Federated Hermes FMN Fund Declares Tax-Exempt Municipal Dividend
Federated Hermes Premier Municipal Income Fund has declared a dividend aimed at delivering federal tax-exempt income to investors.
Federated Hermes Premier Municipal Income Fund (NYSE: FMN) has declared a new dividend, the Pittsburgh-based asset manager announced Oct. 12, 2026. The fund is structured to deliver income shielded from regular federal income tax, a key draw for investors in higher tax brackets seeking to preserve after-tax returns.
Municipal bond funds like FMN occupy a distinct corner of the fixed-income market, channeling capital into debt issued by state and local governments. The tax-exempt status of that income has historically made such funds attractive relative to comparable taxable instruments, particularly when interest rates and personal income tax rates are elevated.
Read more Medtronic Reports Early Results of MiniMed Stock Exchange Offer →
Beyond federal tax exemption, the fund also features income exempt from certain additional taxes, according to the announcement — a characteristic that can further enhance its appeal depending on an investor's state of residence and individual tax situation. The specific dividend amount and payment schedule were included in the official declaration.
Federated Hermes is one of the larger publicly traded investment managers in the United States, with a broad lineup of fixed-income and money-market products. The FMN fund trades on the New York Stock Exchange and operates as a closed-end fund, meaning its shares are bought and sold on the open market rather than redeemed directly through the fund company.
Continue reading at All Financial Services & Investing.
