ETF Evaluator:
Federated Hermes Short Duration Corp ETF ()
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(as of Aug 25)
Best Performing in Short-Term Bond Over the Last Year
| 6.6% | Overlay Shares Short Term Bond ETF (OVT) |
| 5.0% | AAM SLC Low Duration Income ETF (LODI) |
| 4.6% | SanJac Alpha Low Duration ETF (SJLD) |
| 4.5% | Performance Trust Short Term Bond ETF (STBF) |
| 4.4% | American Century® Short Dur Str Inc ETF (SDSI) |
Risk
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Risk
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ETF Details
Federated Hermes Short Duration Corp ETF Overview
Federated Hermes Short Duration Corp ETF (FCSH) is an actively managed Taxable Bond Short-Term Bond exchange-traded fund (ETF). Federated launched the ETF in 2021.
The investment seeks current income.
The fund primarily invests in a diversified portfolio of investment-grade, fixed-income securities consisting primarily of corporate debt securities. Corporate debt securities, including notes, bonds, debentures and commercial paper, are fixed income securities usually issued by businesses to finance their operations. The fund will invest its assets so that at least 80% of its net assets (plus any borrowings for investment purposes) are invested in corporate fixed-income investments.
About Federated Hermes Short Duration Corp ETF (FCSH)
There are 2 members of the management team with an average tenure of 4.62 years: Robert Matthews (2021) and John Gentry (2021). Management tenure is more important for actively managed ETFs than passive index ETFs.
The ETF has 2 primary benchmarks: Bloomberg US Agg Bond TR USD index with a weighting of 100% and Bloomberg USD Corp Bd 1-5 Yr TR USD index with a weighting of 100%. Federated Hermes Short Duration Corp ETF has 176 securities in its portfolio. The top 10 holdings constitute 21.1% of the ETF’s assets. The ETF meets the SEC requirement of being classified as a diversified fund. The ETF is not considered to have an ESG focus with its investment selection and management.
Federated Hermes Short Duration Corp ETF is part of the Fixed Income global asset class and is within the Taxable Bond ETF group. Federated Hermes Short Duration Corp ETF has 10.0% of its portfolio invested in foreign issues. The overall assets allocated to domestic stock is 0.0% There is 0.0% allocated to foreign stock, and 0.0% is allocated to preferred stocks. The bond allocation as a percentage of total assets is 97.0% (87.0% domestic bond, 10.0% foreign bond and 0.0% convertible bond). Federated Hermes Short Duration Corp ETF has 3.0% of the portfolio in cash.
Assets Under Management
The fund has $65 million in total assets, which is below the $3 billion average for the Short-Term Bond category. Normally, lower assets under management translates to higher average expense ratios, and greater total assets are desired. However, for some investment categories, such as small-cap investing, it may be difficult for the manager to fully employ the desired active strategy if assets grow too large or too quickly.
FCSH Performance and Fees
The expense ratio measures how much of a fund’s assets are used for administrative expenses and operating expenses, including adviser fees and fees for the transfer agent and custodial services. The Federated Hermes Short Duration Corp ETF expense ratio is below average compared to funds in the Short-Term Bond category. Federated Hermes Short Duration Corp ETF has an expense ratio of 0.30%, which is 7% higher than its category average, making the fund expense ratio grade a C. While it is difficult to predict returns, it is known that high annual expense ratios reduce your rate of return, and excessive fees are difficult to overcome. Active management normally comes with higher expense ratios than passive index management. Certain investment categories such as small company and foreign also normally have higher expense ratios. It is best to compare fund expense ratios against the category averages for meaningful assessments.
High portfolio turnover can translate to higher expenses and lower aftertax returns. Federated Hermes Short Duration Corp ETF has a portfolio turnover rate of 21%, which indicates that it holds its assets around / 0.0 years. By way of comparison, the average portfolio turnover is 77% for the Short-Term Bond category.
Recently, in the month of July 2026, Federated Hermes Short Duration Corp ETF returned -0.2%, which earned it a grade of D, as the Short-Term Bond category had an average return of -0.1%. The letter grades of A, B, C, D and F are based upon relative rankings within the investment category. A grade of A, for example, would indicate that the return is in the highest 20% for that time period compared to all ETFs in that category.
Federated Hermes Short Duration Corp ETF has a trailing yield of 4.24%, which is below the 4.54% category average.
The fund normally distributes its income monthly and its capital gains annually.
It’s natural to seek the best-performing investments, but you must consider the relationship between risk and return and the impact of costs and taxes on your realized returns.
Federated Hermes Short Duration Corp ETF Grades
Year to date, the ETF has returned 0.6%, 0.4 percentage points worse than the category, which translates into a grade of F. The fund has returned 3.2% over the past year (grade of D) and 5.0% over the past three years (grade of D).
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FCSH Trailing NAV Total Returns Data as of 7/31/26
| Last Month |
Last Quarter |
Ann'l. 1Yr |
Ann'l. 3Yr |
Ann'l. 5Yr |
Ann'l. 10Yr |
|
| FCSH Return (NAV) | -0.2% | 0.1% | 3.2% | 5.0% | na | na |
| FCSH Return (Price) | -0.3% | 0.1% | 3.1% | 5.0% | na | na |
| NAV +/- Price Return | 0.083% | 0.036% | 0.138% | 0.034% | na | na |
| Short-Term Bond Avg | -0.1% | 0.3% | 3.6% | 5.2% | 2.3% | 2.5% |
| FCSH Grade (NAV) | D | F | D | D | na | na |
| +/- Category (NAV) | -0.1% | -0.2% | -0.4% | -0.3% | na | na |
| FCSH Tax-Cost Ratio | na | na | 1.7% | 1.6% | na | na |
FCSH Annual NAV Total ReturnsData as of 7/31/26
| 2026 | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 | |
| FCSH Return (NAV) | 0.6% | 6.4% | 4.7% | 5.6% | -5.9% | na | na | na | na | na | na |
| FCSH Return (Price) | 0.1% | 6.8% | 4.7% | 5.4% | -5.9% | na | na | na | na | na | na |
| NAV +/- Price Ret | -0.842% | 0.062% | -0.001% | -0.030% | -0.009% | na | na | na | na | na | na |
| Short-Term Bond Avg | 1.0% | 6.3% | 5.1% | 6.0% | -5.3% | -0.4% | 4.4% | 5.6% | 1.2% | 1.7% | 2.4% |
| FCSH Grade (NAV) | F | C | D | D | D | na | na | na | na | na | na |
| +/- Category | -0.4% | 0.2% | -0.4% | -0.3% | -0.6% | na | na | na | na | na | na |
| Risk Measures | |
| Beta: | 0.38 |
| R-Squared: | 92% |
| Standard Deviation: | 2.3% |
| Category Risk Index: | 0.99 |
| Category Risk Rating: | Average |
| Total Risk Index: | 0.19 |
| Total Risk Rating: | Low |
| Portfolio Characteristics | |
| Yield: | 4.2% |
| Total Assets: | $ 65 Mil |
| Share Class Assets: | $ 65 Mil |
| Turnover: | 21.0% |
| Expense Ratio: | 0.30% |
| Index Fund: | No |
| Index Tracked: | Bloomberg US Agg Bond TR USD |
| Index Weighting: | 100% |
| Leveraged: | No |
| Socially Responsible Fund: | No |
| Capital Gains Distribution Frequency: | Annually |
| Income Distribution Frequency: | Monthly |
Management Team
| Number of Managers: 2 | |||
| Longest Tenure: 4.6 years | |||
| Average Tenure: 4.6 years | |||
| Managers (Year): Matthews Robert (2021), Gentry John (2021) | |||
Portfolio Composition (as of 7/31/26)
| # of Holdings: | 176 |
| % in Top 10 Holdings: | 21.1% |
| Fund is Non-Diversified: | No |
| % in Foreign Issues: | 10.0% |
Portfolio Allocation |
|
| Domestic Stock: | 0.0% |
| Foreign Stock: | 0.0% |
| Preferred Stock: | 0.0% |
| Domestic Bond: | 87.0% |
| Foreign Bond: | 10.0% |
| Convertible Bond: | 0.0% |
| Other: | 0.0% |
| Cash: | 3.0% |
Purchase Information
| Legal Structure: | Open Ended Investment Company |
| Fund Family: | Federated |
| Phone Number: | 800-341-7400 |
| Website: | |
| Inception Date: | December 16, 2021 |
Expenses and Fees
| Expense Ratio (%): | 0.30% (Rating: Below Avg) |
| Category Average Expense Ratio (%): | 0.28% |
