Fund Evaluator:
Federated Hermes MDT Balanced C (QCBGX)
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Best Performing in Moderate Allocation Over the Last Year
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Fund Details
Federated Hermes MDT Balanced C Overview
Federated Hermes MDT Balanced C (QCBGX) is an actively managed Allocation Moderate Allocation fund. Federated launched the fund in 2005.
The investment seeks the possibility of long-term growth of capital and income. The fund may invest in a wide variety of investments such as equity securities, fixed-income securities, foreign securities, exchange-traded funds (ETFs) and derivative and hybrid instruments. Its investment adviser ("Adviser") anticipates investing approximately 60% of the fund's assets in equity securities and 40% of the fund's assets in fixed-income securities and other investments. The Adviser may vary this allocation +/-20% depending upon its economic and market outlook as well as a result of the identification of favorable investment opportunities.
About Federated Hermes MDT Balanced C (QCBGX)
There are 6 members of the management team with an average tenure of 15.31 years: Frederick Konopka (2008), Daniel Mahr (2008), Chengjun(Chris) Wu (2014), John Lewicke (2014), Damien Zhang (2018), John Sherman (2002). Management tenure is more important for actively managed funds than passive index funds.
The fund has 2 primary benchmarks: S&P 500 (TR) (1970) index with a weighting of 100% and Bloomberg US Agg Bond TR USD index with a weighting of 100%. Federated Hermes MDT Balanced C has 536 securities in its portfolio. The top 10 holdings constitute 31.0% of the fund’s assets. The fund meets the SEC requirement of being classified as a diversified fund. The fund is not considered to have an ESG focus with its investment selection and management.
Federated Hermes MDT Balanced C is part of the Allocation global asset class and is within the Allocation fund group. Federated Hermes MDT Balanced C has 9.2% of its portfolio invested in foreign issues. The overall assets allocated to domestic stock is 56.6%. There is 6.3% allocated to foreign stock, and 0.0% is allocated to preferred stocks. The bond allocation as a percentage of total assets is 32.5% (29.6% domestic bond, 2.9% foreign bond and 0.0% convertible bond). Federated Hermes MDT Balanced C has 0.4% of the portfolio in cash.
Assets Under Management
The fund has $18 million in total assets, which is below the $2 billion average for the Moderate Allocation 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.
QCBGX 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 MDT Balanced C expense ratio is high compared to funds in the Moderate Allocation category. Federated Hermes MDT Balanced C has an expense ratio of 2.11%, which is 112% higher than its category average, making the fund expense ratio grade a F. 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 MDT Balanced C has a portfolio turnover rate of 82%, indicating that holds its assets around 0.0 years. By way of comparison, the average portfolio turnover is 52% for the Moderate Allocation category.
Recently, in the month of July 2026, Federated Hermes MDT Balanced C returned 0.4%, which earned it a grade of B, as the Moderate Allocation category had an average return of -0.3%. 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 funds in that category.
Federated Hermes MDT Balanced C has a trailing yield of 0.58%, which is below the 1.97% category average. The fund normally distributes its income annually 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 MDT Balanced C Grades
Year to date, the fund has returned 5.7%, 0.7 percentage points worse than the category, which translates into a grade of D. The fund has returned 10.7% over the past year (grade of D), 12.8% over the past three years (grade of B) and 6.9% per year over the past five years (grade of C) and 8.8% per year over the past 10 years (grade of C).
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QCBGX 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 |
|
| QCBGX Return (NAV) | 0.4% | 2.0% | 10.7% | 12.8% | 6.9% | 8.8% |
| QCBGX Grade | B | D | D | B | C | C |
| +/- Category | 0.7% | -0.2% | -2.4% | 0.8% | 0.3% | 0.3% |
| Moderate Allocation Avg | -0.3% | 2.1% | 13.1% | 12.0% | 6.6% | 8.5% |
| QCBGX Tax Cost Ratio | na | na | 1.9% | 1.5% | 1.9% | 1.5% |
QCBGX Annual NAV Total ReturnsData as of 7/31/26
| 2026 | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 | |
| QCBGX Return (NAV) | 5.7% | 12.8% | 15.8% | 13.1% | -14.4% | 16.2% | 15.0% | 17.8% | -3.8% | 13.0% | 5.8% |
| QCBGX Grade | D | C | A | D | C | B | B | D | B | D | D |
| +/- Category | -0.7% | -0.6% | 3.6% | -1.2% | -0.4% | 1.8% | 2.1% | -2.0% | 1.3% | -0.8% | -1.9% |
| Moderate Allocation Avg | 6.4% | 13.4% | 12.2% | 14.3% | -14.0% | 14.4% | 12.9% | 19.8% | -5.1% | 13.8% | 7.7% |
| Risk Measures | |
| Standard Deviation: | 9.6% |
| Total Risk Index: | 0.78 - Below Average |
| Category Risk Index: | 1.04 - Above Average |
| Category Risk Grade: | D (80% Rank) |
| Beta: | 0.96 |
| R-Squared: | 87% |
| Leveraged Fund: | No |
| Inverse Fund: | No |
| Portfolio Characteristics | |
| Equity Investment Style: | Large-Cap Blend |
| Bond Investment Style: | High Quality Moderate Sensitivity |
| Yield: | 0.6% |
| Dividend Distribution: | Annually |
| Cap Gains Distribution: | Annually |
| Total Assets: | $330 Mil |
| Fund Total Assets: | $ 18 Mil |
| Share Class Type: | C |
| Portfolio Turnover: | 82% |
Management Team
| Number of Managers: 6 | |||
| Longest Tenure: 23.9 years | |||
| Average Tenure: 15.3 years | |||
| Managers (Year): Sherman John (2002), Konopka Frederick (2008), Mahr Daniel (2008), Wu Chengjun(Chris) (2014), Lewicke John (2014), Zhang Damien (2018) | |||
Portfolio Composition (as of 6/30/26)
| # of Holdings: | 536 |
| % in Top 10 Holdings: | 31.0% |
| Fund is Non-Diversified: | No |
| % in Foreign Issues: | 9.2% |
Portfolio Allocation |
|
| Domestic Stock: | 56.6% |
| Foreign Stock: | 6.3% |
| Preferred Stock: | 0.0% |
| Domestic Bond: | 29.6% |
| Foreign Bond: | 2.9% |
| Convertible Bond: | 0.0% |
| Other: | 4.2% |
| Cash: | 0.4% |
Purchase Information
| Fund Family: | Federated |
| Phone Number: | 800-341-7400 |
| Website: | www.federatedinvestors.com |
| Status: | Open |
| Inception Date: | September 15, 2005 |
| Min. Initial Purchase: | $1,500 |
| Min. Initial IRA Purchase: | $ 250 |
| True No-Load: | No |
| Front Load Maximum: | 0.00% |
| Deferred Charge Maximum: | 1.00% |
| Redemption Charge Maximum: | 0.00% |
| 12b-1 Fee: | 0.75% |
Expenses and Fees | |
| Expense Ratio (%): | 2.11% ( Rating : High ) |
| Category Average Expense Ratio (%): | 0.99% |
| Share Class: | Federated Hermes MDT Balanced IS |
| Min. Subsequent Purchase: | $ 100 |
| Min. Subsequent IRA Purchase: | $ 100 |
