REAL ESTATE INVESTMENT TRUST (REIT) RISK
Real estate investment trusts (REITs), including foreign REITS and REIT-like entities are subject to risks associated with the
ownership of real estate. Some REITs experience market risk due to investment in a limited number of properties, in a narrow
geographic area, or in a single property type, which increases the risk that such REIT could be unfavorably affected by the poor
performance of a single investment or investment type. These companies are also sensitive to factors such as changes in real
estate values and property taxes, interest rates, cash flow of underlying real estate assets, supply and demand, and the
management skill and creditworthiness of the issuer. Borrowers could default on or sell investments that a REIT holds, which
could reduce the cash flow needed to make distributions to investors. In addition, REITs may also be affected by tax and
regulatory requirements impacting the REITs’ ability to qualify for preferential tax treatments or exemptions. REITs require
specialized management and pay management expenses. REITs also are subject to physical risks to real property, including
weather, natural disasters, terrorist attacks, war, or other events that destroy real property. Foreign REITS and REIT-like entities
can also be subject to currency risk, emerging market risk, limited public information, illiquid trading and the impact of
local laws.
REITs include equity REITs and mortgage REITs. Equity REITs may be affected by changes in the value of the underlying
property owned by the trusts, while mortgage REITs may be affected by the quality of any credit extended. Further, equity and
mortgage REITs are dependent upon management skills and generally may not be diversified. Equity and mortgage REITs are
also subject to heavy cash flow dependency, defaults by borrowers, and self-liquidations. In addition, equity and mortgage REITs
could possibly fail to qualify for tax-free pass-through of income under applicable tax laws or to maintain their exemptions from
registration under the 1940 Act. The above factors may also adversely affect a borrower’s or a lessee’s ability to meet its
obligations to the REIT. In the event of a default by a borrower or lessee, the REIT may experience delays in enforcing its rights
as a mortgagee or lessor and may incur substantial costs associated with protecting its investments. In addition, even many of the
larger REITs in the industry tend to be small to medium-sized companies in relation to the equity markets as a whole.
Effective for taxable years beginning after December 31, 2017, the Tax Cuts and Jobs Act generally allows individuals and
certain non-corporate entities, such as partnerships, a deduction for 20% of qualified REIT dividends. Related regulations allow a
RIC to pass the character of its qualified REIT dividends through to its shareholders provided certain holding period
requirements are met.
RISK OF INVESTING IN DERIVATIVE CONTRACTS AND HYBRID INSTRUMENTS
The Fund’s exposure to derivative contracts and hybrid instruments (either directly or through its investment in another
investment company) involves risks different from, or possibly greater than, the risks associated with investing directly in
securities and other traditional investments. First, changes in the value of the derivative contracts and hybrid instruments in
which the Fund invests may not be correlated with changes in the value of the underlying Reference Instruments or, if they are
correlated, may move in the opposite direction than originally anticipated. Second, while some strategies involving derivatives
may reduce the risk of loss, they may also reduce potential gains or, in some cases, result in losses by offsetting favorable price
movements in portfolio holdings. Third, there is a risk that derivative contracts and hybrid instruments may be erroneously priced
or improperly valued and, as a result, the Fund may need to make increased cash payments to the counterparty. Fourth, exposure
to derivative contracts and hybrid instruments may have tax consequences to the Fund and its shareholders. For example,
derivative contracts and hybrid instruments may cause the Fund to realize increased ordinary income or short-term capital gains
(which are treated as ordinary income for federal income tax purposes) and, as a result, may increase taxable distributions to
shareholders. In addition, under certain circumstances, certain derivative contracts and hybrid instruments may cause the Fund to:
(a) incur an excise tax on a portion of the income related to those contracts and instruments; and/or (b) reclassify, as a return of
capital, some or all of the distributions previously made to shareholders during the fiscal year as dividend income. Fifth, a
common provision in OTC derivative contracts permits the counterparty to terminate any such contract between it and the Fund,
if the value of the Fund’s total net assets declines below a specified level over a given time period. Factors that may contribute to
such a decline (which usually must be substantial) include significant shareholder redemptions and/or a marked decrease in the
market value of the Fund’s investments. Any such termination of the Fund’s OTC derivative contracts may adversely affect the
Fund (for example, by increasing losses and/or costs, and/or preventing the Fund from fully implementing its investment
strategies). Sixth, the Fund may use a derivative contract to benefit from a decline in the value of a Reference Instrument. If the
8

value of the Reference Instrument declines during the term of the contract, the Fund makes a profit on the difference (less any
payments the Fund is required to pay under the terms of the contract). Any such strategy involves risk. There is no assurance that
the Reference Instrument will decline in value during the term of the contract and make a profit for the Fund. The Reference
Instrument may instead appreciate in value creating a loss for the Fund. Seventh, a default or failure by a CCP or an FCM (also
sometimes called a “futures broker”), or the failure of a contract to be transferred from an Executing Dealer to the FCM for
clearing, may expose the Fund to losses, increase its costs, or prevent the Fund from entering or exiting derivative positions,
accessing margin or fully implementing its investment strategies. The central clearing of a derivative and trading of a contract
over a SEF could reduce the liquidity in, or increase costs of entering into or holding, any contracts. Finally, derivative contracts
and hybrid instruments may also involve other risks described herein or in the Fund’s Prospectus, such as interest rate, credit,
currency, liquidity and leverage risks.
Asset-Backed Securities (ABS) Risk
The value of asset-backed securities (ABS) may be affected by certain factors such as interest rate risk, the availability of
information concerning the pool of underlying assets and its structure, the creditworthiness of the servicing agent for the pool or
the originator of the underlying assets and the ability of the servicer to service the underlying collateral. Under certain market
conditions, ABS may be less liquid and may be difficult to value. Movements in interest rates (both increases and decreases) may
quickly and significantly reduce the value of certain types of ABS. Unscheduled prepayments of ABS may result in a loss of
income if the proceeds are invested in lower-yielding securities. Conversely, in a rising interest rate environment, a declining
prepayment rate will extend the average life of many ABS, which increases the risk of depreciation due to future increases in
market interest rates. ABS can also be subject to the risk of default on the underlying assets.
RISK ASSOCIATED WITH THE INVESTMENT ACTIVITIES OF OTHER ACCOUNTS
Investment decisions for the Fund are made independently from those of other accounts managed by the Adviser and accounts
managed by affiliates of the Adviser. Therefore, it is possible that investment-related actions taken by such other accounts could
adversely impact the Fund with respect to, for example, the value of Fund portfolio holdings, and/or prices paid to or received by
the Fund on its portfolio transactions, and/or the Fund’s ability to obtain or dispose of portfolio securities. Related considerations
are discussed elsewhere in this SAI under “Brokerage Transactions and Investment Allocation.”
REPURCHASES, MANDATORY REPURCHASES, AND TRANSFERS OF SHARES
Repurchase Offers
As discussed in the Prospectus, offers to repurchase Shares will be made by the Fund at such times and on such terms as may
be determined by the Board in its sole discretion in accordance with the provisions of applicable law. Currently the Fund
anticipates making quarterly tender offers. In determining whether the Fund should repurchase Shares from shareholders
pursuant to written tenders, the Board will consider various factors, including but not limited to those listed in the Prospectus, in
making its determinations.
The Board will cause the Fund to make offers to repurchase Shares from shareholders pursuant to written tenders only on
terms it determines to be fair to the Fund and to all shareholders or persons holding Shares acquired from shareholders. When the
Board determines that the Fund will repurchase Shares, notice will be provided to each shareholder describing the terms thereof,
and containing information shareholders should consider in deciding whether and how to participate in such repurchase
opportunity. Shareholders who are deciding whether to tender their Shares during the period that a repurchase offer is open may
ascertain an estimated net asset value at the latest valuation date of their Shares from the Fund during such period. If a repurchase
offer is oversubscribed by shareholders, the Fund will repurchase only a pro rata portion of the Shares tendered by each
shareholder. The potential for pro-ration may cause some shareholders to tender larger portions of their Shares for repurchase
than they otherwise would wish to have repurchased, which may adversely affect others wishing to participate in the tender.
Mandatory Repurchases
As noted in the Prospectus, the Fund has the right to repurchase Shares of a shareholder or any person acquiring Shares from
or through a shareholder under certain circumstances, provided that any mandatory repurchases will be conducted in accordance
with Rule 23c-2 under the 1940 Act. Such mandatory repurchases may be made if:
◾ 
Shares have been transferred or such Shares have vested in any person by operation of law as the result of the death,
dissolution, bankruptcy or incompetency of a shareholder; or
◾ 
ownership of Shares by a shareholder or other person will cause the Fund to be in violation of, or subject the Fund to
additional registration or regulation under, the securities, commodities or other laws of the United States or any other relevant
jurisdiction; or
9

◾ 
continued ownership of such Shares may be harmful or injurious to the business or reputation of the Fund or the Adviser, or
may subject the Fund or any shareholders to an undue risk of adverse tax or other fiscal consequences; or
◾ 
any of the representations and warranties made by a shareholder in connection with the acquisition of Shares was not true
when made or has ceased to be true; or
◾ 
it would be in the best interests of the Fund and shareholders to repurchase Shares.
GREATER CHINA RISK
Although larger and/or more established than many emerging markets, the markets of the Greater China region function in
many ways as emerging markets, and carry the high levels of risks associated with emerging markets. Direct investments in, or
indirect exposure to, the Greater China region may be subject to the risks associated with trading on less-developed trading
markets, in addition to acute political risks such as possible negative repercussions resulting from China’s relationship with
Taiwan or Hong Kong, restrictions on monetary repatriation, or other adverse government actions. The attitude of the Chinese
government toward growth and capitalism is uncertain, and the markets of Hong Kong and China could be hurt significantly by
any government interference or any material change in government policy. For example, the Chinese government may restrict
investment in companies or industries considered important to national interests, or intervene in the financial markets, such as by
imposing trading restrictions, or banning or curtailing short selling. As export-driven economies, the economies of countries in
the Greater China region are affected by developments in the economies of their principal trading partners. A downturn in these
economies could slow or eliminate the growth of the economies of the Greater China region and adversely impact the
Fund’s investments.
COVENANT-LITE LOANS RISK
The Fund may invest in loans that may be “covenant lite.” This term typically refers to loans that lack, or contain fewer or
contingent, financial maintenance covenants or other provisions intended to provide certain financial protections in favor of
lenders as compared to other types of loans. Financial maintenance covenants generally require a borrower to satisfy certain
financial metrics at regular intervals over the life of the loan. Loans that include financial maintenance covenants will typically
require the borrower to provide a calculation of its financial maintenance covenants and other related financial information on a
periodic basis, which permits the lender to monitor the borrower’s financial performance over time. The failure to satisfy a
financial maintenance covenant as of any required testing period will result in a default and permit the lender, in certain
circumstances, to exercise its rights and remedies against the borrower. Additionally, a lender may determine, based on a
borrower’s financial maintenance covenant calculations, that a borrower is experiencing financial distress or decline, which
typically permits the lender to engage in negotiations with the borrower or take other actions in order to mitigate losses.
Covenant-lite loans carry greater risks than loans with financial maintenance covenants because the borrower will generally
have more flexibility with respect to its activities, and the Fund or lender may receive less frequent or less detailed financial
reporting from the borrower and may experience greater delays and difficulties in enforcing its rights if the borrower’s financial
performance declines, which may result in losses to the Fund. For example, if a default occurs, covenant-lite loans may exhibit
diminished recovery values because the Fund or lender may not have had the opportunity to negotiate with the borrower prior to
the default and otherwise may have limited financial information or a limited ability to intervene or obtain concessions from a
borrower prior to default. Ultimately, these loans provide fewer protections in favor of the Fund, including with respect to the
possibility of default, as well as a more limited ability to declare a default. These risks are particularly acute during a downturn in
the credit cycle.
LIBOR Risk
Certain derivatives or debt securities, or other financial instruments in which the Fund may invest, have utilized the London
Interbank Offered Rate (LIBOR) as the reference or benchmark rate for interest rate calculations.
LIBOR is a measure of the average interest rate at which major global banks can borrow from one another. LIBOR has
historically been quoted in multiple currencies and tenors using data reported by a panel of private-sector banks. Following
allegations of rate manipulation in 2012 and concerns regarding its thin liquidity, the use of LIBOR came under increasing
pressure, and in July 2017, the UK Financial Conduct Authority (FCA), which regulates LIBOR, announced that it will stop
encouraging banks to provide the quotations needed to sustain LIBOR. The ICE Benchmark Administration Limited, the
administrator of LIBOR, ceased publishing most LIBOR tenors, including some USD LIBOR tenors, on December 31, 2021, and
ceased publishing the remaining and most liquid USD LIBOR tenors on June 30, 2023. As a result, many market participants
have transitioned to the use of alternative reference or benchmark rates prior to the applicable LIBOR publication cessation date.
10

Although regulators have encouraged the development and adoption of alternative rates, such as the Secured Overnight
Financing Rate (SOFR), the future of any particular replacement rate still remains uncertain. In addition, the FCA has announced
that it will require the publication of synthetic LIBOR for the one-month, three-month and six-month U.S. Dollar LIBOR settings
after June 30, 2023
,
through at least September 30, 2024.
While the transition away from LIBOR became increasingly well-defined in advance of the anticipated discontinuation
of LIBOR, the impact on certain debt securities, derivatives and other financial instruments has not been determined and may
remain uncertain for some time. Market participants have adopted alternative rates such as SOFR or have otherwise amended
certain legacy instruments referencing LIBOR to include fallback provisions and other measures that contemplate the
discontinuation of LIBOR or other similar market disruption events. However, neither the effect of the transition process nor the
viability of such measures is known. Further, uncertainty and risk remain regarding the willingness and ability of issuers and
lenders to include alternative rates and revised provisions in new and existing contracts or instruments. To facilitate the transition
of legacy derivatives contracts referencing LIBOR, the International Swaps and Derivatives Association, Inc. launched a protocol
to incorporate fallback provisions. However, there are obstacles to converting certain longer-term securities and transactions to a
new benchmark or benchmarks. For example, certain proposed replacement rates to LIBOR, such as SOFR, which is a broad
measure of secured overnight U.S. Treasury repo rates, or the Bloomberg Short-Term Bank Yield Index (BSBY), a proprietary
series of credit sensitive reference rates that incorporate bank credit spreads, are different from LIBOR, and changes in the
applicable spread for financial instruments that have transitioned away from LIBOR have been made to accommodate the
differences. In addition, regulators in foreign jurisdictions have proposed alternative replacement rates. Furthermore, the risks
associated with the transition to alternative rates may be exacerbated if the orderly transition to an alternative reference rate was
not completed in a timely manner.
The effectiveness of multiple alternative reference rates as opposed to one primary reference rate has not been determined.
The effectiveness of alternative reference rates used in new or existing financial instruments and products has also not yet been
determined. The utilization of an alternative reference rate, or the transition process to an alternative reference rate, may
adversely affect the Fund’s investment performance.
CYBERSECURITY AND OPERATIONAL RISK
Like other funds and business enterprises, Federated Hermes’ business relies on the security and reliability of information
and communications technology, systems and networks. Federated Hermes uses digital technology, including, for example,
networked systems, email and the Internet, as well as mobile devices and “cloud”-based service offerings, to conduct business
operations and engage clients, customers, employees, products, accounts, shareholders and relevant service providers, among
others. Federated Hermes, as well as its funds and certain service providers, also generate, compile and process information for
purposes of preparing and making filings or reports to governmental agencies, or providing reports or statements to customers,
and a cybersecurity attack or incident that impacts that information, or the generation and filing processes, can prevent required
regulatory filings and reports from being made, or reports or statements from being delivered, or cause the inadvertent release of
confidential information (possibly resulting in the violation of applicable privacy laws). The use of the Internet and other
electronic media and technology exposes the Fund, the Fund’s shareholders, and the Fund’s service providers, and their
respective operations, to potential risks from cybersecurity attacks or incidents (collectively, “cyber-events”). The work-from-home
environment necessitated by the novel coronavirus (“COVID-19”) pandemic has increased the risk of cyber incidents given
the increase in cyber attack surface stemming from the use of personal devices and non-office or personal technology.
Cyber-events can result from intentional (or deliberate) attacks or unintentional events by insiders (e.g., employees) or third
parties, including cybercriminals, competitors, nation-states and “hacktivists,” among others. Cyber-events can include, for
example, phishing, credential harvesting or use of stolen access credentials, unauthorized access to systems, networks or devices
(such as, for example, through “hacking” activity), structured query language attacks, infection from or spread of malware,
ransomware, computer viruses or other malicious software code, corruption of data, exfiltration of data to malicious sites, the
dark web or other locations or threat actors, and attacks (including, but not limited to, denial of service attacks on websites)
which shut down, disable, slow, impair or otherwise disrupt operations, business processes, technology, connectivity or website
or Internet access, functionality or performance. Like other funds and business enterprises, the Fund and its service providers
have experienced, and will continue to experience, cyber-events on a daily basis. In addition to intentional cyber-events,
unintentional cyber-events can occur, such as, for example, the inadvertent release of confidential information. Cyber-events can
also be carried out in a manner that does not require gaining unauthorized access, such as causing denial-of-service attacks on the
service providers’ systems or websites rendering them unavailable to intended users or via “ransomware” that renders the
systems inoperable until appropriate actions are taken. To date, cyber-events have not had a material adverse effect on the Fund’s
business operations or performance.
11

Cyber-events can affect, potentially in a material way, Federated Hermes’ relationships with its customers, employees,
products, accounts, shareholders and relevant service providers. Any cyber-event could adversely impact the Fund and its
shareholders and cause the Fund to incur financial loss and expense, as well as face exposure to regulatory penalties, reputational
damage, damage to employee perceptions of the company, and additional compliance costs associated with corrective measures
and credit monitoring for impacted individuals. A cyber-event can cause the Fund, or its service providers, to lose proprietary
information, suffer data corruption, lose operational capacity (such as, for example, the loss of the ability to process transactions,
generate or make filings or deliver reports or statements, calculate the Fund’s NAV, or allow shareholders to transact business or
other disruptions to operations), and/or fail to comply with applicable privacy and other laws. Among other potentially harmful
effects, cyber-events also can result in theft, unauthorized monitoring and failures in the physical infrastructure or operating
systems that support the Fund and its service providers. In addition, cyber-events affecting issuers in which the Fund invests
could cause the Fund’s investments to lose value.
The Fund’s Adviser and its relevant affiliates have established risk management systems reasonably designed to seek to reduce
the risks associated with cyber-events. The Fund’s Adviser employs various measures aimed at mitigating cybersecurity risk,
including, among others, use of firewalls, system segmentation, system monitoring, virus scanning, periodic penetration testing,
employee phishing training and an employee cybersecurity awareness campaign. Among other service provider management
efforts, Federated Hermes also conducts due diligence on key service providers relating to cybersecurity. Federated Hermes has
established a committee to oversee Federated Hermes’ information security and data governance efforts, and updates on
cyber-events and risks are reviewed with relevant committees, as well as Federated Hermes’ and the Fund’s Boards of Directors
or Trustees (or a committee thereof), on a periodic (generally quarterly) basis (and more frequently when circumstances warrant)
as part of risk management oversight responsibilities. However, there is no guarantee that the efforts of Federated Hermes, the
Fund’s Adviser or its affiliates, or other service providers, will succeed, either entirely or partially as there are limits on
Federated Hermes’ and the Fund’s ability to prevent, detect or mitigate cyber-events. Among other reasons, the cybersecurity
landscape is constantly evolving, the nature of malicious cyber-events is becoming increasingly sophisticated and the Fund’s
Adviser, and its relevant affiliates, cannot control the cyber systems and cybersecurity systems of issuers or third-party
service providers.
The Fund can be exposed to operational risk arising from a number of factors, including, but not limited to, human error,
processing and communication errors, errors of the Fund’s service providers, counterparties, or other third parties, failed or
inadequate processes and technology or system failures. In addition, other disruptive events, including, but not limited to, natural
disasters and public health crises (such as the COVID-19 pandemic), can adversely affect the Fund’s ability to conduct business,
in particular if the Fund’s employees or the employees of its service providers are unable or unwilling to perform their
responsibilities as a result of any such event. Even if the Fund’s employees and the employees of its service providers are able to
work remotely, those remote work arrangements could result in the Fund’s business operations being less efficient than under
normal circumstances, could lead to delays in its processing of transactions, and could increase the risk of cyber-events.
Investment Restrictions
Investment Objective
The investment objective of the Fund is to provide total return primarily from income. The Fund’s investment objective is
non-fundamental, meaning that it can be changed by the Board of Trustees without Shareholder approval. The Fund pursues its
investment objective primarily by investing in trade finance, structured trade, export finance, import finance, supply chain
financing and project finance assets of entities, including sovereign entities (“trade finance related securities”). Trade finance
related securities
primarily
will be located
in, or have exposure to, global emerging markets.
Investment LIMITATIONS
Borrowing Money and Issuing Senior Securities
The Fund may borrow money, directly or indirectly, and issue senior securities to the maximum extent permitted under the
1940 Act, any rule or order thereunder, or any Staff interpretation thereof.
Investing in Real Estate
The Fund may not purchase or sell real estate, provided that this restriction does not prevent the Fund from investing in issuers
which invest, deal, or otherwise engage in transactions in real estate or interests therein, or investing in securities that are secured
by real estate or interests therein. The Fund may exercise its rights under agreements relating to such securities, including the
right to enforce security interests and to hold real estate acquired by reason of such enforcement until that real estate can be
liquidated in an orderly manner.
12

Investing in Commodities
The Fund may not purchase or sell physical commodities, provided that the Fund may purchase securities of companies that
deal in commodities. For purposes of this restriction, investments in transactions involving futures contracts and options, forward
currency contracts, swap transactions and other financial contracts that settle by payment of cash are not deemed to be
investments in commodities. The Fund may exercise its rights under agreements relating to such instruments, including the right
to enforce security interests and to hold commodities acquired by reason of such enforcement until the commodities can be
liquidated in an orderly manner.
Underwriting
The Fund may not underwrite the securities of other issuers, except that the Fund may engage in transactions involving the
acquisition, disposition or resale of its portfolio securities, under circumstances where it may be considered to be an underwriter
under the Securities Act of 1933, as amended.
Lending
The Fund may not make loans to other persons, except by: (a) the acquisition of loans, loan interests, debt securities and other
obligations in which the Fund is authorized to invest in accordance with its investment objectives and policies; (b) entering into
repurchase agreements; and (c) lending its portfolio securities.
Concentration
The Fund will not make investments that will result in the concentration of its investments in the securities of issuers primarily
engaged in the same industry or group of industries. For purposes of this restriction, the term concentration has the meaning set
forth in the 1940 Act, any rule or order thereunder, or any Staff interpretation thereof. Government securities and municipal
securities will not be deemed to constitute an industry.
The above limitations are fundamental and cannot be changed unless authorized by the Board and by the “vote of a
majority of the Fund’s outstanding voting securities,” as defined by the 1940 Act, which means the lesser of (a) 67% of
the shares of the Fund present or represented by proxy at a meeting if the holders of more than 50% of the outstanding
shares are present or represented at the meeting or (b) more than 50% of outstanding shares of the Fund. The following
limitations, however, may be changed by the Board without shareholder approval. Shareholders will be notified before
any material change in these limitations becomes effective.
Purchases on Margin
The Fund will not purchase securities on margin, provided that the Fund may obtain short-term credits necessary for the
clearance of purchases and sales of securities, and further provided that the Fund may make margin deposits in connection with
its use of financial options and futures, forward and spot currency contracts, swap transactions and other financial contracts or
derivative instruments.
Pledging Assets
The Fund will not mortgage, pledge, or hypothecate any of its assets, provided that this shall not apply to the transfer of
securities in connection with any permissible borrowing or to collateral arrangements in connection with permissible activities.
APPLICATION OF CONCENTRATION RESTRICTION
In applying the Fund’s concentration restriction: (a) utility companies will be divided according to their services, for example,
gas, gas transmission, electric and telephone will each be considered a separate industry; (b) financial service companies will be
classified according to the end users of their services, for example, automobile finance, bank finance and diversified finance will
each be considered a separate industry; (c) asset-backed securities will be classified according to the underlying assets securing
such securities; and (d) municipal securities shall exclude private activity municipal debt securities, which are principally backed
by the assets and revenues of the non-governmental user of the funds generated by securities issuance.
Additional Information
To conform to the current view of the Staff that only domestic bank deposit instruments may be excluded from industry
concentration limitations, as a matter of non-fundamental policy, the Fund will not exclude foreign bank instruments from
industry concentration limitation tests so long as the policy of the SEC remains in effect. The investment of more than 25% of the
value of the Fund’s total assets in any one industry will constitute “concentration.”
For purposes of the above limitations, the Fund considers certificates of deposit and demand and time deposits issued by a
U.S. branch of a domestic bank or savings association having capital, surplus and undivided profits in excess of $100,000,000 at
the time of investment to be “cash items” and “bank instruments.” With respect to the “Borrowing Money and Issuing Senior
Securities” investment limitation, the 1940 Act currently requires that any indebtedness incurred by a closed-end investment
13

company have an asset coverage of at least 300% at the time of borrowing. In addition, the 1940 Act permits the Fund to issue
senior securities as follows: (i) preferred shares which immediately after issuance will have asset coverage of at least 200%,
(ii) indebtedness which immediately after issuance will have asset coverage of at least 300%, or (iii) the borrowings permitted
under the 1940 Act as described above. The 1940 Act currently defines “senior security” as any bond, debenture, note or similar
obligation or instrument constituting a security and evidencing indebtedness and any stock of a class having priority over any
other class as to distribution of assets or payment of dividends. Debt and equity securities issued by a closed-end investment
company meeting the foregoing asset coverage provisions are excluded from the general 1940 Act prohibition on the issuance of
senior securities.
Except with respect to borrowing money, if a percentage limitation is adhered to at the time of investment, a later increase or
decrease in percentage resulting from any change in value or net assets will not result in a violation of such limitation.
With respect to securities comprising 75% of the value of its total assets, the Fund will not purchase securities of any one
issuer (other than cash, cash items, securities issued or guaranteed by the government of the United States or its agencies or
instrumentalities and repurchase agreements collateralized by such U.S. government securities, and securities of other investment
companies) if, as a result, more than 5% of the value of its total assets would be invested in securities of that issuer, or the Fund
would own more than 10% of the outstanding voting securities of that issuer. Should the Fund determine to operate as a non-diversified
investment company in excess of these limits, it will first seek shareholder approval to do so.
In applying the concentration and diversification restrictions, each governmental subdivision, including states and the District
of Columbia, territories, possessions of the United States, or their political subdivisions, agencies, authorities, instrumentalities,
or similar entities, will be considered a separate issuer if its assets and revenues are separate from those of the governmental body
creating it and the security is backed only by its own assets and revenues. Industrial development bonds backed only by the assets
and revenues of a nongovernmental user are considered to be issued solely by that user. If in the case of an industrial
development bond or government-issued security, a governmental or some other entity guarantees the security, such guarantee
would be considered a separate security issued by the guarantor, subject to the same restrictions. The Fund considers certificates
of deposit and demand and time deposits issued by a U.S. branch of a domestic bank or savings association having capital,
surplus and undivided profits in excess of $100,000,000 at the time of investment to be “cash items” and “bank instruments.”
Management of the Fund
Board of Trustees
The Board is responsible for managing the Fund’s business affairs and for exercising all the Fund’s powers except those
reserved for the shareholders. The following tables give information about each Board member and the senior officers of the
Fund. Where required, the tables separately list Board members who are “interested persons” of the Fund (i.e., “Interested”
Board members) and those who are not (i.e., “Independent” Board members). Unless otherwise noted, the address of each person
listed is 1001 Liberty Avenue, Pittsburgh, PA 15222-3779. The address of all Independent Board members listed is
4000 Ericsson Drive, Warrendale, PA 15086-7561; Attention: Mutual Fund Board. As of December 31,
2023
, the Federated
Hermes Complex consisted of 33 investment companies (comprising
101
portfolios). Unless otherwise noted, each Officer is
elected annually. Unless otherwise noted, each Board member oversees all portfolios in the Federated Hermes Complex and
serves for an indefinite term.
As of
May 6
,
2024
, the Fund’s Board and Officers as a group owned less than 1% of the Fund’s outstanding Shares.
qualifications of Independent Trustees
Individual Trustee qualifications are noted in the “Independent Trustees Background and Compensation” chart. In addition, the
following characteristics are among those that were considered for each existing Trustee and will be considered for any
Nominee Trustee.
◾ 
Outstanding skills in disciplines deemed by the Independent Trustees to be particularly relevant to the role of Independent
Trustee and to the Federated Hermes funds, including legal, accounting, business management, the financial industry generally
and the investment industry particularly.
◾ 
Desire and availability to serve for a substantial period of time, taking into account the Board’s current mandatory retirement
age of 75 years.
◾ 
No conflicts which would interfere with qualifying as independent.
◾ 
Appropriate interpersonal skills to work effectively with other Independent Trustees.
◾ 
Understanding and appreciation of the important role occupied by Independent Trustees in the regulatory structure governing
regulated investment companies.
◾ 
Diversity of background.
14

Interested Trustees Background and Compensation
Name
Birth Date
Positions Held with Fund
Date Service Began
Principal Occupation(s) for Past Five Years,
Other Directorships Held and Previous Position(s)
Aggregate
Compensation
From Fund
(past fiscal year)
Total Compensation
From Fund and
Federated Hermes Complex
(past calendar year)
J. Christopher Donahue*
Birth Date: April 11, 1949
President and
Trustee
Indefinite Term
Began serving: August 2016
Principal Occupations:
Principal Executive Officer and President of certain
of the Funds in the Federated Hermes Complex; Director or Trustee of the
Funds in the Federated Hermes Complex; President, Chief Executive
Officer and Director, Federated Hermes, Inc.; Chairman and Trustee,
Federated Investment Management Company; Trustee, Federated
Investment Counseling; Chairman and Director, Federated Global
Investment Management Corp.; Chairman and Trustee, Federated Equity
Management Company of Pennsylvania; Trustee, Federated Shareholder
Services Company; Director, Federated Services Company.
Previous Positions:
President, Federated Investment Counseling; President
and Chief Executive Officer, Federated Investment Management Company,
Federated Global Investment Management Corp. and Passport
Research, Ltd.; Chairman, Passport Research, Ltd.
$0
$0
Thomas R. Donahue*
Birth Date: October 20,1958
Trustee
Indefinite Term
Began serving: August 2016
Principal Occupations:
Director or Trustee of certain funds in the
Federated Hermes Complex; Chief Financial Officer, Treasurer, Vice
President and Assistant Secretary, Federated Hermes, Inc.; Chairman and
Trustee, Federated Administrative Services; Chairman and Director,
Federated Administrative Services, Inc.; Trustee and Treasurer, Federated
Advisory Services Company; Director or Trustee and Treasurer, Federated
Equity Management Company of Pennsylvania, Federated Global
Investment Management Corp., Federated Investment Counseling, and
Federated Investment Management Company; Director, MDTA LLC;
Director, Executive Vice President and Assistant Secretary, Federated
Securities Corp.; Director or Trustee and Chairman, Federated Services
Company and Federated Shareholder Services Company; and Director and
President, FII Holdings, Inc.
Previous Positions:
Director, Federated Hermes, Inc.; Assistant Secretary,
Federated Investment Management Company, Federated Global
Investment Management Company and Passport Research, LTD; Treasurer,
Passport Research, LTD; Executive Vice President, Federated Securities
Corp.; and Treasurer, FII Holdings, Inc.
$0
$0
*
Family relationships and reasons for “interested” status: J. Christopher Donahue and Thomas R. Donahue are brothers. Both are “interested” due to their beneficial
ownership of shares of Federated Hermes, Inc. and the positions they hold with Federated Hermes, Inc. and its subsidiaries.
Independent Trustees Background, Qualifications and Compensation
 
Principal Occupation(s) for Past Five Years,
Other Directorships Held and Previous Position(s)
Aggregate
Compensation
From Fund
(past fiscal year)
Total Compensation
From Fund and
Federated Hermes Complex
(past calendar year)
John G. Carson
Birth Date: May 15, 1965
Trustee
Indefinite Term
Began serving: January 2024
Principal Occupations:
Director or Trustee of certain Funds in the
Federated Hermes Complex; Chief Executive Officer, Chief Investment
Officer, Northstar Asset Management (Financial Services); formerly Chief
Compliance Officer, Northstar Asset Management (Financial Services).
Other Directorships Held:
None.
Qualifications:
Mr. Carson has served in various business management
roles throughout his career. Mr. Carson was a Vice President at the
Glenmede Trust Company and a Managing Director at Oppenheimer &
Company. Prior to that he spent more than a decade with the Bank of
America/Merrill Lynch as a Director of Institutional Sales. Earlier on, Mr.
Carson held similar positions for Wertheim Schroder/Schroders PLC and
Drexel Burnham Lambert.
$314.33
$0
15

 
Principal Occupation(s) for Past Five Years,
Other Directorships Held and Previous Position(s)
Aggregate
Compensation
From Fund
(past fiscal year)
Total Compensation
From Fund and
Federated Hermes Complex
(past calendar year)
G. Thomas Hough
Birth Date: February 28,1955
TRUSTEE
Indefinite Term
Began serving: August 2016
Principal Occupations:
Director or Trustee and Chair of the Board of
Directors or Trustees of the Federated Hermes Complex; formerly, Vice
Chair, Ernst & Young LLP (public accounting firm) (Retired).
Other Directorships Held
: Director, Chair of the Audit Committee,
Member of the Compensation Committee, Equifax, Inc.; Lead Director,
Member of the Audit and Nominating and Corporate Governance
Committees, Haverty Furniture Companies, Inc.; formerly, Director,
Member of Governance and Compensation Committees, Publix Super
Markets, Inc.
Qualifications:
Mr. Hough has served in accounting, business management
and directorship positions throughout his career. Mr. Hough most recently
held the position of Americas Vice Chair of Assurance with Ernst &
Young LLP (public accounting firm). Mr. Hough serves on the President’s
Cabinet and Business School Board of Visitors for the University of
Alabama. Mr. Hough previously served on the Business School Board of
Visitors for Wake Forest University, and he previously served as an
Executive Committee member of the United States Golf Association.
$1,547.87
$365,000
Maureen Lally-Green
Birth Date: July 5, 1949
TRUSTEE
Indefinite Term
Began serving: August 2016
Principal Occupations:
Director or Trustee of the Federated Hermes
Complex; Adjunct Professor of Law, Emerita, Duquesne University School of
Law; formerly, Dean of the Duquesne University School of Law and
Professor of Law and Interim Dean of the Duquesne University School of
Law; formerly, Associate General Secretary and Director, Office of Church
Relations, Diocese of Pittsburgh.
Other Directorships Held:
Director, CNX Resources Corporation
(natural gas).
Qualifications:
Judge Lally-Green has served in various legal and business
roles and directorship positions throughout her career. Judge Lally-Green
previously held the position of Dean of the School of Law of Duquesne
University (as well as Interim Dean). Judge Lally-Green previously served as
Director of the Office of Church Relations and later as Associate General
Secretary for the Diocese of Pittsburgh, a member of the Superior Court of
Pennsylvania and as a Professor of Law, Duquesne University School of Law.
Judge Lally-Green was appointed by the Supreme Court of Pennsylvania
and previously served on the Supreme Court’s Board of Continuing Judicial
Education and the Supreme Court’s Appellate Court Procedural Rules
Committee. Judge Lally-Green was then appointed by the Supreme Court
of Pennsylvania and currently serves on the Judicial Ethics Advisory Board.
Judge Lally-Green also currently holds the positions on not for profit or for
profit boards of directors as follows: Director and Chair, UPMC Mercy
Hospital; Regent, Saint Vincent Seminary; Member, Pennsylvania State
Board of Education (public); Director, Catholic Charities, Pittsburgh; and
Director, CNX Resources Corporation (natural gas). Judge Lally-Green has
held the positions of: Director, Auberle; Director, Epilepsy Foundation of
Western and Central Pennsylvania; Director, Ireland Institute of Pittsburgh;
Director, Saint Thomas More Society; Director and Chair, Catholic High
Schools of the Diocese of Pittsburgh, Inc.; Director, Pennsylvania Bar
Institute; Director, Saint Vincent College; Director and Chair, North Catholic
High School, Inc.; Director and Vice Chair, Our Campaign for the Church
Alive!, Inc.; and Director and Vice Chair, Saint Francis University.
$1,383.09
$330,000
16

 
Principal Occupation(s) for Past Five Years,
Other Directorships Held and Previous Position(s)
Aggregate
Compensation
From Fund
(past fiscal year)
Total Compensation
From Fund and
Federated Hermes Complex
(past calendar year)
Thomas M. O’Neill
Birth Date: June 14, 1951
TRUSTEE
Indefinite Term
Began serving: August 2016
Principal Occupations:
Director or Trustee and Chair of the Audit
Committee of the Federated Hermes Complex; Sole Proprietor, Navigator
Management Company (investment and strategic consulting).
Other Directorships Held:
None.
Qualifications:
Mr. O’Neill has served in several business, mutual fund and
financial management roles and directorship positions throughout his
career. Mr. O’Neill serves as Director, Medicines for Humanity. Mr. O’Neill
previously served as Chief Executive Officer and President, Managing
Director and Chief Investment Officer, Fleet Investment Advisors; President
and Chief Executive Officer, Aeltus Investment Management, Inc.; General
Partner, Hellman, Jordan Management Co., Boston, MA; Chief Investment
Officer, The Putnam Companies, Boston, MA; Credit Analyst and Lending
Officer, Fleet Bank; Director and Consultant, EZE Castle Software
(investment order management software); Director, Midway Pacific
(lumber); and Director, The Golisano Children’s Museum of Naples, Florida.
$1,418.57
$330,000
Madelyn A. Reilly
Birth Date: February 2, 1956
Trustee
Indefinite Term
Began serving: November 2020
Principal Occupations:
Director or Trustee of the Federated Hermes
Complex; formerly, Executive Vice President for Legal Affairs, General
Counsel and Secretary of Board of Directors, Duquesne University (Retired).
Other Directorships Held:
None.
Qualifications:
Ms. Reilly has served in various business and legal
management roles throughout her career. Ms. Reilly previously served as
Senior Vice President for Legal Affairs, General Counsel and Secretary of
Board of Directors and Director of Risk Management and Associate General
Counsel, Duquesne University. Prior to her work at Duquesne University,
Ms. Reilly served as Assistant General Counsel of Compliance and
Enterprise Risk as well as Senior Counsel of Environment, Health and
Safety, PPG Industries. Ms. Reilly currently serves as a member of the Board
of Directors of UPMC Mercy Hospital and as a member of the Board of
Directors of Catholic Charities, Pittsburgh.
$1,257.36
$300,000
P. Jerome Richey
Birth Date: February 23, 1949
TRUSTEE
Indefinite Term
Began serving: August 2016
Principal Occupations:
Director or Trustee of the Federated Hermes
Complex; Retired; formerly, Senior Vice Chancellor and Chief Legal Officer,
University of Pittsburgh and Executive Vice President and Chief Legal
Officer, CONSOL Energy Inc. (split into two separate publicly traded
companies known as CONSOL Energy Inc. and CNX Resources Corp.).
Other Directorships Held:
None.
Qualifications:
Mr. Richey has served in several business and legal
management roles and directorship positions throughout his career.
Mr. Richey most recently held the positions of Senior Vice Chancellor and
Chief Legal Officer, University of Pittsburgh. Mr. Richey previously served as
Chairman of the Board, Epilepsy Foundation of Western Pennsylvania and
Chairman of the Board, World Affairs Council of Pittsburgh. Mr. Richey
previously served as Chief Legal Officer and Executive Vice President,
CONSOL Energy Inc. and CNX Gas Company; and Board Member, Ethics
Counsel and Shareholder, Buchanan Ingersoll & Rooney PC (a law firm).
$1,383.09
$330,000
John S. Walsh
Birth Date: November 28, 1957
Trustee
Indefinite Term
Began serving: August 2016
Principal Occupations:
Director or Trustee of the Federated Hermes
Complex; President and Director, Heat Wagon, Inc. (manufacturer of
construction temporary heaters); President and Director, Manufacturers
Products, Inc. (distributor of portable construction heaters); President,
Portable Heater Parts, a division of Manufacturers Products, Inc.
Other Directorships Held:
None.
Qualifications:
Mr. Walsh has served in several business management roles
and directorship positions throughout his career. Mr. Walsh previously
served as Vice President, Walsh & Kelly, Inc. (paving contractors).
$1,288.79
$300,000
17

OFFICERS*
Name
Birth Date
Positions Held with Fund
Date Service Began
Principal Occupation(s) and Previous Position(s)
Jeremy D. Boughton
Birth Date: September 29, 1976
TREASURER
Officer since: March 2024
Principal Occupations:
Principal Financial Officer and Treasurer of the Federated Hermes Complex; Senior Vice President,
Federated Administrative Services, Federated Administrative Services, Inc., Federated Advisory Services Company, Federated
Equity Management Company of Pennsylvania, Federated Global Investment Management Corp., Federated Investment
Counseling, Federated Investment Management Company and Federated MDTA, LLC. Formerly, Controller, Federated Hermes,
Inc. and Financial and Operations Principal for Federated Securities Corp. Mr. Boughton has received the Certified Public
Accountant designation.
Previous Positions:
Senior Vice President and Assistant Treasurer, Federated Investors Management Company; Treasurer,
Federated Investors Trust Company; Assistant Treasurer, Federated Administrative Services, Federated Administrative Services,
Inc., Federated Securities Corp., Federated Advisory Services Company, Federated Equity Management Company of
Pennsylvania, Federated Global Investment Management Corp., Federated Investment Counseling, Federated Investment
Management Company, Federated MDTA, LLC and Federated Hermes (UK) LLP, as well as other subsidiaries of Federated
Hermes, Inc.
Peter J. Germain
Birth Date: September 3, 1959
CHIEF LEGAL OFFICER,
SECRETARY and EXECUTIVE
VICE PRESIDENT
Officer since: November 2016
Principal Occupations:
Mr. Germain is Chief Legal Officer, Secretary and Executive Vice President of the Federated Hermes
Complex. He is General Counsel, Chief Legal Officer, Secretary and Executive Vice President, Federated Hermes, Inc.; Trustee
and Senior Vice President, Federated Investors Management Company; Trustee and President, Federated Administrative
Services; Director and President, Federated Administrative Services, Inc.; Director and Vice President, Federated Securities
Corp.; Director and Secretary, Federated Private Asset Management, Inc.; Secretary, Federated Shareholder Services Company;
and Secretary, Retirement Plan Service Company of America. Mr. Germain joined Federated Hermes, Inc. in 1984 and is a
member of the Pennsylvania Bar Association.
Previous Positions:
Deputy General Counsel, Special Counsel, Managing Director of Mutual Fund Services, Federated Hermes,
Inc.; Senior Vice President, Federated Services Company; and Senior Corporate Counsel, Federated Hermes, Inc.
Stephen Van Meter
Birth Date: June 5, 1975
CHIEF COMPLIANCE OFFICER
AND SENIOR VICE PRESIDENT
Officer since: June 2016
Principal Occupations:
Senior Vice President and Chief Compliance Officer of the Federated Hermes Complex; Vice President
and Chief Compliance Officer of Federated Hermes, Inc. and Chief Compliance Officer of certain of its subsidiaries.
Mr. Van Meter joined Federated Hermes in October 2011. He holds FINRA licenses under Series 3, 7, 24 and 66.
Previous Positions:
Mr. Van Meter previously held the position of Compliance Operating Officer, Federated Hermes, Inc. Prior to
joining Federated Hermes, Mr. Van Meter served at the United States Securities and Exchange Commission in the positions of
Senior Counsel, Office of Chief Counsel, Division of Investment Management and Senior Counsel, Division of Enforcement.
Robert J. Ostrowski
Birth Date: April 26, 1963
CHIEF INVESTMENT OFFICER
Officer since: November 2016
Principal Occupations:
Robert J. Ostrowski joined Federated Hermes, Inc. in 1987 as an Investment Analyst and became a
Portfolio Manager in 1990. He was named Chief Investment Officer of Federated Hermes, Inc. taxable fixed-income products in
2004 and also serves as a Senior Portfolio Manager. Mr. Ostrowski became an Executive Vice President of the Fund’s Adviser in
2009 and served as a Senior Vice President of the Fund’s Adviser from 1997 to 2009. Mr. Ostrowski has received the Chartered
Financial Analyst designation. He received his M.S. in Industrial Administration from Carnegie Mellon University.
Chris McGinley
Birth Date: July 28, 1978
VICE PRESIDENT
Officer since: November 2016
Portfolio Manager since:
December 2016
Principal Occupations:
Chris McGinley has been the Fund’s Portfolio Manager since December 2016. He is Vice President of the
Fund. Mr. McGinley joined Federated Hermes in 2004 as an associate research analyst in the international fixed-income
department. He became an Assistant Vice President of the Fund’s Adviser in 2005 and Vice President in 2013. Mr. McGinley
joined the Sub-Adviser in 2013. Mr. McGinley worked in Senator Rick Santorum’s office in 2001 and from 2002 to 2004 he served
as Legislative Correspondent for Senator Santorum. Mr. McGinley earned his B.S. and received his M.P.I.A. from the University
of Pittsburgh.
Ihab Salib
Birth Date: December 14, 1964
VICE PRESIDENT
Officer since: November 2016
Portfolio Manager since:
December 2016
Principal Occupations:
Ihab Salib has been the Fund’s Portfolio Manager since December 2016. He is Vice President of the Fund.
Mr. Salib joined Federated Hermes in April 1999 as a Senior Fixed-Income Trader/Assistant Vice President of the Fund’s Adviser.
In July 2000, he was named a Vice President of the Fund’s Adviser and in January 2007 he was named a Senior Vice President of
the Fund’s Adviser. He has served as a Portfolio Manager since January 2002. From January 1994 through March 1999, Mr. Salib
was employed as a Senior Global Fixed-Income Analyst with UBS Brinson, Inc. Mr. Salib received his B.A. with a major in
Economics from Stony Brook University.
Maarten Offeringa
Birth Date: February 1, 1976
Vice President
Officer since: August 2019
Portfolio Manager since: July 2019
Principal Occupations:
Maarten Offeringa has been the Fund’s Portfolio Manager since July 2019. He is Vice President of the
Fund. Mr. Offeringa joined Federated Hermes in 2018. Mr. Offeringa is responsible for providing research and advice on sector
allocation and security selection. He has worked in financial services since 2002; has worked in investment management since
2018; has managed investment portfolios since 2019. Previous associations: Director, Bank of America Merrill Lynch; Vice
President, J.P. Morgan. Education: MA, Vrije Universiteit Amsterdam.
Kazaur Rahman
Birth Date: November 30, 1982
Vice President
Officer since: August 2023
Portfolio Manager since: July 2023
Principal Occupations:
Kazaur Rahman has been the Fund’s Portfolio Manager since July 2023. He is Vice President of the Fund.
Mr. Rahman joined Federated Hermes in 2019. Mr. Rahman is responsible for providing research and advice on sector allocation
and security selection. He has worked in financial services since 2005; has worked in investment management since 2019; has
managed investment portfolios since 2023. Previous associations include roles with: Deutsche Bank; VTB Capital; Bank of
America; PricewaterhouseCoopers (PwC). Education: BSc, University of London.
*
Officers do not receive any compensation from the Fund.
In addition, the Fund has appointed an Anti-Money Laundering Compliance Officer.
18

BOARD LEADERSHIP STRUCTURE
As required under the terms of certain regulatory settlements, the Chairman of the Board is not an interested person of the
Fund and neither the Chairman, nor any firm with which the Chairman is affiliated, has a prior relationship with Federated
Hermes or its affiliates or (other than his position as a Trustee) with the Fund.
DIRECTOR/TRUSTEE EMERITUS PROGRAM
The Board has created a position of Director/Trustee Emeritus, whereby an incumbent Director/Trustee who has attained the
age of 75 and completed a minimum of five years of service as a director/trustee, may, in the sole discretion of the Committee of
Independent Directors/Trustees (“Committee”), be recommended to the full Board of Directors/Trustees of the Fund to serve as
Director/Trustee Emeritus.
A Director/Trustee Emeritus that has been approved as such receives an annual fee in an amount equal to a percent of the
annual base compensation paid to a Director/Trustee. In the case of a Director/Trustee Emeritus who had previously served at
least five years but less than 10 years as a Director/Trustee, the percent will be 10%. In the case of a Director/Trustee Emeritus
who had previously served at least 10 years as a Director/Trustee, the percent will be 20%. The Director/Trustee Emeritus will be
reimbursed for any expenses incurred in connection with their service, including expenses of travel and lodging incurred in
attendance at Board meetings. Director/Trustee Emeritus will continue to receive relevant materials concerning the Funds, will be
expected to attend at least one regularly scheduled quarterly meeting of the Board of Directors/Trustees each year and will be
available to consult with the Committees or its representatives at reasonable times as requested by the Chairman; however, a
Director/Trustee Emeritus does not have any voting rights at Board meetings and is not subject to election by shareholders of
the Funds.
The Director/Trustee Emeritus will be permitted to serve in such capacity at the pleasure of the Committee, but the annual fee
will cease to be paid at the end of the calendar year during which he or she has attained the age of 80 years, thereafter the position
will be honorary.
The following table shows the fees paid to each Director/Trustee Emeritus for the Fund’s most recently ended fiscal year and
the portion of that fee paid by the Fund or Trust.
1
EMERITUS Trustees and Compensation
Director/Trustee Emeritus
Compensation
From Fund
(past fiscal year)
1
Total
Compensation
Paid to
Director/Trustee
Emeritus
1
John T. Collins
2
$
19.81
$
0
Charles F. Mansfield, Jr.
$
79.72
$
60,000
1
The fees paid to each Director/Trustee are allocated among the funds that were in existence at the time the Director/Trustee elected Emeritus status, based on each
fund’s net assets at that time.
2
John T. Collins retired from the Federated Hermes Funds Board of Directors/Trustees on December 31, 2023. Mr. Collins was appointed as Emeritus Director/Trustee
on February 15, 2024, to become retroactively effective as of January 1, 2024. Until December 31, 2023, Mr. Collins was compensated as a Director/Trustee of the
Fund and was paid $385,000 for his service to the Federated Hermes Funds for the calendar year ended December 31, 2023.
Committees of the Board
Board
Committee
Committee
Members
Committee Functions
Meetings Held
During Last
Fiscal Year
Executive
J. Christopher Donahue
G. Thomas Hough
John S. Walsh
In between meetings of the full Board, the Executive Committee generally may
exercise all the powers of the full Board in the management and direction of the
business and conduct of the affairs of the Trust in such manner as the Executive
Committee shall deem to be in the best interests of the Trust. However, the
Executive Committee cannot elect or remove Board members, increase or decrease
the number of Trustees, elect or remove any Officer, declare dividends, issue shares
or recommend to shareholders any action requiring shareholder approval.
One
19

Board
Committee
Committee
Members
Committee Functions
Meetings Held
During Last
Fiscal Year
Audit
Maureen Lally-Green
Thomas M. O’Neill
P. Jerome Richey
John S. Walsh
The purposes of the Audit Committee are to oversee the accounting and financial
reporting process of the Fund, the Fund’s internal control over financial reporting
and the quality, integrity and independent audit of the Fund’s financial statements.
The Committee also oversees or assists the Board with the oversight of compliance
with legal requirements relating to those matters, approves the engagement and
reviews the qualifications, independence and performance of the Fund’s
independent registered public accounting firm, acts as a liaison between the
independent registered public accounting firm and the Board and reviews the Fund’s
internal audit function.
Seven
Nominating
John G. Carson
G. Thomas Hough
Maureen Lally-Green
Thomas M. O’Neill
Madelyn A. Reilly
P. Jerome Richey
John S. Walsh
The Nominating Committee, whose members consist of all Independent Trustees,
selects and nominates persons for election to the Fund’s Board when vacancies
occur. The Committee will consider candidates recommended by shareholders,
Independent Trustees, officers or employees of any of the Fund’s agents or service
providers and counsel to the Fund. Any shareholder who desires to have an
individual considered for nomination by the Committee must submit a
recommendation in writing to the Secretary of the Fund, at the Fund’s address
appearing on the back cover of this SAI. The recommendation should include the
name and address of both the shareholder and the candidate and detailed
information concerning the candidate’s qualifications and experience. In identifying
and evaluating candidates for consideration, the Committee shall consider such
factors as it deems appropriate. Those factors will ordinarily include: integrity,
intelligence, collegiality, judgment, diversity, skill, business and other experience,
qualification as an “Independent Trustee,” the existence of material relationships
which may create the appearance of a lack of independence, financial or accounting
knowledge and experience and dedication and willingness to devote the time and
attention necessary to fulfill Board responsibilities.
Four
BOARD’S ROLE IN RISK OVERSIGHT
The Board’s role in overseeing the Fund’s general risks includes receiving performance reports for the Fund and risk
management reports from Federated Hermes’ Chief Risk Officer at each regular Board meeting. The Chief Risk Officer is
responsible for enterprise risk management at Federated Hermes, which includes risk management committees for investment
management and for investor services. The Board also receives regular reports from the Fund’s Chief Compliance Officer
regarding significant compliance risks.
On behalf of the Board, the Audit Committee plays a key role overseeing the Fund’s financial reporting and valuation risks.
The Audit Committee meets regularly with the Fund’s Principal Financial Officer and outside auditors, as well as with Federated
Hermes’ Chief Audit Executive to discuss financial reporting and audit issues, including risks relating to financial controls.
Board Ownership Of Shares In The Fund And In The Federated HERMES Family Of Investment Companies
As Of December 31,
2023
Interested Board
Member Name
Dollar Range of
Shares Owned in
Federated Hermes Project
and Trade
Finance Tender Fund
Aggregate
Dollar Range of
Shares Owned in
Federated Hermes Family of
Investment Companies
J. Christopher Donahue
None
Over $100,000
Thomas R. Donahue
None
Over $100,000
Independent Board
Member Name
 
 
John G. Carson
None
None
G. Thomas Hough
None
Over $100,000
Maureen Lally-Green
None
Over $100,000
Thomas M. O’Neill
None
Over $100,000
Madelyn A. Reilly
None
Over $100,000
P. Jerome Richey
None
Over $100,000
John S. Walsh
None
Over $100,000
20

Voting Proxies On Fund Portfolio Securities
The Board has delegated to the Adviser authority to vote proxies on the securities held in the Fund’s portfolio. The Board has
also approved the Adviser’s policies and procedures for voting the proxies, which are described below.
Proxy Voting Policies
As an investment adviser with a fiduciary duty to the Fund and its shareholders, the Adviser’s general policy is to cast proxy
votes in favor of management proposals and shareholder proposals that the Adviser anticipates will enhance the long-term value
of the securities being voted in a manner that is consistent with the investment objectives of the Fund. Generally, this will mean
voting for proposals that the Adviser believes will improve the management of a company, increase the rights or preferences of
the voted securities, or increase the chance that a premium offer would be made for the company or for the voted securities. This
approach to voting proxy proposals will be referred to hereafter as the “General Policy.”
The Adviser generally votes consistently on the same matter when securities of an issuer are held by multiple client portfolios.
However, the Adviser may vote differently if a client’s investment objectives differ from those of other clients or if a client
explicitly instructs the Adviser to vote differently.
The following examples illustrate how the General Policy may apply to the most common management proposals and
shareholder proposals. However, whether the Adviser supports or opposes a proposal will always depend on a thorough
understanding of the Fund’s investment objectives and the specific circumstances described in the proxy statement and other
available information.
Corporate Governance
On matters related to the board of directors, generally the Adviser will vote to elect nominees to the board in uncontested
elections except in certain circumstances, such as where the director: (1) had not attended at least 75% of the board meetings
during the previous year; (2) serves as the company’s chief financial officer, unless the company is headquartered in the UK
where this is market practice; (3) has become over-boarded (more than five boards for retired executives and more than two
boards for CEOs); (4) is
a non-independent, non-
executive director on the board of a
 
U.S.
 
domestic
 
issuer where less than two-thirds
of
the directors are independent
; (5)
is a non-independent, non-executive director
on the
board of a foreign issuer where
less than half of the directors are independent
;
(6)
is a non-
independent member of
the audit committee
;
 
(7)
is
the chair of the
nominating or governance committee when the
 
roles of chairman of the board and CEO are combined and there is no lead
independent director
; (8)
served on the compensation committee during a period in which compensation appears excessive
relative to performance and peers
;
or
(9)
served on a
board that did
 
not implement
a
shareholder proposal that the Adviser
supported
 
and
received
 
more than 50%
shareholder
support the
 
previous year
.
In addition, the Adviser will generally vote in favor of (10) a full slate of directors, where the directors are elected as a group
and not individually, unless more than half of the nominees are not independent; (11) shareholder proposals to declassify the
board of directors; (12) shareholder proposals to require a majority voting standard in the election of directors; (13) shareholder
proposals to separate the roles of chairman of the board and CEO; (14) a proposal to require a company’s audit committee to be
comprised entirely of independent directors; and (15) shareholder proposals to eliminate supermajority voting requirements in
company bylaws.
On other matters of corporate governance, generally the Adviser will vote: (1) in favor of proposals to grant shareholders the
right to call a special meeting if owners of at least 10% of the outstanding stock agree; (2)
on a case-by-case basis for shareholder
proposals to
grant shareholders the right
to act by written consent
when the company does not already grant shareholders the
right to call a special meeting
; (3) on a case-by-case basis for proposals to adopt or amend shareholder rights plans (also known
as “poison pills”);
and
(4) in favor of shareholder proposals
calling for “Proxy Access,” that is, a bylaw change allowing
shareholders owning at least 3% of the outstanding common stock for at least three years to nominate candidates for election to
the board of directors.
Generally, the Adviser will vote every shareholder proposal of an environmental or social nature on a case-by-case basis. The
quality of these shareholder proposals varies widely across markets. Similarly, company disclosures of their business practices
related to environmental and social risks are not always adequate for investors to make risk assessments. Thus, the Adviser
places great importance on company-specific analyses to determine how to vote. Above all, the Adviser will vote in a manner
that would enhance the long-term value of the investment within the framework of the client’s investment objectives.
Shareholder Proposals on Environmental and Social Issues
The Adviser’s general approach to analyzing these proposals calls for considering the
language
of the written proposal, the
financial materiality of the proposal’s objective, and the practices followed by industry peers. This analysis utilizes research
reports from the Adviser’s proxy advisors, company filings, as well as reports published by the company and other
outside organizations.
21

With respect to specific categories of proposals:
Environmental
The Adviser will generally support proposals calling for enhanced reporting on the company’s business practices, including
policies, strategic initiatives, and oversight mechanisms, related to environmental risks. To reach a final voting decision, we will
take into consideration:
1. The company’s current level of publicly available disclosure.
2. Whether the company has formally committed to implementation of a reporting program based on frameworks such as the
SASB materiality standards or the TCFD recommendations.
3. Whether the company’s current level of disclosure is comparable to that of industry peers; and
4. Whether there are significant controversies or litigation associated with the company’s environmental performance.
Social
The Adviser will generally support resolutions in the social category when they call for measures to enhance disclosure that
would enable investors to make better risk assessments of the company’s social issues, such as their human capital management
practices. We will generally oppose proposals calling for a change in the company’s product line or methods of distribution.
Political Activities
The Adviser will generally support enhanced disclosure of policies, practices, and oversight of corporate political activity
when the current level of disclosure falls short of disclosure provided by industry peers. We will oppose proposals prohibiting the
company’s participation in any part of the political process, such as making political contributions and joining trade associations.
Capital Structure
On matters of capital structure, generally, the Adviser will vote proxies for U.S. issuers on a case-by-case basis for proposals
to authorize the issuance of new shares if not connected to an M&A transaction and the potential dilution is more than 10%,
against proposals to create multiple-class voting structures where one class has superior voting rights to the other classes, in favor
of proposals to authorize reverse stock splits unless the amount of authorized shares is not also reduced proportionately.
Generally, the Adviser will vote proxies for non-U.S. issuers in favor of proposals to authorize issuance of shares with and
without pre-emptive rights unless the size of the authorities would threaten to unreasonably dilute existing shareholders.
Executive Compensation
Votes on executive compensation come in many forms, including advisory votes on U.S. executive compensation plans (“Say
on Pay”), advisory and binding votes on the design or implementation of non-U.S. executive remuneration plans, and votes to
approve new equity plans or amendments to existing plans. Generally, the Adviser will support compensation arrangements that
are aligned with the client’s long-term
investment objectives
.
With respect to specific categories of proposals:
Say on Pay
The Adviser will generally vote in favor of these proposals unless the plan has failed to align executive compensation with
corporate performance, or the design of the plan is likely to lead to misalignment in the future. We support the principle of an
annual shareholder vote on executive pay and will generally vote accordingly on proposals which set the frequency of the Say on
Pay vote.
Remuneration Policy
In some markets,
shareholders are provided a vote on the remuneration policy, which sets out the structural elements of a
company’s executive
compensation
plan on a forward-looking basis. The Adviser will generally support these
proposals unless
:
1. The design of the remuneration policy fails to appropriately link executive compensation with corporate performance.
2. Total compensation appears excessive relative to the company’s industry peer group considering local market dynamics; or
3. There is insufficient disclosure to enable an informed judgment, particularly as it relates to the disclosure of the maximum
amounts of compensation that may be awarded.
Remuneration Report
Markets with remuneration policy proposals typically also have proposals asking shareholders to approve the annual
remuneration report. The remuneration report provides shareholders with details concerning the implementation in the previous
year of the remuneration policy. The Adviser will generally support these proposals unless the level of disclosure is not sufficient
to permit an evaluation of the company’s pay practices in the period covered by the report. A vote against the remuneration
policy, which in most markets is not an annual voting item, would not necessarily result in votes against the remuneration report
at subsequent shareholder meetings.
22

Equity Plans
The Adviser will generally vote in favor of equity plan proposals unless they:
1. Result in unreasonable dilution to existing shareholders.
2.
 
Permit
replacement of “underwater” options with new options on more favorable terms for the recipient
;
or
3. Omit the criteria for determining the granting or vesting of awards.
M&A Activity
On matters relating to corporate transactions, the Adviser will generally vote in favor of mergers, acquisitions, and sales of
assets if the Adviser’s analysis of the proposed business strategy and the transaction price would have a positive impact on the
total return for shareholders.
Contested Elections
If a shareholder meeting is contested
 
-
that is, shareholders are presented with a set of director candidates nominated by
company management and a set of director candidates nominated by a dissident shareholder
 
-
the Adviser will study the proposed
business strategies of both groups and vote in a way that maximizes expected total return for the Fund.
Cost/Benefit Analysis
In addition, the Adviser will not vote any proxy if it determines that the consequences or costs of voting outweigh the potential
benefit of voting. For example, if a foreign market requires shareholders voting proxies to retain the voted shares until the
meeting date (thereby rendering the shares “illiquid” for some period
), the Adviser will not vote proxies for such shares. In
addition, the Adviser is not obligated to incur any expense to send a representative to a shareholder meeting or to translate proxy
materials into English.
Securities Lending Recall
To the extent that the Adviser is permitted to loan securities, the Adviser does not have the right to vote on securities while
they are on loan. However, the Adviser will take all reasonable steps to recall shares prior to the record date when the meeting
raises issues that the Adviser believes materially affect shareholder value, provided that the Adviser considers that the benefits of
voting on the securities are greater than the associated costs, including the opportunity cost of the lost revenue that would
otherwise be generated by the loan. However, there can be no assurance that the Adviser will have sufficient notice of such
matters to be able to terminate the loan in time to vote thereon.
Issuer Feedback
The Adviser will
consider
feedback from issuers on the voting recommendations of the Adviser’s proxy advisory firm if the
feedback is provided at least five days before the voting cut-off date. In certain circumstances, primarily those where the
Adviser’s voting policy is absolute and without exception, issuer feedback will not be part of the voting decision. For example, it
is the Adviser’s policy to always support a shareholder proposal to separate the roles of chairman of the board and CEO. Thus,
any comments from the issuer opposing this proposal would not be considered.
Best Efforts
If proxies are not delivered in a timely or otherwise appropriate basis, the Adviser may not be able to vote a particular proxy.
For an Adviser that employs a quantitative investment strategy for certain funds or accounts that does not make use of
qualitative research (“Non-Qualitative Accounts”), the Adviser may not have the kind of research to make decisions about how
to vote proxies for them. Therefore, the Adviser will vote the proxies of these Non-Qualitative Accounts as follows: (a) in
accordance with the Standard Voting Instructions (defined below); (b) if the Adviser is casting votes for the same proxy on
behalf of a regular qualitative account and a Non-Qualitative Account, the Non-Qualitative Account would vote in the same
manner as the regular qualitative account; (c) if neither of the first two conditions apply, as the proxy advisory firm is
recommending; and (d) if none of the previous conditions apply, as recommended by the Proxy Voting Committee.
Proxy Voting Procedures
The Adviser has established a Proxy Voting Committee (“Proxy Committee”), to exercise all voting discretion granted to the
Adviser by the Board in accordance with the proxy voting policies. To assist it in carrying out the day-to-day operations related
to proxy voting, the Proxy Committee has created the Proxy Voting Management Group (PVMG). The day-to-day operations
related to proxy voting are carried out by the Proxy Voting Operations Team (PVOT) and overseen by the PVMG. Besides
voting the proxies, this work includes engaging with investee companies on corporate governance matters, managing the proxy
advisory firm, soliciting voting recommendations from the Adviser’s investment professionals, bringing voting recommendations
to the Committee for approval, filing with regulatory agencies any required proxy voting reports, providing proxy voting reports
to clients and investment companies as they are requested from time to time, and keeping the Proxy Committee informed of any
issues related to corporate governance and proxy voting.
23

The Adviser has compiled a list of specific voting instructions based on the General Policy (the “Standard Voting
Instructions”). The Standard Voting Instructions and any modifications to them are approved by the Proxy Committee. The
Standard Voting Instructions sometimes call for an investment professional to review the ballot question and provide a voting
recommendation to the Proxy Committee (a “case-by-case vote”). The foregoing notwithstanding, the Proxy Committee always
has the authority to determine a final voting decision.
The Adviser has hired a proxy advisory firm to perform various proxy voting related administrative services such as ballot
reconciliation, vote processing, and recordkeeping functions.
The Proxy Committee has supplied the proxy advisory firm with
the Standard Voting Instructions. The Proxy Committee retains the right to modify the Standard Voting Instructions at any time
or to vote contrary to them at any time
to cast proxy votes in a manner that the Proxy Committee believes is in accordance with
the General Policy. The proxy advisory firm may vote any proxy as directed in the Standard Voting Instructions without further
direction from the
Proxy
Committee. However, if the Standard Voting Instructions require case-by-case handling for a proposal,
the PVOT will work with the investment professionals and the proxy advisory firm to develop a voting recommendation for the
Proxy
Committee and to communicate the
Proxy
Committee’s final voting decision to the proxy advisory firm. Further, if the
Standard Voting Instructions require the PVOT to analyze a ballot question and make the final voting decision, the PVOT will
report such votes to the Proxy Committee on a quarterly basis for review.
Conflicts of Interest
The Adviser has adopted procedures to address situations where a matter on which a proxy is sought may present a potential
conflict between the interests of the Fund (and its shareholders) and those of the Adviser or the Distributor. This may occur
where a significant business relationship exists between the Adviser (or its affiliates) and a company involved with a proxy vote.
 
A company that is a proponent, opponent or the subject of a proxy vote, and which to the knowledge of the Proxy Committee has
this type of significant business relationship, is referred to below as an “Interested
Company.”
The Adviser has implemented the following procedures
to avoid concerns that the conflicting interests of the Adviser or its
affiliates have influenced proxy votes. Any employee of the Adviser or its affiliates who is contacted by an Interested Company
regarding proxies to be voted by the Adviser must refer the Interested Company to a member of the Proxy Committee
and must
inform the Interested Company that the Proxy Committee has exclusive authority to determine how the proxy will be voted. Any
Proxy Committee member contacted by an Interested Company must report it to the full Proxy Committee and provide a written
summary of the communication. This requirement includes engagement meetings with investee companies and does not include
communications with proxy solicitation firms. Under no circumstances will the Proxy Committee or any member of the Proxy
Committee make a commitment to an Interested Company regarding the voting of proxies or disclose to an Interested Company
how the Proxy Committee has directed such proxies to be voted. If the Standard Voting Instructions already provide specific
direction on the proposal in question, the Proxy Committee shall not alter or amend such directions. If the Standard Voting
Instructions require the Proxy Committee to provide further direction, the Proxy Committee shall do so in accordance with the
proxy voting policies, without regard for the interests of the Adviser with respect to the Interested Company. If the Proxy
Committee provides any direction as to the voting of proxies relating to a proposal affecting an Interested Company, it must
disclose annually to the Fund’s Board information regarding: the significant business relationship; any material communication
with the Interested Company; the matter(s) voted on; and how, and why, the Adviser voted as
it did. In certain circumstances it
may be appropriate for the Adviser to vote in the same proportion as all other shareholders, to not affect the outcome beyond
helping to establish a quorum at the shareholders’ meeting. This is referred to as “proportional voting.” If the Fund owns shares
of another Federated Hermes mutual fund, generally the Adviser will proportionally vote the client’s proxies for that fund or seek
direction from the Board or the client on how the proposal should be voted. If the Fund owns shares of an unaffiliated mutual
fund, the Adviser may proportionally vote the Fund’s proxies for that fund depending on the size of the position. If the Fund
owns shares of an unaffiliated exchange-traded fund, the Adviser will proportionally vote the Fund’s proxies for
that fund
.
Downstream Affiliates
If the Proxy Committee gives further direction, or seeks to vote contrary to the Standard Voting Instructions, for a proxy
relating to a portfolio company in which the Fund owns more than 10% of the portfolio company’s outstanding voting securities
at the time of the vote (“Downstream Affiliate”), the Proxy Committee must first receive guidance from counsel to the Proxy
Committee as to whether any relationship between the Adviser and the portfolio company, other than such ownership of the
portfolio company’s securities, gives rise to an actual conflict of interest. If counsel determines that an actual conflict exists, the
Proxy Committee must address any such conflict with the executive committee of the board of directors or trustees of any
investment company client prior to taking any action on the proxy at issue.
24

Proxy Advisers’ Conflicts of Interest
Proxy advisory firms may have significant business relationships with the subjects of their research and voting
recommendations. For example, a
significant vendor for a
proxy advisory firm
may be a public company with an upcoming
shareholders’
 
meeting and the proxy advisory firm has published a research report with voting recommendations. In another
example, a proxy advisory firm consulting client may be a
public company for which the proxy advisory firm will write a
research report.
These
and similar situations give rise to an actual or apparent conflict of interest.
To
avoid concerns that the conflicting interests of
proxy advisory
firms
have influenced
their
proxy voting recommendations,
the Adviser will take the following steps:
◾ 
A due diligence team made up of employees of the Adviser and/or its affiliates will meet with
its primary proxy advisor
on an
annual basis and determine through a review of their policies and procedures and through inquiry that
they have
established a
system of internal controls that provide reasonable assurance that their voting recommendations are not influenced by
their
various conflicts
of interest
.
◾ 
On an annual basis the Director of Proxy Voting will examine a sample of proxy advisory firm’s research reports for that
firm’s institutional consulting clients and determine if evidence of bias in recommendations exists. If such evidence is found,
the results of the examination will be presented to the Proxy Management Group and a decision would be made as to the
further use of that advisory firm’s research reports.
◾ 
Whenever the standard voting guidelines call for voting a proposal in accordance with
a
proxy advisory firm
’s
 
recommendation and the proxy advisory firm has disclosed that they have a conflict of interest with respect to that issuer, the
PVOT will take the following steps: (a) the PVOT will obtain a copy of the research report
published by
a
proxy advisory firm
for that issuer; (b) the Director of Proxy Voting, or
their
designee, will review
proxy advisory firm
reports and
determine what
vote will be cast. The PVOT will report all proxies voted in this manner to the Proxy Committee on a quarterly basis.
Alternatively, the PVOT may seek direction from the Committee on how the proposal shall be voted.
Proxy Voting Report
A report on “Form N-PX” of how the Fund voted any proxies during the most recent 12-month period ended June 30 is
available via the Proxy Voting Record (Form N-PX) link associated with the Fund at
FederatedHermes.com/us/FundInformation
.
Form N-PX filings are also available
(i)
without charge, upon request,
 
by calling the Fund at 1-800-341-7400, Option #4; and
(ii)
on
the SEC’s website at
sec.gov
.
CONTROL PERSONS AND PRINCIPAL HOLDERS OF SECURITIES
As of
May 6
,
2024
, the following shareholders owned of record, beneficially or both, 5% or more of outstanding Common
Shares: Michigan Catastrophic Claims Association, Livonia, MI, owned approximately
36,790,697
Shares (
52.65
%); Auto-Owners
Insurance Company, Lansing, MI, owned approximately 20,087,384 Shares (
28.75
%); Energy Insurance Mutual
Limited, Tampa, FL, owned approximately
7,955,291
Shares (
11.39
%); and Auto-Owners Life Insurance Company, Lansing,
MI, owned approximately 5,027,666 Shares (
7.20
%).
Shareholders owning 25% or more of outstanding Common Shares may be in control and be able to affect the outcome of
certain matters presented for a vote of shareholders.
Michigan Catastrophic Claims Association is a Legislatively Created Entity in the Department of Insurance and Financial
Services in the State of Michigan.
Auto-Owners Insurance Company is a Mutual Property and Casualty Insurer in the Department of Insurance and Financial
Services in the State of Michigan.
Investment Advisory and Other Services
Investment Adviser
The Adviser conducts investment research and makes investment decisions for the Fund. The Adviser is a wholly owned
subsidiary of Federated Hermes. The Adviser shall not be liable to the Fund or any Fund Shareholder for any losses that may be
sustained in the purchase, holding, or sale of any security or for anything done or omitted by it, except acts or omissions
involving willful misfeasance, bad faith, gross negligence, or reckless disregard of the duties imposed upon it by its contract with
the Fund.
25

The Advisory Agreement has an initial term of two years, and may continue thereafter so long as such continuance is
specifically approved at least annually by a majority of the Board and a majority of the Trustees who are not “interested persons”
(as defined in the 1940 Act) of the Fund (the “Independent Trustees”). The Fund or the Adviser may terminate the Advisory
Agreement at any time without penalty on 60 days’ written notice to the other party. Material amendments to the Advisory
Agreement require shareholder approval.
The Fund’s investment advisory contract provides for payment to the Adviser of an annual investment advisory fee of 0.50%
of the Fund’s average daily net assets. The Adviser may voluntarily waive a portion of its fee or reimburse the Fund for certain
operating expenses. The Adviser and its affiliates have also agreed to certain “Fee Limits” as described in the footnote to the
“Summary of Fund Expenses” table found in the Prospectus.
In December 2017, Federated Investors, Inc., now Federated Hermes, Inc. (“Federated Hermes”), became a signatory to the
Principles for Responsible Investment (PRI). The PRI is an investor initiative in partnership with the United Nations
Environment Programme Finance Initiative and the United Nations Global Compact. Commitments made as a signatory to the
PRI are not legally binding, but are voluntary and aspirational. They include efforts, where consistent with our fiduciary
responsibilities, to incorporate environmental, social and corporate governance (ESG) issues into investment analysis and
investment decision making, to be active owners and incorporate ESG issues into our ownership policies and practices, to seek
appropriate disclosure on ESG issues by the entities in which we invest, to promote acceptance and implementation of the PRI
within the investment industry, to enhance our effectiveness in implementing the PRI, and to report on our activities and progress
towards implementing the PRI. Being a signatory to the PRI does not obligate Federated Hermes to take, or not take, any
particular action as it relates to investment decisions or other activities.
In July, 2018, Federated Investors, Inc., now Federated Hermes, acquired a majority interest in Federated Hermes Limited
(FHL), a pioneer of integrated ESG investing. Federated Hermes now owns 100% of FHL. FHL’s experience with ESG issues
contributes to Federated Hermes’ understanding of material risks and opportunities these issues may present.
EOS at Federated Hermes, which was established as Hermes Equity Ownership Services Limited (EOS) in 2004 as an affiliate
of Hermes Investment Management Limited, is a 50+ member engagement and stewardship team that conducts long-term,
objectives-driven dialogue with board and senior executive level representatives of approximately 1,000 unique issuers annually.
It seeks to address the most material ESG risks and opportunities through constructive and continuous discussions with the goal
of improving long-term results for investors. Engagers’ deep understanding across sectors, themes and regional markets, along
with language and cultural expertise, allows EOS to provide insights to companies on the merits of addressing ESG risks and the
positive benefits of capturing opportunities. Federated Hermes investment management teams have access to the insights gained
from understanding a company’s approach to these long-term strategic matters as an additional input to improve portfolio risk/return
characteristics.
THE SUB-ADVISER
Under the supervision of the Adviser and oversight by the Board and pursuant to a sub-advisory agreement between the
Adviser and the Sub-Adviser (the “Sub-Advisory Agreement”), Federated Hermes (UK) LLP, will act as sub-investment adviser
to the Fund. The Sub-Adviser will have day-to-day portfolio management responsibilities of the Fund.
Federated Hermes (UK) LLP, a limited liability partnership incorporated in England and Wales, is wholly owned, London
based subsidiary of Federated Hermes, Inc., and is authorized and regulated by the U.K. Financial Conduct Authority (FCA) to
provide investment management services. The Sub-Adviser advises approximately
four
registered investment companies. The
Sub-Adviser’s assets under management totaled approximately $
11.5
billion as of December 31,
2023
. The Sub-Adviser’s assets
under management are currently primarily comprised of assets from non-U.S. domiciled funds, other pooled investment vehicles
and separate accounts, such as UK registered money market funds and other accounts of institutional clients from the UK,
Europe and certain other non-U.S. jurisdictions.
For the fiscal years ended March 31,
2024
, March 31,
2023
and March 31,
2022
, the Adviser paid the Sub-Adviser
$
2,318,187
, $
2,226,231
and $
1,781,115
, respectively, for investment advisory services. The Sub-Adviser’s fee is based on a rate
of 0.39% of the portion managed by the Sub-Adviser of the average daily net assets of the Fund, accrued daily and
payable monthly.
Portfolio Manager Information
As a general matter, certain conflicts of interest may arise in connection with a portfolio manager’s management of a fund’s
investments, on the one hand, and the investments of other funds/pooled investment vehicles or accounts (collectively, including
the Fund, as applicable, “accounts”) for which the portfolio manager is responsible, on the other. For example, it is possible that
the various accounts managed could have different investment strategies that, at times, might conflict with one another to the
possible detriment of the Fund. Alternatively, to the extent that the same investment opportunities might be desirable for more
26

than one account, possible conflicts could arise in determining how to allocate them. Other potential conflicts can include, for
example, conflicts created by specific portfolio manager compensation arrangements (including, for example, the allocation or
weighting given to the performance of the Fund or other accounts or activities for which the portfolio manager is responsible in
calculating the portfolio manager’s compensation), and conflicts relating to selection of brokers or dealers to execute Fund
portfolio trades and/or specific uses of commissions from Fund portfolio trades (for example, research or “soft dollars”). The
Adviser has adopted policies and procedures and has structured the portfolio managers’ compensation in a manner reasonably
designed to safeguard the Fund from being negatively affected as a result of any such potential conflicts.
The following information about the Fund’s Portfolio Managers is provided as of the end of the Fund’s most recently
completed fiscal year unless otherwise indicated.
Ihab Salib, Portfolio Manager
Types of Accounts Managed
by Ihab Salib
Total Number of Additional Accounts
Managed/Total Assets*
Additional Accounts/Assets Managed
that are Subject to Advisory Fee
Based on Account Performance
Registered Investment Companies
15/$2.6 billion
0/$0
Other Pooled Investment Vehicles
7/$459.9 million
0/$0
Other Accounts
2/$26.9 million
2/$425.6 million
*
None of the Accounts has an advisory fee that is based on the performance of the account.
Dollar value range of shares owned in the Fund: None.
Ihab Salib is paid a fixed base salary and a variable annual incentive. Base salary is determined within a market competitive,
position-specific salary range, based on the portfolio manager’s experience and performance. The annual incentive amount is
determined based primarily on Investment Product Performance (IPP), and may also include a discretionary component based on
a variety of factors deemed relevant, such as financial measures and performance and may be paid entirely in cash, or in a
combination of cash and restricted stock of Federated Hermes, Inc. (“Federated Hermes”). The total combined annual incentive
opportunity is intended to be competitive in the market for this portfolio manager role.
IPP is measured on a rolling one, three and four calendar year pre-tax gross total return basis versus the Fund’s benchmark
(i.e., ICE BofA US Dollar 1-Month Deposit Offered Rate Constant Maturity Index). Performance periods are adjusted if a
portfolio manager has been managing an account for less than five years; accounts with less than one year of performance history
under a portfolio manager may be excluded.
As noted above, Mr. Salib is also the portfolio manager for other accounts in addition to the Fund. Such other accounts may
have different benchmarks and performance measures. The allocation or weighting given to the performance of the Fund or other
accounts or activities for which Mr. Salib is responsible when his compensation is calculated may be equal or can vary.
In addition, Mr. Salib has oversight responsibility for other portfolios that he does not personally manage and serves on one or
more Investment Teams that establish guidelines on various performance drivers (e.g., currency, duration, sector, volatility
and/or yield curve) for taxable, fixed-income accounts. A portion of the IPP score is based on Federated Hermes’ senior
management’s assessment of team contributions.
For purposes of calculating the annual incentive amount, each account managed by the portfolio manager currently is
categorized into one of two IPP groups (which may be adjusted periodically). Within each performance measurement period and
IPP group, IPP currently is calculated on the basis of an assigned weighting to each account managed or activity engaged in by
the portfolio manager and included in the IPP groups. At the account level, the weighting assigned to the Fund is lesser than or
equal to the weighting assigned to other accounts or activities used to determine IPP (but can be adjusted periodically). A portion
of the bonus tied to the IPP score may be adjusted based on management’s assessment of overall contributions to fund
performance and any other factors as deemed relevant.
Any individual allocations from the discretionary pool may be determined, by executive management on a discretionary basis
using various factors, such as, for example, on a product, strategy or asset class basis, and considering overall contributions and
any other factors deemed relevant (and may be adjusted periodically).
27

Christopher McGinley, Portfolio Manager
Types of Accounts Managed
by Christopher McGinley
Total Number of Additional Accounts
Managed/Total Assets*
Registered Investment Companies
9/$937.2 million
Other Pooled Investment Vehicles
1/$620.9 thousand
Other Accounts
1/$644.0 thousand
*
None of the Accounts has an advisory fee that is based on the performance of the account.
Dollar value range of shares owned in the Fund: None.
Christopher McGinley is paid a fixed base salary and a variable annual incentive. Base salary is determined within a market
competitive position-specific salary range, based on the portfolio manager’s experience and performance. The annual incentive
amount is determined based primarily on Investment Product Performance (IPP) and may also include a discretionary component
based on a variety of factors deemed relevant, such as financial measures and performance and may be paid entirely in cash, or in
a combination of cash and restricted stock of Federated Hermes, Inc. (“Federated Hermes”). The total combined annual incentive
opportunity is intended to be competitive in the market for this portfolio manager role.
IPP is measured on a rolling one, three and four calendar year pre-tax gross total return basis versus the Fund’s benchmark
(i.e., ICE BofA US Dollar 1-Month Deposit Offered Rate Constant Maturity Index). Performance periods are adjusted if a
portfolio manager has been managing an account for less than five years; accounts with less than one year of performance history
under a portfolio manager may be excluded.
As noted above, Mr. McGinley is also the portfolio manager for other accounts in addition to the Fund. Such other accounts
may have different benchmarks and performance measures. The allocation or weighting given to the performance of the Fund or
other accounts for which Mr. McGinley is responsible when his compensation is calculated may be equal or can vary.
For purposes of calculating the annual incentive amount, each account managed by the portfolio manager currently is
categorized into one of two IPP groups (which may be adjusted periodically). Within each performance measurement period and
IPP group, IPP currently is calculated on the basis of an assigned weighting to each account managed by the portfolio manager
and included in the IPP groups. At the account level, the weighting assigned to the Fund is greater than or equal to the weighting
assigned to other accounts used to determine IPP (but can be adjusted periodically). A portion of the bonus tied to the IPP score
may be adjusted based on management’s assessment of overall contributions to fund performance and any other factors as
deemed relevant.
Any individual allocations from the discretionary pool may be determined, by executive management on a discretionary basis
using various factors, such as, for example, on a product, strategy or asset class basis, and considering overall contributions and
any other factors deemed relevant (and may be adjusted periodically).
Maarten Offeringa, Portfolio Manager
Types of Accounts Managed
by Maarten Offeringa
Total Number of Additional Accounts
Managed/Total Assets*
Registered Investment Companies
4/$937.2 million
Other Pooled Investment Vehicles
0/$0
Other Accounts
0/$0
*
None of the Accounts has an advisory fee that is based on the performance of the account.
Dollar value range of shares owned in the Fund: None.
Maarten Offeringa is paid a fixed base salary and a variable annual incentive. Base salary is determined within a market
competitive position-specific salary range, based on the portfolio manager’s experience and performance. The annual incentive
amount is determined based
on Investment Product Performance (IPP)
as well as
financial measures and
wider
performance
 
considerations.
The bonus award is subject to our remuneration policy and company co-
investment deferral scheme
. The total
combined annual incentive opportunity is intended to be competitive in the market for this portfolio manager role.
IPP is measured on a rolling one, three and four calendar year pre-tax gross total return basis versus the Fund’s benchmark
(i.e., ICE BofA US Dollar 1-Month Deposit Offered Rate Constant Maturity Index). Performance periods are adjusted if a
portfolio manager has been managing an account for less than five years; accounts with less than one year of performance history
under a portfolio manager may be excluded.
28

As noted above, Mr. Offeringa is also the portfolio manager for other accounts in addition to the Fund. Such other accounts
may have different benchmarks and performance measures. The allocation or weighting given to the performance of the Fund or
other accounts for which Mr. Offeringa is responsible when his compensation is calculated may be equal or can vary.
For purposes of calculating the annual incentive amount, each account managed by the portfolio manager currently is
categorized into one of two IPP groups (which may be adjusted periodically). Within each performance measurement period and
IPP group, IPP currently is calculated on the basis of an assigned weighting to each account managed by the portfolio manager
and included in the IPP groups. At the account level, the weighting assigned to the Fund is greater than or equal to the weighting
assigned to other accounts used to determine IPP (but can be adjusted periodically). Additionally, a portion of Mr. Offeringa’s
IPP score is based on the performance of the accounts for which he provides research and analytic support. A portion of the
bonus tied to the IPP score may be adjusted based on management’s assessment of overall contributions to account performance
and any other factors as deemed relevant.
Any individual allocations from the discretionary pool may be determined, by executive management on a discretionary basis
using various factors, such as, for example, on a product, strategy or asset class basis, and considering overall contributions and
any other factors deemed relevant (and may be adjusted periodically).
Kazaur Rahman, Portfolio Manager
Types of Accounts Managed
by Kazaur Rahman
Total Number of Additional Accounts
Managed/Total Assets*
Registered Investment Companies
4/$937.2 million
Other Pooled Investment Vehicles
0/$0
Other Accounts
0/$0
*
None of the Accounts has an advisory fee that is based on the performance of the account.
Dollar value range of shares owned in the Fund: None.
Kazaur Rahman is paid a fixed base salary and a variable annual incentive. Base salary is determined within a market
competitive position-specific salary range, based on the portfolio manager’s experience and performance. The annual incentive
amount is determined based
on Investment Product Performance (IPP)
as well as
financial measures and
wider
performance
 
considerations.
The bonus award is subject to our remuneration policy and company co-
investment deferral scheme
. The total
combined annual incentive opportunity is intended to be competitive in the market for this portfolio manager role.
IPP is measured on a rolling one, three and four calendar year pre-tax gross total return basis versus the Fund’s benchmark
(i.e., ICE BofA US Dollar 1-Month Deposit Offered Rate Constant Maturity Index). Performance periods are adjusted if a
portfolio manager has been managing an account for less than five years; accounts with less than one year of performance history
under a portfolio manager may be excluded.
As noted above, Mr. Rahman is also the portfolio manager for other accounts in addition to the Fund. Such other accounts may
have different benchmarks and performance measures. The allocation or weighting given to the performance of the Fund or other
accounts for which Mr. Rahman is responsible when his compensation is calculated may be equal or can vary.
For purposes of calculating the annual incentive amount, each account managed by the portfolio manager currently is
categorized into one of two IPP groups (which may be adjusted periodically). Within each performance measurement period and
IPP group, IPP currently is calculated on the basis of an assigned weighting to each account managed by the portfolio manager
and included in the IPP groups. At the account level, the weighting assigned to the Fund is greater than or equal to the weighting
assigned to other accounts used to determine IPP (but can be adjusted periodically). Additionally, a portion of Mr. Rahman’s IPP
score is based on the performance of the accounts for which he provides research and analytic support. A portion of the bonus
tied to the IPP score may be adjusted based on management’s assessment of overall contributions to account performance and
any other factors as deemed relevant.
Any individual allocations from the discretionary pool may be determined, by executive management on a discretionary basis
using various factors, such as, for example, on a product, strategy or asset class basis, and considering overall contributions and
any other factors deemed relevant (and may be adjusted periodically).
Services Agreement
Federated Advisory Services Company, an affiliate of the Adviser, provides certain support services to the Adviser. The fee
for these services is paid by the Adviser and not by the Fund.
29

Other Related Services
Affiliates of the Adviser may, from time to time, provide certain electronic equipment and software to institutional customers
in order to facilitate the purchase of Fund Shares offered by the Distributor.
Code Of Ethics Restrictions On Personal Trading
As required by Rule 17j-1 of the Investment Company Act of 1940 and Rule 204A-1 under the Investment Advisers Act (as
applicable), the Fund, its Adviser and its Distributor have adopted codes of ethics. These codes govern securities trading
activities of investment personnel, Fund Trustees and certain other employees. Although they do permit these people to trade in
securities, including those that the Fund could buy, as well as Shares of the Fund, they also contain significant safeguards
designed to protect the Fund and its shareholders from abuses in this area, such as requirements to obtain prior approval for, and
to report, particular transactions.
Administrator
Federated Administrative Services (FAS), a subsidiary of Federated Hermes, provides administrative personnel and services,
including certain legal, compliance and financial administrative services (“Administrative Services”), necessary for the operation
of the Fund. FAS does not charge the Fund an Administrative Services fee but is entitled to reimbursement for certain out-of-pocket
expenses incurred in providing Administrative Services to the Fund.
Custodian
State Street Bank & Trust Company is custodian for the securities and cash of the Fund. Foreign instruments purchased by the
Fund are held by foreign banks participating in a network coordinated by State Street Bank & Trust Company.
Transfer Agent And Dividend Disbursing Agent
SS&C GIDS, Inc., the Fund’s registered transfer agent, maintains all necessary shareholder records.
Independent Registered Public Accounting Firm
The independent registered public accounting firm for the Fund, KPMG LLP, conducts its audits in accordance with the
standards of the Public Company Accounting Oversight Board (United States), which require it to plan and perform its audits to
provide reasonable assurance about whether the Fund’s financial statements and financial highlights are free of
material misstatement.
PRICING OF FUND SHARES
The net asset value (NAV) of the Fund is determined as of the end of regular trading on the New York Stock Exchange
(NYSE) (normally, 4:00 p.m. Eastern time) each day the NYSE is open. The Fund calculates the NAV by valuing its assets,
subtracting its liabilities, and dividing the balance by the number of Shares outstanding. The NAV is calculated to the nearest
whole cent per Share.
Pursuant to Rule 2a-5 under the Investment Company Act of 1940, the Board has 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, 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 price evaluations of the current fair value of certain investments for purposes of calculating the NAV.
The fair value method may be used to value trade finance related securities or other securities. The Valuation Committee is
subject to Board oversight and certain reporting and other requirements intended to provide the Board the information it needs to
oversee the Adviser’s fair value determinations.
The Adviser, as the Board’s valuation designee, has approved and monitors the procedures under which trade finance related
securities are valued. Trade finance related securities that meet certain criteria and are deemed to have prices that are readily
available and reliable are valued by an independent pricing service. Other trade finance related securities are valued at their fair
value. In connection with determining the fair value of trade finance related securities, the Valuation Committee will in good
faith make an assessment of fair value. The factors that may be considered by the Valuation Committee when making this
assessment are: (1) the cost and/or repayment performance of the underlying trade finance security; (2) the last reported price at
which the investment was traded; (3) information regarding the investment or the issuer; (4) information on the sector in which
the issuer is active or the country or region where the issuer is located; (5) changes in financial conditions and business prospects
30

disclosed in the issuer’s financial statements and other reports; (6) publicly announced transactions (such as tender offers and
mergers) involving the issuer; (7) comparisons to other investments or to financial indices that are correlated to the investment;
(8) with respect to fixed-income investments, changes in market yields and spreads; (9) with respect to investments that have
been suspended from trading, the circumstances leading to the suspension; and (10) other factors that might affect the
investment’s value.
The fair value of each trade finance related security is approved by the Valuation Committee and periodically reviewed by the
Board of Trustees based upon the Adviser’s procedures.
In calculating its NAV, the Fund generally values investments as follows:
◾ 
Equity securities listed on a U.S. securities exchange or traded through the U.S. national market system are valued at their last
reported sale price or official closing price in their principal exchange or market. If a price is not readily available, such equity
securities are valued based upon the mean of closing bid and ask quotations from one or more dealers.
◾ 
Other equity securities traded primarily in the United States are valued based upon the mean of closing bid and ask quotations
from one or more dealers.
◾ 
Equity securities traded primarily through securities exchanges and regulated market systems outside the United States are
valued at their last reported sale price or official closing price in their principal exchange or market. These prices may be
adjusted for significant events occurring after the closing of such exchanges or market systems as described below. If a price is
not readily available, such equity securities are valued based upon the mean of closing bid and ask quotations from one or
more dealers.
◾ 
Fixed-income securities are fair valued using price evaluations provided by a pricing service approved by the Adviser. The
methods used by pricing services to determine such price evaluations are described below.
◾ 
Futures contracts listed on exchanges are valued at their reported settlement price. Option contracts listed on exchanges are
valued based upon the mean of closing bid and ask quotations reported by the exchange or from one or more futures
commission merchants.
◾ 
OTC derivative contracts are fair valued using price evaluations provided by a pricing service approved by the Adviser. The
methods used by pricing services to determine such price evaluations are described below. If a price evaluation from a pricing
service is not readily available, such derivative contracts may be fair valued based upon price evaluations from one or more
dealers or using a recognized pricing model for the contract.
◾ 
Shares of other mutual funds or non-exchange-traded investment companies are valued based upon their reported NAVs. The
prospectuses for these mutual funds explain the circumstances under which they will use fair value pricing and the effects of
using fair value pricing.
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, or if information furnished by a pricing service, in the
opinion of the Valuation Committee, is deemed not representative of the fair value of such security, the Fund will use the fair
value of the investment determined in accordance with the procedures described below. There can be no assurance that the Fund
could purchase or sell an investment at the price used to calculate the Fund’s NAV. The Fund will not use a pricing service or
dealer who is an affiliated person of the Adviser to value investments.
Noninvestment assets and liabilities are valued in accordance with U.S. Generally Accepted Accounting Principles (GAAP).
The NAV calculation includes expenses, dividend income, interest income, other income and realized and unrealized investment
gains and losses through the date of the calculation. Changes in holdings of investments and in the number of outstanding Shares
are included in the calculation not later than the first business day following such change. Any assets or liabilities denominated in
foreign currencies are converted into U.S. dollars using an exchange rate obtained from a third party.
The Fund follows procedures that are common in the registered fund industry regarding errors made in the calculation of its
NAV. This means that, generally, the Fund will not correct errors of less than one cent per Share.
Fair Valuation and Significant Events Procedures
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 price evaluations of the current fair value of certain investments for purposes of
calculating the NAV.
31

Pricing Service Valuations.
The Valuation Committee, subject to Board oversight, is authorized to use pricing services that
provide daily fair value evaluations of the current value of certain investments, primarily fixed-income securities and OTC
derivatives contracts. Different pricing services may provide different price evaluations for the same security because of
differences in their methods of evaluating market values. 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. A pricing service may
find it more difficult to apply these and other factors to relatively illiquid or volatile investments, which may result in less
frequent or more significant changes in the price evaluations of these investments. If a pricing service determines that it does not
have sufficient information to use its standard methodology, it may evaluate an investment based on the present value of what
investors can reasonably expect to receive from the issuer’s operations or liquidation.
Special valuation considerations may apply with respect to the Fund’s “odd-lot” positions, if any, as the Fund may receive
lower prices when it sells such positions than it would receive for sales of institutional round lot positions. Typically, these
securities are valued assuming orderly transactions of institutional round lot sizes, but the Fund may hold or, from time to time,
transact in such securities in smaller, odd lot sizes.
The Valuation Committee oversees the Fund’s pricing services, which includes, among other things, monitoring significant or
unusual price fluctuations above predetermined tolerance levels from the prior day, back-testing of pricing services’ prices
against actual sale transactions, conducting periodic due diligence meetings and reviews and periodically reviewing the inputs,
assumptions and methodologies used by these pricing services. If information furnished by a pricing service is not readily
available or, in the opinion of the Valuation Committee, is deemed not representative of the fair value of such security, the
security will be fair valued by the Valuation Committee in accordance with procedures established by the Adviser as discussed
below in “Fair Valuation Procedures.”
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 bid and ask
prices 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.
Fair Valuation Procedures.
The Board has designated the Adviser as the Fund’s valuation designee to perform the fair value
determination for securities and other assets held by the Fund. The Adviser has established procedures for determining the fair
value of investments for which price evaluations from pricing services or dealers and market quotations are not readily available.
The procedures define an investment’s “fair value” as the price that the Fund might reasonably expect to receive upon its current
sale. The procedures assume that any sale would be made to a willing buyer in the ordinary course of trading. The procedures
require consideration of factors that vary based on the type of investment and the information available. Factors that may be
considered in determining an investment’s fair value include: (1) the last reported price at which the investment was traded;
(2) information provided by dealers or investment analysts regarding the investment or the issuer; (3) changes in financial
conditions and business prospects disclosed in the issuer’s financial statements and other reports; (4) publicly announced
transactions (such as tender offers and mergers) involving the issuer; (5) comparisons to other investments or to financial indices
that are correlated to the investment; (6) with respect to fixed-income investments, changes in market yields and spreads; (7) with
respect to investments that have been suspended from trading, the circumstances leading to the suspension; and (8) other factors
that might affect the investment’s value.
The Valuation Committee is responsible for the day-to-day implementation of these procedures subject to the oversight of the
Board. The Valuation Committee may also authorize the use of a financial valuation model to determine the fair value of a
specific type of investment. The Board periodically reviews the fair valuations made by the Valuation Committee. The Board has
also approved the Adviser’s fair valuation procedures and significant events procedures as part of the Fund’s compliance
program and will review any changes made to the procedures.
Using fair value to price investments may result in a value that is different from an investment’s most recent closing price and
from the prices used by other registered funds to calculate their NAVs. The application of the fair value procedures to an
investment represents a good faith determination of such investment’s fair value. 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 could be materially different.
32

Significant Events.
The Adviser has adopted procedures requiring an investment to be priced at its fair value whenever the
Adviser 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; and
◾ 
Announcements concerning matters such as acquisitions, recapitalizations or 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. The pricing service uses models that correlate changes between the closing and
opening price of equity securities traded primarily in non-U.S. markets to changes in prices in U.S.-traded securities and
derivative contracts. The pricing service seeks to employ the model that provides the most significant correlation based on a
periodic review of the results. The model uses the correlation to adjust the reported closing price of a foreign equity security
based on information available up to the close of the NYSE.
The fair valuation of securities following a significant event can serve to reduce arbitrage opportunities for short-term traders
to profit at the expense of long-term investors in the Fund. For example, such arbitrage opportunities may exist when the market
on which portfolio securities are traded closes before the Fund calculates its NAV, which is typically the case with Asian and
European markets. However, there is no assurance that these significant event procedures will prevent dilution of the NAV by
short-term traders.
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 fair value of the investment is determined using the methods
discussed above in
“Fair Valuation Procedures.”
The Board periodically reviews any fair valuations made in response to
significant events.
PAYMENTS TO FINANCIAL INTERMEDIARIES
The Adviser may pay out of its own resources amounts to certain financial intermediaries, including broker-dealers, banks,
registered investment advisers, independent financial planners and retirement plan administrators, that support the sale of Shares
or provide services to Fund shareholders. The amounts of these payments could be significant, and may create an incentive for
the financial intermediary or its employees or associated persons to recommend or sell Shares of the Fund to you. Not all
financial intermediaries receive such payments, and the amount of compensation may vary by intermediary. In some cases, such
payments may be made by or funded from the resources of companies affiliated with the Adviser. These payments are not
reflected in the fees and expenses listed in the fee table section of the Fund’s Prospectus and described above because they are
not paid by the Fund.
These payments are negotiated and may be based on such factors as: the number or value of Shares that the financial
intermediary sells or may sell; the value of client assets invested; the level and types of services or support furnished by the
financial intermediary; or the Fund’s and/or other Federated Hermes funds’ relationship with the financial intermediary. You can
ask your financial intermediary for information about any payments it receives from the Adviser and any services provided, as
well as about fees and/or commissions it charges.
Portfolio Trading
Brokerage Transactions And Investment Allocation
Equity securities may be traded in the over-the-counter market through broker/dealers acting as principal or agent, or in
transactions directly with other investors. Transactions may also be executed on a securities exchange or through an electronic
communications network. The Adviser seeks to obtain best execution of trades in equity securities by balancing the costs
inherent in trading, including opportunity costs, market impact costs and commissions. As a general matter, the Adviser seeks to
add value to its investment management by using market information to capitalize on market opportunities, actively seek
liquidity and discover price. The Adviser continually monitors its trading results in an effort to improve execution. Fixed-income
33

securities are generally traded in an over-the-counter market on a net basis (i.e., without commission) through dealers acting as
principal or in transactions directly with the issuer. Dealers derive an undisclosed amount of compensation by offering securities
at a higher price than they bid for them. Some fixed-income securities may have only one primary market maker. The Adviser
seeks to use dealers it believes to be actively and effectively trading the security being purchased or sold, but may not always
obtain the lowest purchase price or highest sale price with respect to a fixed-income security. The Adviser’s receipt of research
services (as described below) may also be a factor in the Adviser’s selection of brokers and dealers. The Adviser may also direct
certain portfolio trades to a broker that, in turn, pays a portion of the Fund’s operating expenses. The Adviser makes decisions on
portfolio transactions and selects brokers and dealers subject to review by the Fund’s Board.
Investment decisions for the Fund are made independently from those of other accounts managed by the Adviser and accounts
managed by affiliates of the Adviser. Except as noted below, when the Fund and one or more of those accounts invests in, or
disposes of, the same security, available investments or opportunities for sales will be allocated among the Fund and the
account(s) in a manner believed by the Adviser to be equitable. While the coordination and ability to participate in volume
transactions may benefit the Fund, it is possible that this procedure could adversely impact the price paid or received and/or the
position obtained or disposed of by the Fund. Investments for Federated Hermes Kaufmann Fund and other accounts managed by
that fund’s portfolio managers in initial public offerings (IPO) are made independently from any other accounts, and much of
their non-IPO trading may also be conducted independently from other accounts. Trading and allocation of investments,
including IPOs, for accounts managed by Federated MDTA LLC are also made independently from the Fund. Investment
decisions and trading for certain separately managed or wrap-fee accounts, and other accounts, of the Adviser and/or certain
investment adviser affiliates of the Adviser also are generally made and conducted independently from the Fund. It is possible
that such independent trading activity could adversely impact the prices paid or received and/or positions obtained or disposed of
by the Fund.
Brokerage and Research Services
Brokerage services include execution of trades and products and services that relate to the execution of trades, including
communications services related to trade execution, clearing and settlement, trading software used to route orders to market
centers, software that provides algorithmic trading strategies and software used to transmit orders to direct market access (DMA)
systems. Research services may include: advice as to the advisability of investing in securities; security analysis and reports;
economic studies; industry studies; receipt of quotations for portfolio evaluations; and similar services. Research services assist
the Adviser and its affiliates in terms of their overall investment responsibilities to funds and investment accounts for which they
have investment discretion. However, particular brokerage and research services received by the Adviser and its affiliates may
not be used to service every fund or account, and may not benefit the particular funds and accounts that generated the brokerage
commissions. In addition, brokerage and research services paid for with commissions generated by the Fund may be used in
managing other funds and accounts. To the extent that receipt of these services may replace services for which the Adviser or its
affiliates might otherwise have paid, it would tend to reduce their expenses. The Adviser and its affiliates exercise reasonable
business judgment in selecting brokers to execute securities transactions where receipt of research services is a factor. They
determine in good faith that commissions charged by such persons are reasonable in relationship to the value of the brokerage
and research services provided.
Taxes
The Fund intends to elect to be treated and to qualify each year as a regulated investment company (“RIC”) under the Internal
Revenue Code of 1986, as amended (the “Code”). Accordingly, the Fund must, among other things, meet the following
requirements regarding the source of its income and the diversification of its assets:
(i) The Fund must derive in each taxable year at least 90% of its gross income from the following sources: (a) dividends,
interest (including tax-exempt interest), payments with respect to certain securities loans, and gains from the sale or other
disposition of stock, securities or foreign currencies, or other income (including but not limited to gain from options, futures and
forward contracts) derived with respect to its business of investing in such stock, securities or foreign currencies; and (b) net
income derived from interests in “qualified publicly traded partnerships” (as defined in the Code).
(ii) The Fund must diversify its holdings so that, at the end of each quarter of each taxable year: (a) at least 50% of the market
value of the Fund’s total assets is represented by cash and cash items, U.S. government securities, the securities of other
regulated investment companies and other securities, with such other securities limited, in respect of any one issuer, to an amount
not greater than 5% of the value of the Fund’s total assets and not more than 10% of the outstanding voting securities of such
34

issuer; and (b) not more than 25% of the market value of the Fund’s total assets is invested in the securities (other than
U.S. government securities and the securities of other regulated investment companies) of (I) any one issuer, (II) any two or more
issuers that the Fund controls and that are determined to be engaged in the same business or similar or related trades or
businesses or (III) any one or more “qualified publicly traded partnerships” (as defined in the Code).
As a RIC, the Fund generally will not be subject to U.S. federal income tax on income and gains that the Fund distributes to its
shareholders provided that it distributes each taxable year at least the sum of (i) 90% of the Fund’s investment company taxable
income (which includes, among other items, dividends, interest and the excess of any net short-term capital gain over net long-term
capital loss and other taxable income, other than any net long-term capital gain, reduced by deductible expenses) determined
without regard to the deduction for dividends paid and (ii) 90% of the Fund’s net tax-exempt interest (the excess of its gross tax-exempt
interest over certain disallowed deductions). The Fund intends to distribute substantially all of such income each year.
The Fund will be subject to income tax at regular corporation rates on any taxable income or gains that it does not distribute to
its shareholders.
In order to avoid incurring a nondeductible 4% federal excise tax obligation, the Code requires that the Fund distribute (or be
deemed to have distributed) by December 31 of each calendar year an amount at least equal to the sum of (i) 98% of its ordinary
income for such year (ii) 98.2% of its capital gain net income (which is the excess of its realized net long-term capital gain over
its realized net short-term capital loss), generally computed on the basis of the one-year period ending on October 31 of such
year, after reduction by any available capital loss carryforwards, and (iii) 100% of any ordinary income and capital gain net
income from the prior year (as previously computed) that were not paid out during such year and on which the Fund paid no
federal income tax. While the Fund intends to distribute any ordinary income and capital gain in the manner necessary to
minimize imposition of the 4% excise tax, there can be no assurance that sufficient amounts of the Fund’s ordinary income and
capital gain will be distributed to avoid entirely the imposition of the tax. In that event, the Fund will be liable for the tax only on
the amount by which it does not meet the foregoing distribution requirement.
If the Fund does not qualify as a RIC for any taxable year, the Fund’s taxable income will be subject to corporate income
taxes, and all distributions from earnings and profits, including distributions of net capital gain (if any), will be taxable to the
shareholder as ordinary income or, if certain holding period and other requirements are met, as qualified dividend income. In
addition, in order to requalify for taxation as a RIC, the Fund may be required to recognize unrealized gains, pay substantial taxes
and interest, and make certain distributions.
Distributions of any taxable net investment income and net short-term capital gain will generally be taxable as ordinary
income. Distributions of the Fund’s net capital gain designated as capital gain dividends, if any, will be taxable to shareholders as
long-term capital gains, regardless of the length of time they held their Shares. Distributions, if any, in excess of the Fund’s
earnings and profits will first reduce the adjusted tax basis of a holder’s Shares and, after that basis has been reduced to zero, will
constitute capital gains to the shareholder (assuming the Shares are held as a capital asset). See below for a summary of the
maximum tax rates applicable to capital gains (including capital gain dividends). The Fund’s distributions generally will not
qualify either for the dividends received deduction generally available to corporate taxpayers or as qualified dividend income
subject to favorable tax treatment for individual taxpayers. “Qualified dividend income” means dividends received by the Fund
from U.S. corporations and qualifying foreign corporations, provided that the Fund satisfies certain holding period and other
requirements in respect of the stock of such corporations and, when distributed by the Fund to individual shareholders, such
shareholders satisfy certain holding period and other requirements in respect of their Shares.
Dividends and other distributions declared by the Fund in October, November or December of any year and payable to
shareholders of record on a date in any of those months will be deemed to have been paid by the Fund and received by the
shareholders on December 31 of that year if the distributions are paid by the Fund during the following January. Accordingly,
those distributions will be taxed to shareholders for the year in which that December 31 falls. The Fund will inform shareholders
of the source and tax status of all distributions promptly after the close of each calendar year.
Dividends and interest received, and gains realized, by the Fund on foreign securities may be subject to income, withholding or
other taxes imposed by foreign countries and U.S. possessions (collectively “foreign taxes”) that would reduce the return on its
securities. Tax conventions between certain countries and the United States, however, may reduce or eliminate foreign taxes, and
many foreign countries do not impose taxes on capital gains in respect of investments by foreign investors.
The Fund believes that substantially all of its investment strategies will generate qualifying income for purposes of the Fund
meeting the requirements for treatment as a RIC under current federal income tax law. Interest received by the Fund in
connection with its trade finance investments will be qualifying income for purposes of such requirements, but income from
engaging in lending or other business activities would not be qualifying income. The Fund must take into account the distinction
between these types of income in structuring its participation in trade finance investments. Also, the Code expressly provides the
U.S. Treasury with authority to issue regulations that would exclude foreign currency gains from qualifying income if such gains
35

are not directly related to a fund’s business of investing in stock or securities. While to date the U.S. Treasury has not exercised
this regulatory authority, there can be no assurance that it will not issue regulations in the future (possibly with retroactive
application) that would treat some or all of the Fund’s foreign currency gains as non-qualifying income for RIC purposes, which
may affect the Fund’s status as a RIC for all years to which such regulations are applicable.
Because the Fund will invest substantially in interest-bearing securities rather than in the stock of domestic corporations,
dividends paid by the Fund are generally not expected to qualify for the reduced income tax rates applicable to qualified
dividend income.
The Fund’s investment in zero coupon and certain other securities will cause it to realize income prior to the receipt of cash
payments with respect to these securities. Such income will be accrued daily by the Fund and, in order to avoid a tax payable by
the Fund, the Fund may be required to liquidate securities that it might otherwise have continued to hold in order to generate cash
so that the Fund may make required distributions to its shareholders.
Investments in lower rated or unrated securities may present special tax issues for the Fund to the extent that the issuers of
these securities default on their obligations pertaining thereto. The Code is not entirely clear regarding the federal income tax
consequences of the Fund’s taking certain positions in connection with ownership of such distressed securities, such as when the
Fund may cease to accrue interest, original issue discount, or market discount, when and to what extent deductions may be taken
for bad debts or worthless securities, how payments received on obligations in default should be allocated between principal and
income, and whether exchanges of debt obligations in a workout context are taxable. These and other issues will be addressed by
the Fund if it holds such obligations in order to reduce the risk of distributing insufficient income to preserve its status as a
regulated investment company and seek to avoid becoming subject to federal income or excise tax.
Any recognized gain or income attributable to market discount on long-term debt obligations (i.e., on obligations with a term
of more than one year except to the extent of a portion of the discount attributable to original issue discount) purchased by the
Fund is taxable as ordinary income. A long-term debt obligation is generally treated as acquired at a market discount if purchased
after its original issue at a price less than (i) the stated principal amount payable at maturity, in the case of an obligation that does
not have original issue discount or (ii) in the case of an obligation that does have original issue discount, the sum of the issue
price and any original issue discount that accrued before the obligation was purchased, subject to a de minimis exclusion.
Foreign exchange gains and losses realized by the Fund in connection with certain transactions involving foreign currency-denominated
debt securities, certain foreign currency futures and options, foreign currency forward contracts, foreign currencies,
or payables or receivables denominated in a foreign currency are subject to Section 988 of the Code, which generally causes such
gains and losses to be treated as ordinary income and losses and may affect the amount, timing and character of distributions to
shareholders. If the net foreign exchange loss for a year treated as ordinary loss under Section 988 were to exceed the Fund’s
investment company taxable income, computed without regard to such loss but after considering the post-October loss
regulations, the resulting overall ordinary loss for such year would not be deductible by the Fund or its shareholders in future
years. Under such circumstances, distributions paid by the Fund could be deemed return of capital.
Taxation of interest received by the Fund with respect to emerging market borrowers may be subject to foreign taxes that may
or may not be reclaimable. Trade finance related securities may include methods to minimize such risks but no assurance can be
given that such techniques will be successful. In addition, markets in which the Fund invests may have less well developed or
defined tax laws and procedures than in more developed markets and this may adversely affect the level of tax suffered by
investment in those markets. This may also include the imposition of retroactive taxation which had not reasonably been
anticipated in the valuation of the assets of the Fund. This may result in uncertainty which could necessitate significant
provisions being made for foreign taxes in the calculation of the NAV of the Fund.
Certain transactions entered into by the Fund are subject to special tax rules of the Code that may, among other things,
(a) affect the character of gains and losses realized, (b) disallow, suspend or otherwise limit the allowance of certain losses or
deductions and (c) accelerate the recognition of income without a corresponding receipt of cash (with which to make the
necessary distributions to satisfy distribution requirements applicable to RICs). Operation of these rules may affect the character,
amount and timing of distributions to shareholders. Special tax rules may also require the Fund to mark-to-market (i.e., treat them
as sold on the last day of the taxable year) certain types of positions in its portfolio (i.e., some of the call options written by the
Fund) and may result in the recognition of income without a corresponding receipt of cash. The Fund intends to monitor
transactions, make appropriate tax elections and make appropriate entries in its books and records to avoid any possible
disqualification for the special treatment afforded RICs under the Code.
The Fund will inform shareholders of the source and tax status of all distributions promptly after the close of each
calendar year.
36

The repurchase or transfer of Shares may result in a taxable gain or loss to the tendering shareholder. Different tax
consequences may apply for tendering and non-tendering shareholders in connection with a repurchase offer. For example, if a
shareholder does not tender all of his or her Shares, such repurchase may not be treated as an exchange for U.S. federal income
tax purposes and may result in deemed distributions to non-tendering shareholders. On the other hand, shareholders who tender
all of their Shares (including Shares deemed owned by shareholders under constructive ownership rules) will be treated as having
sold their Shares and generally will realize a capital gain or loss. Such gain or loss is measured by the difference between the
shareholder’s amount received and his or her adjusted tax basis of the Shares. For non-corporate Shareholders, gain or loss from
the transfer or repurchase of Shares generally will be taxable at a U.S. federal income tax rate dependent upon the length of time
the Shares were held. The maximum tax rate applicable to net capital gains recognized by individuals and other non-corporate
taxpayers is (i) the same as the maximum ordinary income tax rate for gains recognized on the sale of capital assets held for one
year or less, or (ii) 20% for gains recognized on the sale of capital assets held for more than one year (as well as certain capital
gain distributions). Any loss on a disposition of Shares held for six months or less will be treated as a long-term capital loss to the
extent of any capital gain distributions received with respect to those Shares. For purposes of determining whether Shares have
been held for six months or less, the holding period is suspended for any periods during which the shareholder’s risk of loss is
diminished as a result of holding one or more other positions in substantially similar or related property, or through certain
options or short sales. Any loss realized on a sale or exchange of Shares will be disallowed to the extent those Shares are replaced
by other Shares within a period of 61 days beginning 30 days before and ending 30 days after the date of disposition of the
Shares (whether through the reinvestment of distributions, which could occur, for example, if the shareholder is a participant in
the Plan (as defined below) or otherwise). In that event, the basis of the replacement Shares will be adjusted to reflect the
disallowed loss.
An investor should be aware that, if Shares are purchased shortly before the record date for any taxable distribution (including
a capital gain distribution), the purchase price likely will reflect the value of the distribution and the investor then would receive a
taxable distribution likely to reduce the trading value of such Shares, in effect resulting in a taxable return of some of the
purchase price.
Amounts paid by the Fund to individuals and certain other shareholders who have not provided the Fund with their correct
taxpayer identification number (“TIN”) and certain certifications required by the Internal Revenue Service (the “IRS”) as well as
shareholders with respect to whom the Fund has received certain information from the IRS or a broker may be subject to
“backup” withholding of federal income tax arising from the Fund’s taxable dividends and other distributions as well as the gross
proceeds of sales of Shares, at the current rate of 24%. An individual’s TIN is generally his or her social security number.
Backup withholding is not an additional tax. Any amounts withheld under the backup withholding rules from payments made to a
shareholder may be refunded or credited against such shareholder’s U.S. federal income tax liability, if any, provided that the
required information is furnished to the IRS.
If a shareholder realizes a loss on disposition of Shares of $2 million or more for an individual shareholder or $10 million or
more for a corporate shareholder, the shareholder must file with the Internal Revenue Service a disclosure statement on Form
8886. Direct shareholders of portfolio securities are in many cases excepted from this reporting requirement, but under current
guidance, shareholders of a regulated investment company are not excepted. Future guidance may extend the current exception
from this reporting requirement to shareholders of most or all regulated investment companies.
Certain net investment income received by an individual having modified adjusted gross income in excess of $200,000 (or
$250,000 for married individuals filing jointly) will be subject to a tax of 3.8 percent. Certain dividends and capital gain
distributions paid by the Fund will constitute investment income of the type subject to this tax.
The foregoing briefly summarizes some of the material federal income tax consequences to shareholders of investing in
Shares, reflects the federal tax law as of the date of this Statement of Additional Information, and does not address special tax
rules applicable to certain types of investors, such as tax-exempt entities, foreign investors, insurance companies and financial
institutions. Unless otherwise noted, this discussion assumes that an investor is a U.S. person and holds the Shares as a capital
asset. This discussion is based upon present provisions of the Code, the regulations promulgated thereunder, and judicial and
administrative ruling authorities, all of which are subject to change or differing interpretations by the courts or the IRS
retroactively or prospectively. Shareholders should consult their own tax advisers with respect to special tax rules that may apply
in their particular situations, as well as the state, local, and, where applicable, foreign tax consequences of investing in the Fund.
Non-U.S. investors not engaged in a U.S. trade or business with which their investment in the Fund is effectively connected
will be subject to U.S. federal income tax treatment that is different from that described above. These investors may be subject to
nonresident alien withholding tax at the rate of 30% (or a lower rate under an applicable tax treaty) on amounts treated as
ordinary dividends from a Fund and, unless an effective IRS Form W-8BEN or other authorized withholding certificate is on file
37

and to backup withholding on certain other payments from the Fund. Capital gain distributions and dividends properly designated
as interest-related dividends and short-term capital gain dividends will not be subject to the 30% withholding tax.
Non-U.S. investors should consult their tax advisers regarding such treatment and the application of foreign taxes to an
investment in the Fund.
Under recent legislation known as FATCA, beginning in 2014, a 30% U.S. withholding tax may apply to any U.S.-source
“withholdable payments” made to a non-U.S. entity unless the non-U.S. entity enters into an agreement with either the IRS or a
governmental authority in its own country, as applicable, to collect and provide substantial information regarding the entity’s
owners, including “specified United States persons” and “United States owned foreign entities,” or otherwise demonstrates
compliance with or exemption from FATCA. The term “withholdable payment” for these purposes would include dividends paid
by the Fund. The withholding tax regime went into effect on July 1, 2014 with respect to U.S.-source income. Proposed
regulations (having immediate effect) would eliminate the withholding tax that was scheduled to begin in 2019 with respect to
U.S.-source investment sale proceeds. Non-U.S. investors should consult their own tax advisers regarding the impact of this
recent legislation on their investment in the Fund.
State and local taxes
Shareholders should consult their own tax advisers as to the state or local tax consequences of investing in the Fund.
Other Information
The Fund is an organization of the type commonly known as a “Delaware statutory trust.” The Fund’s Declaration of Trust
provides that the Trustees and officers of the Fund, in their capacity as such, will not be personally liable for errors of judgment
or mistakes of fact or law; but nothing in the Declaration of Trust protects a Trustee against any liability to the Fund or its
shareholders to which he would otherwise be subject by reason of willful misfeasance, bad faith, gross negligence, or reckless
disregard of the duties involved in the conduct of his office. Voting rights are not cumulative, which means that the holders of
more than 50% of the Shares voting for the election of Trustees can elect 100% of the Trustees and, in such event, the holders of
the remaining less than 50% of the Shares voting on the matter will not be able to elect any Trustees.
Pursuant to Delaware law, the Fund’s Declaration of Trust places certain limitations on the ability of shareholders to bring
derivative actions on behalf of the Fund. Such limitations include, but are not limited to, that generally at least 10% of
shareholders must join a written demand of the Trustees to bring an action and that the Trustees may review and reject the
demand after evaluation. The Fund’s Declaration of Trust also includes provisions altering the fiduciary duties of the Fund’s
Trustees, officers, employees or agents of the Fund. Such limitations do not apply to claims asserted under the federal securities
laws to the extent that any such federal laws, rules or regulations do not permit such application. To the extent it is determined
that any such applicable laws or regulations preclude the application of these limitations under federal securities laws, the
relevant provisions of the Fund’s Declaration of Trust are severable and any such determination would not affect the remaining
provisions of the Fund’s Declaration of Trust.
The Fund’s Prospectus and this SAI do not contain all of the information set forth in the Registration Statement that the Fund
has filed with the SEC. The complete Registration Statement may be obtained from the SEC upon payment of the fee prescribed
by its rules and regulations.
The Financial Statements for the Fund for the fiscal year ended March 31,
2024
, are incorporated herein by reference to the
Annual Report to Shareholders of Federated Hermes Project and Trade Finance Tender Fund dated March 31,
2024
.
38

Addresses
Federated Hermes Project and Trade Finance Tender Fund
Investment Adviser
Federated Investment Management Company

1001 Liberty Avenue

Pittsburgh, Pennsylvania 15222-3779

1-800-341-7400
Investment Sub-Adviser
Federated Hermes (UK) LLP

150 Cheapside

London, EC2V 6ET, England
Administrator
Federated Administrative Services

1001 Liberty Avenue

Pittsburgh, Pennsylvania 15222-3779

1-800-341-7400
Custodian
State Street Bank & Trust Company

P.O. Box 219221

Kansas City, MO 64121-9221
Transfer Agent and Dividend Disbursing Agent
SS&C GIDS, Inc.

1055 Broadway
Kansas City, MO 64105
Independent Registered Public Accounting Firm
KPMG LLP

Two Financial Center

60 South Street

Boston, MA 02111





39

PART C. OTHER INFORMATION.

Item 25. Financial Statements and Exhibits

(1) Financial Statements

Included in Part A:

Financial Highlights for period ended March 31, 2024

Included in Part B:

Portfolio of Investments.*

Financial Highlights.*

Statement of Assets and Liabilities.*

Statement of Operations.*

Statement of Changes in Net Assets.*

Statement of Cash Flows.*

Notes to Financial Statements.*

Report of Independent Registered Public Accounting Firm.*

*Incorporated by reference to the Registrant’s Form N-CSR filed with the Securities and Exchange Commission on May 28, 2024 (Accession No. 0001623632-24-000644)

 

(2) Exhibits:
(a) Declaration of Trust  
1 Conformed copy of Certificate of Trust of the Registrant dated June 23, 2016, including Amendment effective June 26, 2020, as filed via EDGAR in Post-Effective Amendment No. 2 on July 21, 2020 on Form N-2 (File Nos. 333-231065 and 811-23174)  
2 Conformed copy of Declaration of Trust of the Registrant dated October 1, 2016, including Amendment No. 1 effective June 26, 2020, as filed via EDGAR in Post-Effective Amendment No. 2 on July 21, 2020 on Form N-2 (File Nos. 333-231065 and 811-23174)  

 

(b) By-Laws  
  Copy of By-Laws of the Registrant dated October 1, 2016, (effective as of June 26, 2020) including Amendment No. 1 dated August 17, 2018, as filed via EDGAR in Post-Effective Amendment No. 2 on July 21, 2020 on Form N-2 (File Nos. 333-231065 and 811-23174)  

 

(c) Copies of any Voting Trust Agreement with respect to more than Five Percent of any Class of Equity Securities of the Registrant  
  Not applicable  

 

(d) Constituent Instruments Defining Rights of Holders of Securities  
1 Response is incorporated by reference to Exhibit 2 (a)(2) above  
2 Response is incorporated by reference to Exhibit 2 (b) above  

 

(e) Dividend Reinvestment Plan  
  Copy of Registrant’s Dividend Reinvestment Plan (reflecting Registrant name change dated June 29, 2020), as filed via EDGAR in Post-Effective Amendment No. 2 on July 21, 2020 on Form N-2 (File Nos. 333-231065 and 811-23174)  

 

(f) Constituent Instruments Defining Rights of Holders of Long-Term Debt Securities of Subsidiaries for which Consolidated or Unconsolidated Financial Statements are Required to be Filed  
  Not applicable  

 

(g) Investment Advisory Contracts  
     
1

Federated Investment Management Company

Conformed copy of the investment advisory contract of the Registrant (reflecting Registrant name change dated June 29, 2020), dated October 1, 2016, including Exhibit A, and Limited Power of Attorney dated June 1, 2017, as filed via EDGAR in Post-Effective Amendment No. 2 on July 21, 2020 on Form N-2 (File Nos. 333-231065 and 811-23174)

 
     
2

Federated Hermes (UK) LLP

Conformed copy of the investment subadvisory agreement of the Registrant, Federated Investment Management Company and Federated Hermes (UK) LLP, dated October 17, 2016 (reflecting Registrant name change dated June 29, 2020 and Subadviser name change dated June 19, 2020), including Appendix A and Limited Power of Attorney dated June 1, 2017, as filed via EDGAR in Post-Effective Amendment No. 3 on May 27, 2021 (File Nos. 333-231065 and 811-23174)

 

 

(h) Underwriting Contracts  
  Conformed copy of Distributor’s Contact of the Registrant dated October 1, 2016, (reflecting Registrant name change dated June 29, 2020), as filed via EDGAR in Post-Effective Amendment No. 2 on July 21, 2020 on Form N-2 (File Nos. 333-231065 and 811-23174)  

 

(i) Bonus, Profit Sharing, Pension, or Other Similar Contracts or Arrangements  
  Not applicable  

 

(j) Custodian Agreements  
  Conformed copy of Amended and Restated Master Custodian Agreement dated March 1, 2017 by and between State Street Bank and Trust Company and the Registrant, including Appendix A, revised as of March 1, 2024 +

 

(k) Other Material Contracts  
     
1 Agency Agreement  
 

Conformed copy of amended Agency Agreement between Registrant and DST Systems, Inc., dated December 6, 2016 (reflecting Registrant name change dated June 29, 2020), as filed via EDGAR in Post-Effective Amendment No. 2 filed July 21, 2020 on Form N-2 (File Nos. 333-231065 and 811-23174)

 

 
     
2 Administrative Services Agreement  
  Conformed copy of the Fourth Amended and Restated Agreement for Administrative Services between the Federated Funds and Federated Administrative Services dated September 1, 2022, including Exhibit A (dated March 1, 2024) and Exhibit B +
     
3 Financial Administration and Accounting Agreement  
  Conformed copy of the Financial Administration and Accounting Services Agreement between the Federated Funds and State Street Bank and Trust Company dated March 1, 2011, including Exhibit A (updated as of March 1, 2024) +

 

(l) Legal Opinion  
  Conformed copy of Opinion and Consent of K&L Gates LLP +

 

(m) Consent to Service of Process  
  Not applicable  

 

(n) Other Opinions  
  Conformed copy of Consent of KPMG LLP, Independent Registered Public Accounting Firm +

 

(o) Omitted Financial Statements  
  Not applicable  

 

(p) Initial Capital Agreements  
  Conformed copy of Initial Capital Understanding, as filed via EDGAR in Pre-Effective Amendment No. 1 filed October 28, 2016 on Form N-2 (File Nos. 333-212613 and 811-23174)  

 

(q) Model Retirement Plans  
  Not applicable  

 

(r) Codes of Ethics  
  Conformed copy of the Federated Hermes, Inc. Code of Ethics for Access Persons, effective November 10, 2021, as filed via EDGAR in Post-Effective Amendment No. 4 filed May 26, 2022 on Form N-2 (File Nos. 333-231065 and 811-23174)  

 

(s) Calculation of Filing Fee Table  
  Copy of the Registrant’s Calculation of Filing Fee Tables (Newly Registered and Carry Forward Securities) +

 

(t) Powers of Attorney  
  Conformed copy of Power of Attorney of the Registrant dated May 21, 2024 +

 

+ Exhibit is being filed electronically with registration statement  

 

Exhibit List for Inline Interactive Data File Submission.

Index No. Description of Exhibit
EX-101.INS XBRL Instance Document - Instance Document does not appear in the Interactive Data File because its XBRL tags are embedded within the inline XBRL document.
EX-101.SCH XBRL Taxonomy Extension Schema Document
EX-101.DEF XBRL Taxonomy Extension Definition Linkbase
EX-101.LAB XBRL Taxonomy Extension Labels Linkbase
EX-101.PRE XBRL Taxonomy Extension Presentation Linkbase
 
 

 

Item 26.Marketing Arrangements

Distribution contract incorporated by reference to Pre-Effective Amendment #1 filed October 28, 2016.

Item 27. Other Expenses of Issuance and Distribution

Not applicable.

Item 28. Persons Controlled by or Under Common Control with the Fund:

None.

Item 29. Number of Holders of Securities

Set forth below is the number of record holders as of May 1, 2024, of each class of securities of the Registrant:

Title of Class Number of Record Holders
Common shares of beneficial interest 5

 

Item 30. Indemnification:

Indemnification is provided to Officers and Trustees of the Registrant pursuant to the Registrant’s By-Laws, as amended. This includes indemnification against: (a) any liabilities or expenses incurred in connection with the defense or disposition of any action, suit or proceeding in which an Officer or Trustee may be or may have been involved; and (b) any liabilities and expenses incurred by an Officer or Trustee as a result of having provided personally identifiable information to a regulator or counterparty by or with whom the Registrant or its series is regulated or engages in business to satisfy a legal or procedural requirement of such regulator or counterparty.

The Investment Advisory Contract, and Sub-Advisory Agreement as applicable, (collectively, “Advisory Contracts”) between the Registrant and the investment adviser, and sub-adviser as applicable, (collectively, “Advisers”) of its series, provide that, in the absence of willful misfeasance, bad faith, gross negligence, or reckless disregard of the obligations or duties under the Advisory Contracts on the part of the Advisers, Advisers shall not be liable to the Registrant or to any shareholder for any act or omission in the course of or connected in any way with rendering services or for any losses that may be sustained in the purchase, holding, or sale of any security.

The Registrant’s distribution contract contains provisions limiting the liability, and providing for indemnification, of the Officers and Trustees under certain circumstances.

Registrant’s Trustees and Officers are covered by an Investment Trust Errors and Omissions Policy.

Insofar as indemnification for liabilities arising under the Securities Act of 1933 may be permitted to Trustees, Officers, and controlling persons of the Registrant by the Registrant pursuant to the By-Laws, as amended, or otherwise, the Registrant is aware that in the opinion of the Securities and Exchange Commission, such indemnification is against public policy as expressed in the Act and, therefore, is unenforceable. In the event that a claim for indemnification against such liabilities (other than the payment by the Registrant of expenses incurred or paid by Trustees), Officers, or controlling persons of the Registrant in connection with the successful defense of any act, suit, or proceeding) is asserted by such Trustees, Officers, or controlling persons in connection with the shares being registered, the Registrant will, unless in the opinion of its counsel the matter has been settled by controlling precedent, submit to a court of appropriate jurisdiction the question whether such indemnification by it is against public policy as expressed in the Act and will be governed by the final adjudication of such issues.

Insofar as indemnification for liabilities may be permitted pursuant to Section 17 of the Investment Company Act of 1940 for Trustees, Officers, and controlling persons of the Registrant by the Registrant pursuant to the By-Laws, as amended, or otherwise, the Registrant is aware of the position of the Securities and Exchange Commission as set forth in Investment Company Act Release No. IC-11330. Therefore, the Registrant undertakes that in addition to complying with the applicable provisions of the By-Laws, as amended, or otherwise, in the absence of a final decision on the merits by a court or other body before which the proceeding was brought, that an indemnification payment will not be made unless in the absence of such a decision, a reasonable determination based upon factual review has been made (i) by a majority vote of a quorum of non-party Trustees who are not interested persons of the Registrant or (ii) by independent legal counsel in a written opinion that the indemnitee was not liable for an act of willful misfeasance, bad faith, gross negligence, or reckless disregard of duties. The Registrant further undertakes that advancement of expenses incurred in the defense of a proceeding (upon undertaking for repayment unless it is ultimately determined that indemnification is appropriate) against an Officer, Trustee or controlling person of the Registrant will not be made absent the fulfillment of at least one of the following conditions: (i) the indemnitee provides security for his undertaking; (ii) the Registrant is insured against losses arising by reason of any lawful advances; or (iii) a majority of a quorum of disinterested non-party Trustees or independent legal counsel in a written opinion makes a factual determination that there is reason to believe the indemnitee will be entitled to indemnification.

 

Item 31  Business and Other Connections of Investment Adviser (Federated Investment Management Company):
For a description of the other business of the Investment Adviser, see the section entitled “Who Manages the Fund?” in Part A. The affiliations with the Registrant of two of the Trustees and three of the Officers of the Investment Adviser are included in Part B of this Registration Statement under "Who Manages and Provides Services to the Fund?"  The remaining Trustees of the Investment Adviser and, in parentheses, their principal occupations are:  Thomas R. Donahue, (Chief Financial Officer, Federated Hermes, Inc.), 1001 Liberty Avenue, Pittsburgh, PA, 15222-3779, John B. Fisher, (Vice Chairman, Federated Hermes, Inc.) 1001 Liberty Avenue, Pittsburgh, PA, 15222-3779 and James J. Gallagher, II, Partner, Morris James LLP, 500 Delaware Avenue, Suite 1500, Wilmington, DE  19801-1494.  The business address of each of the Officers of the Investment Adviser is 1001 Liberty Avenue, Pittsburgh, Pennsylvania 15222-3779.  These individuals are also officers of a majority of the Investment Advisers to the investment companies in the Federated Hermes Fund Complex described in Part B of this Registration Statement.
The Officers of the Investment Adviser are:
Chairman: J. Christopher Donahue
President/ Chief Executive Officer: John B. Fisher
Executive Vice Presidents:

Deborah A. Cunningham

Anne H. Kruczek

Robert J. Ostrowski

Timothy G. Trebilcock

Senior Vice Presidents:

Todd Abraham

Jonathan C. Conley

Mark E. Durbiano

Donald T. Ellenberger

Eamonn G. Folan

Richard J. Gallo

John T. Gentry

Michael R. Granito

Lori A. Hensler

Susan R. Hill

William R. Jamison

Jeffrey A. Kozemchak

Tracey L. Lusk

Judith J. Mackin

Marian R. Marinack

Christopher P. McGinley

Mary Jo Ochson

Ihab Salib

Michael W. Sirianni, Jr.

Nicholas S. Tripodes

Paige Wilhelm

 

Vice Presidents:

John Badeer

Patrick D. Benacci

Christopher S. Bodamer

G. Andrew Bonnewell

Hanan Callas

David B. Catalane, Jr.

Nicholas S. Cecchini

James Chelmu

Leslie Ciferno

Jerome Conner

Lee R. Cunningham, II

Gregory Czamara, V

B. Anthony Delserone, Jr.

Jason DeVito

Bryan Dingle

Ann Ferentino

Kevin M. Fitzpatrick

Timothy P. Gannon

Kathryn P. Glass

James L. Grant

Brandon Ray Hochstetler

Nathan H. Kehm

Allen J. Knizner

Karen Manna

Daniel James Mastalski

Robert J. Matthews

Karl Mocharko

Joseph M. Natoli

Nicholas Navari

Gene Neavin

Bob Nolte

Liam O’Connell

Bradley S. Payne

John Polinski

Rae Ann Rice

Braden Rotberg

Brian Ruffner

Thomas C. Scherr

John Scullion

John Sidawi

Paul Smith

Peter Snook

Kyle Stewart

Randal Stuckwish

Mary Ellen Tesla

Frank Tetlow

James Damen Thompson

Anthony A. Venturino

Mark Weiss

George B. Wright

Christopher Wu

 

Assistant Vice Presidents:

Patrick B. Cooper

Quincy Hershey

Christopher F. Hopkins

Jeff J. Ignelzi

Bennett L. Lo

Natasha Nunez

Steven J. Slanika

Tyler R. Stenger

Patrick O. Watson

Michael S. Wilson

John E. Wyda

 

Secretary: G. Andrew Bonnewell
Assistant Secretaries:

Edward C. Bartley

Jonathan M. Lushko

George F. Magera

 

Treasurer: Thomas R. Donahue
Assistant Treasurers: Jeremy D. Boughton
Richard A. Novak
Chief Compliance Officer: Stephen Van Meter

 

 

Item 31. Business and Other Connections of Investment Sub-Adviser
(Federated Hermes (UK) LLP):
For a description of the other business of the Investment Sub-Adviser, see the section entitled “Management of the Fund” in Part A. The affiliation with the Registrant of five of the Officers of the Investment Sub-Adviser is included in Part B of this Registration Statement under “Management of the Fund.”  The Trustees of the Investment Sub-Adviser and, in parentheses, their principal occupations are:  Gordon J. Ceresino, (President, Federated International Management Limited; executive director for international distribution); and Gregory P. Dulski, (Senior Corporate Counsel, Federated Hermes, Inc.).  The business address of the Trustees is 1001 Liberty Avenue, Pittsburgh, Pennsylvania 15222-3779.  The business address of the Officers of the Investment Adviser is noted below.
The Officers of the Investment Sub-Adviser are:
President/ Chief Executive Officer: Gordon J. Ceresino1
Senior Vice President:

Deborah A. Cunningham 1

Dennis Gepp3

Robert Ostrowski1

Vice Presidents: Patrick Bayliss3
Gregory P. Dulski1
Mohammed Hassan Elmi3
Christopher McGinley1
Gary Skedge3
Robert J. Wagner2
Assistant Vice President: Ketan Shah3
Managing Director and Chief Investment Officer: Dennis Gepp3
Chief Operating Officer: Judith Benson3
Chief Compliance Officer: Stephen Van Meter1
Treasurer: Richard A. Novak1
Assistant Treasurer: Jeremy D. Boughton1

1 1001 Liberty Ave., Pittsburgh, PA 15222
2 4000 Ericsson Dr., Warrendale, PA 15086
3 150 Cheapside, London, EC2V 6ET, England

 

Item 32. Location of Accounts and Records:

All accounts and records required to be maintained by Section 31(a) of the Investment Company Act of 1940 and Rules 31a-1 through 31a-3 promulgated thereunder are maintained at one of the following locations:

Federated Hermes Project and Trade Finance Tender Fund

(Registrant)

Federated Hermes Funds
4000 Ericsson Drive
Warrendale, PA 15086-7561

(Notices should be sent to the Agent for Service at the address listed on the facing page of this filing)

Federated Administrative Services
(Administrator)
1001 Liberty Avenue
Pittsburgh, PA  15222-3779

Federated Securities Corp.

(Distributor)

 

1001 Liberty Avenue

Pittsburgh, PA 15222-3779

Federated Investment Management Company

(Adviser)

1001 Liberty Avenue
Pittsburgh, PA  15222-3779
Federated Hermes (UK) LLP
(Sub-Adviser)
150 Cheapside
London EC2V 6ET
England

Federated Advisory Services Company

(Adviser)

1001 Liberty Avenue

Pittsburgh, PA 15222-3779

SS&C GIDS, Inc.

(Transfer Agent and Dividend Disbursing Agent)

1055 Broadway
Kansas City, MO 64105

State Street Bank and Trust Company

(Custodian)

P.O. Box 219221
Kansas City, MO 64121-9221

 

Item 33. Management Services: Not applicable.

 

Item 34. Undertakings:
1. An undertaking to suspend the offering of shares until the prospectus is amended if (1) subsequent to the effective date of its registration statement, the net asset value declines more than ten percent from its net asset value as of the effective date of the registration statement or (2) the net asset value increases to an amount greater than its net proceeds as stated in the prospectus.
2. Not applicable.
3. The Registrant undertakes:
(a) To file, during any period in which offers or sales are being made, a post-effective amendment to the registration statement:
(1) to include any prospectus required by Section 10(a)(3) of the Securities Act;
(2) to reflect in the prospectus any facts or events after the effective date of the registration statement (or the most recent post-effective amendment thereof) which, individually or in the aggregate, represent a fundamental change in the information set forth in the registration statement. Notwithstanding the foregoing, any increase or decrease in volume of securities offered (if the total dollar value of securities offered would not exceed that which was registered) and any deviation from the low or high end of the estimated maximum offering range may be reflected in the form of prospectus filed with the Securities and Exchange Commission pursuant to Rule 424(b) if, in the aggregate, the changes in volume and price represent no more than 20% change in the maximum aggregate offering price set forth in the “Calculation of Registration Fee” table in the effective registration statement; and
(3) to include any material information with respect to the plan of distribution not previously disclosed in the registration statement or any material change to such information in the registration statement.
(b) That, for the purpose of determining any liability under the Securities Act, each such post-effective amendment shall be deemed to be a new registration statement relating to the securities offered therein, and the offering of those securities at that time shall be deemed to be the initial bona fide offering thereof.
(c) To remove from registration by means of a post-effective amendment any of the securities being registered which remain unsold at the termination of the offering.
(d) That, for the purpose of determining liability under the Securities Act to any purchaser, (1) if the Registrant is relying on Rule 430B: (A) Each prospectus filed by the Registrant pursuant to Rule 424(b)(3) shall be deemed to be part of the registration statement as of the date the filed prospectus was deemed part of and included in the registration statement; and (B) Each prospectus required to be filed pursuant to Rule 424(b)(2), (b)(5), or (b)(7) as part of a registration statement in reliance on Rule 430B relating to an offering made pursuant to Rule 415(a)(1)(i), (x), or (xi) for the purpose of providing the information required by Section 10(a) of the Securities Act shall be deemed to be part of and included in the registration statement as of the earlier of the date such form of prospectus is first used after effectiveness or the date of the first contract of sale of securities in the offering described in the prospectus. As provided in Rule 430B, for liability purposes of the issuer and any person that is at that date an underwriter, such date shall be deemed to be a new effective date of the registration statement relating to the securities in the registration statement to which that prospectus relates, and the offering of such securities at that time shall be deemed to be the initial bona fide offering thereof. Provided, however, that no statement made in a registration statement or prospectus that is part of the registration statement or made in a document incorporated or deemed incorporated by reference into the registration statement or prospectus that is part of the registration statement will, as to a purchaser with a time of contract of sale prior to such effective date, supersede or modify any statement that was made in the registration statement or prospectus that was part of the registration statement or made in any such document immediately prior to such effective date; or (2) if the Registrant is subject to Rule 430C: each prospectus filed pursuant to Rule 424(b) under the Securities Act as part of a registration statement relating to an offering, other than registration statements relying on Rule 430B or other than prospectuses filed in reliance on Rule 430A, shall be deemed to be part of and included in the registration statement as of the date it is first used after effectiveness; provided, however, that no statement made in a registration statement or prospectus that is part of the registration statement or made in a document incorporated or deemed incorporated by reference into the registration statement or prospectus that is part of the registration statement will, as to a purchaser with a time of contract of sale prior to such first use, supersede or modify any statement that was made in the registration statement or prospectus that was part of the registration statement or made in any such document immediately prior to such date of first use.
(e) That, for the purpose of determining liability of the Registrant under the Securities Act to any purchaser in the initial distribution of securities, the undersigned Registrant undertakes that in a primary offering of securities of the undersigned Registrant pursuant to this registration statement, regardless of the underwriting method used to sell the securities to the purchaser, if the securities are offered or sold to such purchaser by means of any of the following communications, the undersigned Registrant will be a seller to the purchaser and will be considered to offer or sell such securities to the purchaser:
(1) any preliminary prospectus or prospectus of the undersigned Registrant relating to the offering required to be filed pursuant to Rule 424 under the Securities Act;
(2) free writing prospectus relating to the offering prepared by our on behalf of the undersigned Registrant or used or referred to by the undersigned Registrants;
(3) the portion of any other free writing prospectus or advertisement pursuant to Rule 482 under the Securities Act relating to the offering containing material information about the undersigned Registrant or its securities provided by or on behalf of the undersigned Registrant; and
(4) any other communication that is an offer in the offering made by the undersigned Registrant to the purchaser.
4. Not applicable.
5. Not applicable.
6. Not applicable.
7. The Registrant undertakes to send by first class mail or other means designed to ensure equally prompt delivery, within two business days of receipt of an oral or written request, its prospectus or Statement of Additional Information.

 

 

 
 

 

SIGNATURES

Pursuant to the requirements of the Securities Act of 1933, and the Investment Company Act of 1940, the Registrant, FEDERATED HERMES PROJECT AND TRADE FINANCE TENDER FUND, has duly caused this Amendment to its Registration Statement to be signed on its behalf by the undersigned, duly authorized, in the City of Pittsburgh and Commonwealth of Pennsylvania, on the 30th day of May, 2024.

FEDERATED HERMES PROJECT AND TRADE FINANCE TENDER FUND

BY: /s/ George F. Magera

George F. Magera, Assistant Secretary

Pursuant to the requirements of the Securities Act of 1933, this Registration Statement has been signed below by the following persons in the capacity and on the date indicated:

 

NAME TITLE DATE

 

BY: /s/ George F. Magera

George F. Magera, Assistant Secretary

 

Attorney In Fact For the Persons Listed Below

 

May 30, 2024

J. Christopher Donahue*

 

President and Trustee (Principal Executive Officer)  
Thomas R. Donahue* Trustee  
Jeremy D. Boughton* Treasurer (Principal Financial Officer/Principal Accounting Officer)  
John G. Carson* Trustee  
G. Thomas Hough* Trustee  
Maureen Lally-Green* Trustee  
Thomas M. O’Neill* Trustee  
Madelyn A. Reilly* Trustee  
P. Jerome Richey* Trustee  
John S. Walsh* Trustee  
*By Power of Attorney    

 

 
 

 

Exhibit List

(j) Conformed copy of Amended and Restated Master Custodian Agreement dated March 1, 2017 by and between State Street Bank and Trust Company and the Registrant, including Appendix A, revised as of March 1, 2024

(k)(2) Conformed copy of the Fourth Amended and Restated Agreement for Administrative Services between the Federated Funds and Federated Administrative Services dated September 1, 2022, including Exhibit A (dated March 1, 2024) and Exhibit B

(k)(3) Conformed copy of the Financial Administration and Accounting Services Agreement between the Federated Funds and State Street Bank and Trust Company dated March 1, 2011, including Exhibit A (updated as of March 1, 2024)

(l) Conformed copy of Opinion and Consent of K&L Gates LLP

(n) Conformed copy of Consent of KPMG LLP, Independent Registered Public Accounting Firm

(s) Copy of the Registrant’s Calculation of Filing Fee Tables (Newly Registered and Carry Forward Securities)

(t) Conformed copy of Power of Attorney of the Registrant