FEDERATED HERMES (FHI) Company Report

Federated Hermes achieved record assets under management of $871 billion in Q3 2025, with total revenue increasing by $44.6 million (10%) from the prior quarter, largely due to growth in money market and equity assets.
The company agreed to acquire a controlling interest in FCP, a U.S.-based real estate investment manager with $3.8 billion in AUM, aiming to enter the U.S. real estate market with the acquisition expected to close around the end of Q1 2026.
Federated Hermes started Q4 with approximately $2.1 billion in net institutional mandates yet to fund, with about two-thirds expected to fund in Q4, and is actively pursuing digital asset opportunities, including tokenized money market funds.

Oct 31, 2025, 1:00 PM

Transcript

Federated Hermes Reports Q3 2025 Financial Results

FHI

Earnings

Dividends

Federated Hermes reported $871.2 billion in managed assets at the end of Q3 2025, with total revenue of $469.4 million and $1.34 earnings per share for the quarter.
The company declared a dividend of $0.34 for Q3 2025.
Managed assets saw growth across key categories compared to Q2 2025: equity assets increased by 6% to $94.7 billion, fixed-income assets grew by 3% to $101.8 billion, and liquidity assets rose by 3% to $652.8 billion at Q3 period end.
Year-to-date Q3 2025, Federated Hermes recorded $2,888 million in net equity sales and $(1,071) million in net fixed-income sales.

Oct 31, 2025, 1:00 PM

Presentation

Federated Hermes Reports Record Q3 2025 AUM and Revenue Growth

FHI

Earnings

M&A

New Projects/Investments

Federated Hermes reported record assets under management (AUM) of $871 billion at the end of Q3 2025, with money market assets reaching $653 billion and fixed income assets reaching $101.8 billion.
Total revenue for Q3 2025 increased by $44.6 million (10%) from the prior quarter, driven by higher money market and equity assets, and a $4.6 million termination fee. Operating expenses also rose by $32.2 million (10%), mainly due to increased distribution expenses.
The company announced an agreement to acquire a controlling interest in FCP, a U.S.-based real estate investment manager with $3.8 billion in AUM as of June 30, with the acquisition expected to close around the end of Q1 2026.
Federated Hermes began Q4 2025 with approximately $2.1 billion in net institutional mandates yet to fund, with about two-thirds expected to fund in Q4, including $1.6 billion in private market strategies and $1.2 billion in equities.
The company is actively pursuing digital asset initiatives, including making two UCITS money market funds available in tokenized form and participating in a blockchain initiative with BNY Mellon and Goldman Sachs.

Oct 31, 2025, 1:00 PM

Transcript

Federated Hermes, Inc. Reports Record Assets Under Management and Strong Q3 2025 Earnings

FHI

Earnings

Dividends

Revenue Acceleration/Inflection

Federated Hermes, Inc. reported earnings per diluted share of $1.34 for Q3 2025, compared to $1.06 for Q3 2024, with net income of $104.1 million for Q3 2025.
Total assets under management reached a record $871.2 billion at September 30, 2025, an increase of 9% from $800.5 billion at September 30, 2024.
Revenue increased 15% in Q3 2025 compared to Q3 2024, primarily driven by higher average money market and equity assets.
Money market assets reached a record $652.8 billion, and fixed-income assets reached a record $101.8 billion at September 30, 2025.
The board of directors declared a $0.34 per share dividend.

Oct 30, 2025, 9:27 PM

8-K

Federated Hermes reports Q3 2025 earnings and record assets under management

FHI

Earnings

Dividends

Revenue Acceleration/Inflection

Federated Hermes reported Q3 2025 earnings per diluted share of $1.34, an increase from $1.06 for the same quarter last year.
Total assets under management (AUM) reached a record $871.2 billion at September 30, 2025, marking a 9% increase from $800.5 billion at September 30, 2024.
Money market assets reached a record $652.8 billion and fixed-income assets reached a record $101.8 billion at September 30, 2025.
Revenue for Q3 2025 increased by $61.0 million or 15% primarily due to higher average money market and equity assets, compared to Q3 2024.
The board of directors declared a dividend of $0.34 per share.

Oct 30, 2025, 8:17 PM

Press Release

Federated Hermes to Acquire Controlling Interest in FCP Fund Manager

FHI

M&A

New Projects/Investments

Federated Hermes (FHI) has entered into a definitive agreement to purchase an 80% controlling interest in FCP Fund Manager LP, a U.S.-based real estate investment manager specializing in multifamily housing.
The aggregate purchase price is up to $331 million, consisting of $215.8 million in cash, $23.2 million in FHI Class B common stock at closing, and up to $92 million in contingent consideration.
The transaction is expected to be accretive to EPS by approximately $0.04 in 2026 and $0.13 in 2027, excluding transaction expenses.
FCP Fund Manager currently has approximately $3.8 billion invested in strategies, and with its addition, Federated Hermes will have a global real estate platform managing approximately $9.3 billion.

Oct 24, 2025, 1:00 PM

Transcript

Federated Hermes to acquire controlling interest in FCP Fund Manager

FHI

M&A

New Projects/Investments

Guidance Update

Federated Hermes has entered into a definitive agreement to purchase an 80% controlling interest in FCP Fund Manager LP, a U.S.-based real estate investment manager.
The aggregate purchase price is up to $371,000,000, which includes $215,800,000 in cash and $23,200,000 in FHI Class B common stock at closing, plus contingent consideration of up to $92,000,000.
FCP specializes in U.S. multifamily real estate, with approximately $3.8 billion currently invested in strategies across the real estate capital structure.
This acquisition is intended to expand Federated Hermes' private markets real estate business into the U.S. and increase investment offerings for clients.
The transaction is expected to be accretive to EPS by approximately $0.04 in 2026 and $0.13 in 2027, excluding transaction expenses, with closing anticipated by the end of Q1.

Oct 24, 2025, 1:00 PM

Transcript

Federated Hermes, Inc. to acquire FCP Fund Manager, L.P.

FHI

M&A

New Projects/Investments

Federated Hermes, Inc. (FHI) announced the acquisition of an 80% interest in FCP Fund Manager, L.P. (FCP), a multifamily real estate investment and property management firm.
The transaction involves $239 million in upfront consideration ($215.8 million in cash and $23.2 million in FHI shares) and up to $92 million in potential earnout consideration.
FCP, founded in 1999, manages $3.8 billion in assets under management (AUM) as of June 30, 2025, and is projected to have ~$59 million in revenue and ~$30 million in EBITDA for 2025.
FHI expects the acquisition to be accretive to its earnings per share (EPS), with an estimated $0.04 per share accretion in FY2026E and $0.13 per share in FY2027E.
The acquisition is anticipated to close in the first half of 2026.

Oct 24, 2025, 1:00 PM

Presentation

Federated Hermes to Acquire Controlling Interest in FCP Fund Manager

FHI

M&A

New Projects/Investments

Federated Hermes has entered into a definitive agreement to acquire an 80% controlling interest in FCP Fund Manager, a U.S.-based real estate investment manager, for an aggregate purchase price of up to $331 million.
The purchase price includes $215.8 million in cash, $23.2 million in FHI Class B common stock, and up to $92 million in contingent consideration based on achieving certain financial thresholds.
FCP specializes in U.S. multifamily real estate, with approximately $3.8 billion currently invested, and its management team will retain a 20% ownership position post-closing.
The transaction is expected to be accretive to EPS by approximately $0.04 in 2026 and $0.13 in 2027, excluding transaction expenses, assuming a Q1 closing.
This acquisition expands Federated Hermes' private markets real estate business into the U.S., creating a global real estate platform with over 130 professionals managing approximately $9.3 billion.

Oct 24, 2025, 1:00 PM

Transcript

Federated Hermes to Acquire Controlling Interest in FCP Fund Manager

FHI

M&A

New Projects/Investments

Guidance Update

Federated Hermes has entered into a definitive agreement to purchase an 80% controlling interest in FCP Fund Manager LP (FCP), a U.S.-based real estate investment manager, with FCP's management team retaining a 20% ownership position.
The aggregate purchase price is up to $331 million, consisting of $215.8 million in cash, $23.2 million in FHI Class B common stock at closing, and up to $92 million in contingent consideration over multiple years based on financial thresholds.
The transaction is estimated to result in approximately $0.04 of EPS accretion in 2026 (assuming a Q1 close) and $0.13 in 2027, excluding transaction expenses.
FCP specializes in U.S. multifamily real estate with approximately $3.8 billion currently invested and more than 75 employees. This acquisition will expand Federated Hermes' private markets real estate business into the U.S., forming a global real estate platform with over 130 professionals managing approximately $9.3 billion.