PITTSBURGH, June 9, 2022
/PRNewswire/ -- Federated Hermes Premier Municipal Income Fund
(NYSE: FMN) has declared a dividend. The fund seeks to provide
investors with current dividend income that is exempt from regular
federal income tax. In addition, this fund features income exempt
from the federal alternative minimum tax (AMT).
Record
Date:
|
June 23,
2022
|
Ex-Dividend
Date:
|
June 22,
2022
|
|
Payable
Date:
|
July 1, 2022
|
Tax-Free Dividend
Per Share
|
Amount
|
Change From
Previous Month
|
$0.041
|
$(0.013)
|
The reasons for this change include but are not limited to the
maturities of higher income-earning holdings, reinvestment at the
lower yields, an upward shift in portfolio credit quality, the
anticipated increase in leverage costs linked to rapid tightening
by the Federal Reserve and the fund's reduction in its outstanding
leverage.
The fund reduced its preferred shares by $25 million, lowering the fund's effective
leverage from approximately 42.8% to approximately 36.8%. This
reduction in leverage is intended to decrease volatility of the
fund's net asset value as market interest rates fluctuate. This
reduction in leverage also contributes to the decline in the fund's
dividend to common shareholders. The remaining preferred shares
outstanding continue to pay dividends at a floating rate. The fund
has secured the spread over a prevailing short-term tax-exempt rate
that it will use to calculate dividends for the next term
period.
Investors can view additional portfolio information in the
Products section of FederatedInvestors.com.
Federated Hermes, Inc. (NYSE: FHI) is a global leader in
active, responsible investment management, with $631.1 billion in assets under management. We
deliver investment solutions that help investors target a broad
range of outcomes and provide equity, fixed-income,
alternative/private markets, multi-asset and liquidity management
strategies to more than 11,000 institutions and intermediaries
worldwide. Our clients include corporations, government entities,
insurance companies, foundations and endowments, banks and
broker/dealers. Headquartered in Pittsburgh, Federated Hermes has nearly 2,000
employees in London, New York, Boston and offices worldwide. For more
information, visit FederatedHermes.com.
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SOURCE Federated Hermes, Inc.