Federated Hermes Launches Enhanced Income ETF for Retirement Investors
Federated Hermes, a global leader in active investing, has launched the Federated Hermes Enhanced Income ETF (PAYR). This new ETF is designed for income-oriented investors, especially those nearing retirement, seeking appropriate returns with manageable risk.
The Federated Hermes Enhanced Income ETF aims to deliver high current income and secondary capital appreciation. It invests primarily in high-dividend stocks and employs an options overlay strategy. This strategy involves writing call options, which can generate additional income and help manage portfolio risk.
The ETF is managed by two highly experienced teams. Dana Meissner and Damian McIntyre from the Multi-Asset Investment Team bring their expertise in multi-asset strategies. Meanwhile, Daniel Peris, Deborah Bickerstaff, Michael Tucker, and Jared Hoff from the Strategic Value Dividend Team contribute their knowledge in dividend investing. Together, they aim to create a balanced portfolio that meets the income needs of investors.
As of September 30, 2025, Federated Hermes manages over $1.2 billion in ETF assets, with PAYR being the 12th ETF in their lineup. The Federated Hermes Enhanced Income ETF is designed to provide income-oriented investors with a steady stream of income and potential for capital growth, managed by a team with a proven track record.
