FMOBX — Federated Hermes Municipal High Yield Advantage Fund
Data updated: 2026-07-27
FMOBX — Federated Hermes Municipal High Yield Advantage Fund. Long Corporate Bond · $459.10M AUM. Holdings, fees, performance and SEC filings.
FMOBX Fund Overview
FMOBX — Federated Hermes Municipal High Yield Advantage Fund is a US mutual fund managed by Federated Hermes Municipal Securities Income Trust, categorised as Long 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 Hermes Municipal Securities Income Trust
- Category: Long Corporate Bond
- Assets under management: $459.10M
- 1-year return: 0.0%
- Ticker: FMOBX
- SEC CIK: 0000866700
- SEC series ID: S000012747
- Share class ID: C000034362
FMOBX Investment Objective and Strategy
Federated Hermes Municipal High Yield Advantage Fund describes its objective and strategy as follows, from its latest prospectus filed with the SEC by Federated Hermes Municipal Securities Income Trust.
Investment objective
"The Fund's investment objective is to provide a high level of current income which is generally exempt from the federal regular income tax. The Fund will invest its assets so that at least 80% of the income that it distributes will be exempt from federal regular income tax, except when investing for ""defensive"" purposes."
Principal investment strategy
"The Fund pursues its objective by investing its assets so that, normally, distributions of annual interest income are exempt from federal regular income tax (except when investing for ""defensive"" purposes). Interest from the Fund's investments may be subject to (or may be a specific preference item for purposes of) the federal alternative minimum tax for individuals (AMT). The Fund invests at least a majority of the Fund's assets in a portfolio of: (1) long-term, tax-exempt securities; and (2) medium-quality or noninvestment-grade, tax-exempt securities. Long-term, tax-exempt securities generally include tax-exempt securities with stated maturities of 10 years or more. The Fund also may invest in tax-exempt securities with stated maturities of less than 10 years. Investment-grade securities are securities that receive investment-grade ratings (i.e., generally ratings in the first, second, third or fourth highest rating category) by a nationally recognized statistical rating organization (NRSRO) or unrated securities of comparable quality.
The presence of a ratings modifier, sub-category, or gradation (for example, a (+) or (-)) is intended to show relative standing within the major rating categories and does not affect the security credit rating for purposes of the Fund's investment parameters. For example, securities rated AAA, AA, A or BBB (including modifiers, sub-categories or gradations) by Standard & Poor's, an NRSRO, would be rated in the first, second, third or fourth ratings category, respectively. Securities rated below investment grade (or noninvestment-grade securities) are securities that do not receive investment grade ratings (i.e., generally ratings below one of the four highest rating categories) by an NRSRO or unrated securities of comparable quality. For example, securities rated B or BB (including modifiers, sub-categories or gradations) by Standard & Poor's, an NRSRO, would be noninvestment-grade securities.
Medium-quality securities generally include securities rated in the third or fourth highest rating category by an NRSRO and unrated securities of comparable quality. For example, tax-exempt securities rated A and BBB by Standard & Poor's, an NRSRO, are rated in the third (A) and fourth (BBB) highest rating categories, respectively. Under relevant SEC guidance, the Fund is permitted to invest in medium-quality and other investment-grade, tax-exempt securities to a greater degree than a high-yield bond fund that does not invest primarily in tax-exempt municipal securities. The Fund invests at least a majority of its assets in medium-quality or noninvestment-grade, tax-exempt securities in an attempt to pursue a higher level of current income than a tax-exempt bond fund that invests purely in investment-grade securities.
The Adviser may invest up to 100% of the Fund's assets in noninvestment-grade, tax-exempt securities. Although medium-quality securities are still considered investment-grade securities, lower credit ratings do correspond to higher perceived credit risk. Medium-quality, tax-exempt securities generally are subject to tax-exempt securities risk, interest rate, issuer credit, counterparty credit, liquidity, tax, leverage, call, sector, prepayment, credit enhancement, economic and non-diversification risks as described in this Prospectus. Noninvestment-grade securities, which are also known as junk bonds, also generally are subject to these same risks, as well as the risks of investing in noninvestment-grade securities as described in this Prospectus. The securities in which the Fund may principally invest include tax-exempt securities, which may include, for example, general obligation bonds, special revenue bonds, private activity bonds, tax-increment financing bonds, municipal leases, zero-coupon securities, inverse floaters, municipal mortgage-backed securities and planned amortization classes.
Certain of the tax-exempt securities in which the Fund invests may be subject to credit enhancement. The Fund also may principally invest in derivative contracts (such as, for example, futures contracts, option contracts and swap contracts) and hybrid instruments to implement its investment strategies. For example, the Fund may use derivative contracts or hybrid instruments to increase or decrease the portfolio's exposure to the investment(s) underlying the derivative or hybrid instrument in an attempt to benefit from changes in the value of the underlying investment(s), to gain exposure to the municipal bond sector, to increase or decrease the effective duration of the Fund's portfolio or to hedge against potential losses. Derivative contracts and hybrid instruments also may be subject to the risks of investing in derivative contracts and hybrid instruments as described in this Prospectus.
The Fund also may invest in certain securities or other investments (such as market discount bonds, credit default swaps and other derivative transactions) that will likely cause the Fund to realize a limited amount of ordinary income or short-term capital gains (which are treated as ordinary income for federal income tax purposes). Derivative investments made by the Fund are included within the Fund's 80% policy and are calculated at market value. The Adviser may lengthen or shorten duration from time to time based on its interest rate outlook. Duration measures the price sensitivity of a fixed-income security to changes in interest rates. The Fund invests its assets so that at least 80% of the income that it distributes will be exempt from federal regular income tax, except when investing for ""defensive"" purposes.
This policy may not be changed without shareholder approval."
FMOBX Holdings
Top 10 holdings of Federated Hermes Municipal High Yield Advantage Fund by percentage of net assets, from the fund's latest SEC N-PORT filing.
| Holding | % of net assets |
|---|---|
| Illinois (il), State Of | 1.80% |
| Buckeye Tobacco Settlement Financing Authority (oh) | 1.32% |
| New York N Y City Mun Wtr Fin Auth | 0.91% |
| Puerto Rico Aqueduct And Sewer Authority | 0.84% |
| Tobacco Settlement Financing Corp. (va) | 0.80% |
| Chicago (il), City Of | 0.74% |
| Puerto Rico, Commonwealth Of | 0.73% |
| Iowa Finance Authority (ia) | 0.72% |
| Southern Calif Pub Pwr Auth | 0.70% |
| Houston Tex | 0.70% |
FMOBX Portfolio Allocation
Asset-class allocation of Federated Hermes Municipal High Yield Advantage Fund by percentage of net assets, from the latest SEC N-PORT filing.
| Asset class | Allocation |
|---|---|
| Fixed Income | 99.6% |
FMOBX Performance
Total returns for FMOBX (as of 2026-10-01), from SEC filings.
| Period | Total return |
|---|---|
| 1 year | 0.0% |
| 3 years (annualised) | -3.7% |
| 5 years (annualised) | -0.9% |
FMOBX Risk Information
Risk metrics for FMOBX, derived from monthly returns in SEC filings.
- 1-year volatility (annualised): 0.0%
FMOBX Costs and Fees
FMOBX costs about $164 per $10,000 invested per year in fund expenses.
- Net expense ratio: 1.64%
- Gross expense ratio: 1.80%
- Portfolio turnover: 31%
- Brokerage commissions: 0.00 bps of average net assets (SEC N-CEN)
FMOBX Cashflows
Over the 12 months to 2026-05, Federated Hermes Municipal High Yield Advantage Fund had net inflows of $1.90M, from monthly SEC N-PORT filings.
| Month | Net flow |
|---|---|
| 2026-05 | $8.00M |
| 2026-04 | $278.00K |
| 2026-03 | $1.15M |
| 2026-02 | $2.73M |
| 2026-01 | $2.65M |
| 2025-12 | −$519.88K |
FMOBX Debt Constituents
Largest debt holdings of Federated Hermes Municipal High Yield Advantage Fund by percentage of net assets, from the latest SEC N-PORT filing.
| Debt holding | % of net assets |
|---|---|
| Illinois (il), State Of | 1.80% |
| Buckeye Tobacco Settlement Financing Authority (oh) | 1.32% |
| New York N Y City Mun Wtr Fin Auth | 0.91% |
| Puerto Rico Aqueduct And Sewer Authority | 0.84% |
| Tobacco Settlement Financing Corp. (va) | 0.80% |
| Chicago (il), City Of | 0.74% |
| Puerto Rico, Commonwealth Of | 0.73% |
| Iowa Finance Authority (ia) | 0.72% |
| Southern Calif Pub Pwr Auth | 0.70% |
| Houston Tex | 0.70% |
FMOBX Prospectus and SEC Filings
Official Federated Hermes Municipal High Yield Advantage Fund filings on SEC EDGAR — prospectus, portfolio holdings and annual reports.
- Prospectus (485BPOS) — filed 2025-10-29
- Prospectus (485BPOS) — filed 2024-10-25
- Prospectus (485BPOS) — filed 2023-10-26
- Portfolio holdings (N-PORT) — filed 2026-07-27
- Portfolio holdings (N-PORT) — filed 2026-04-23
- Portfolio holdings (N-PORT) — filed 2026-01-23
- Annual census (N-CEN) — filed 2024-11-01
- Annual census (N-CEN) — filed 2023-11-02
Related Funds
Other Long 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.