Federated Quality Bond Fund II
Data updated: 2026-08-25
C000026770 — Federated Quality Bond Fund II. Intermediate Corporate Bond · $127.87M AUM · 1.02% expense ratio. Holdings, fees, performance and SEC filings.
C000026770 Fund Overview
Federated Quality Bond Fund II is a US mutual fund managed by Federated Insurance Series, categorised as Intermediate Corporate Bond. ABC INVEST provides holdings, performance, costs, cashflows, risk data, prospectus documents and SEC filings, sourced from SEC filings.
- Type: US mutual fund
- Manager: Federated Insurance Series
- Category: Intermediate Corporate Bond
- Assets under management: $127.87M
- 1-year return: 3.2%
- SEC CIK: 0000912577
- SEC series ID: S000009744
- Share class ID: C000026770
C000026770 Investment Objective and Strategy
Federated Quality Bond Fund II describes its objective and strategy as follows, from its latest prospectus filed with the SEC by Federated Insurance Series.
Investment objective
The Funds investment objective is to provide current income.
Principal investment strategy
The Fund invests in a diversified portfolio of investment-grade, fixed-income securities consisting primarily of corporate debt securities, U.S. government and privately issued mortgage-backed securities, and U.S. Treasury and agency securities. The Funds investment adviser (the Adviser) seeks to enhance the Funds performance by allocating relatively more of its portfolio to the security type that the Adviser expects to offer the best balance between current income and risk. Investment-grade securities are rated in one of the four highest categories (BBB or higher) by a nationally recognized statistical rating organization (NRSRO) or, if unrated, of comparable quality as determined by the Adviser. A corporate debt security in which the Fund invests is considered a foreign security if the issuer 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.
The foreign securities in which the Fund invests will be predominately denominated in U.S. dollars. The Fund may invest in derivative contracts and/or hybrid instruments to implement elements of its investment strategy. For example, the Fund may use derivative contracts or hybrid instruments to increase or decrease the portfolios exposure to the investment(s) underlying the derivative contract or hybrid instrument in an attempt to benefit from changes in the value of the underlying investment(s). There can be no assurances that the Funds use of derivative contracts or hybrid instruments will work as intended. Derivative investments made by the Fund are included within the Funds 80% policy (as described below) and are calculated at market value. Consistent with the Funds benchmark, the Fund may, from time to time, have larger allocations to certain broad market sectors in attempting to achieve its investment objective.
Although the value of the Funds Shares will fluctuate, the Adviser will seek to manage the magnitude of fluctuation by limiting, under normal market conditions, the Funds dollar-weighted average maturity to between three and ten years and dollar-weighted average duration to between three and seven years. Maturity reflects the time until a fixed-income security becomes payable. Duration measures the price sensitivity of a fixed-income security to changes in interest rates. The Fund intends to invest in the securities of U.S. government-sponsored enterprises (GSEs), including GSE securities that are not backed by the full faith and credit of the U.S. government, such as those issued by the Federal Home Loan Mortgage Corporation, the Federal National Mortgage Association and the Federal Home Loan Bank System.
These entities are, however, supported through federal subsidies, loans or other benefits. The Fund may also invest in GSE securities that are supported by the full faith and credit of the U.S. government, such as those issued by the Government National Mortgage Association. Finally, to a lesser extent, the Fund may invest in GSE securities that have no explicit financial support, but which are regarded as having implied support because the federal government sponsors their activities. Such securities include those issued by the Farm Credit System. Under normal circumstances, the Fund will invest its assets so that at least 80% of its net assets (plus the amount of any borrowings for investment purposes) are invested in investment-grade, fixed-income investments. The Fund will notify shareholders at least 60 days in advance of any change in this investment policy.
C000026770 Holdings
Top 10 holdings of Federated Quality Bond Fund II by percentage of net assets, from the fund's latest SEC N-PORT filing.
| Holding | % of net assets |
|---|---|
| Federated Hermes Money Market Obligations Trust | 3.58% |
| Bank Of America Corp. | 1.34% |
| Citigroup, Inc. | 0.95% |
| US Bancorp | 0.91% |
| Pinnacle Bank Tn | 0.89% |
| Netflix, Inc. | 0.76% |
| Amgen, Inc. | 0.75% |
| Advance Auto Parts | 0.73% |
| BofA Securities, Inc. | 0.73% |
| Wells Fargo & Company | 0.72% |
C000026770 Portfolio Allocation
Asset-class allocation of Federated Quality Bond Fund II by percentage of net assets, from the latest SEC N-PORT filing.
| Asset class | Allocation |
|---|---|
| Fixed Income | 98.1% |
| Cash & Equivalents | 4.3% |
C000026770 Performance
Total returns for C000026770 (as of 2026-10-01), from SEC filings.
| Period | Total return |
|---|---|
| YTD | 0.4% |
| 1 year | 3.2% |
| 3 years (annualised) | 5.0% |
| 5 years (annualised) | 1.1% |
C000026770 Risk Information
Risk metrics for C000026770, derived from monthly returns in SEC filings.
- 1-year volatility (annualised): 2.3%
C000026770 Costs and Fees
C000026770 costs about $102 per $10,000 invested per year in fund expenses.
- Net expense ratio: 1.02%
- Gross expense ratio: 1.10%
- Portfolio turnover: 21%
- Brokerage commissions: 0.11 bps of average net assets (SEC N-CEN)
C000026770 Cashflows
Over the 12 months to 2026-06, Federated Quality Bond Fund II had net outflows of $6.75M, from monthly SEC N-PORT filings.
| Month | Net flow |
|---|---|
| 2026-06 | −$1.20M |
| 2026-05 | −$462.73K |
| 2026-04 | −$1.19M |
| 2026-03 | $3.30M |
| 2026-02 | −$1.42M |
| 2026-01 | −$655.67K |
C000026770 Debt Constituents
Largest debt holdings of Federated Quality Bond Fund II by percentage of net assets, from the latest SEC N-PORT filing.
| Debt holding | % of net assets |
|---|---|
| Bank Of America Corp. | 1.34% |
| Citigroup, Inc. | 0.95% |
| US Bancorp | 0.91% |
| Pinnacle Bank Tn | 0.89% |
| Netflix, Inc. | 0.76% |
| Amgen, Inc. | 0.75% |
| Advance Auto Parts | 0.73% |
| Wells Fargo & Company | 0.72% |
| Coca-Cola Femsa Sab Cv | 0.70% |
| JPMorgan Chase & Co. | 0.66% |
C000026770 Prospectus and SEC Filings
Official Federated Quality Bond Fund II filings on SEC EDGAR — prospectus, portfolio holdings and annual reports.
- Prospectus (485BPOS) — filed 2026-04-24
- Prospectus (485BPOS) — filed 2025-04-25
- Prospectus (485BPOS) — filed 2024-04-24
- Portfolio holdings (N-PORT) — filed 2026-08-25
- Portfolio holdings (N-PORT) — filed 2026-05-22
- Portfolio holdings (N-PORT) — filed 2026-02-24
- Annual census (N-CEN) — filed 2026-03-04
- Annual census (N-CEN) — filed 2025-03-05
Related Funds
Other Intermediate Corporate Bond funds tracked on ABC INVEST:
Data Sources
ABC INVEST compiles this page from public filings made to the U.S. Securities and Exchange Commission (SEC) through EDGAR: portfolio holdings and monthly cashflows from Form N-PORT, expenses and returns from fund prospectuses (Form 485BPOS) and the SEC DERA Risk/Return Summary data sets, annual data from Form N-CEN, and shareholder reports from Form N-CSR.