Phase-stability in a U-Zr-Te-Nd multi-component metallic fuel for advanced nuclear reactors is systematically investigated by taking into account binary, ternary and quaternary interactions between elements involved. Historically, the onset of fuel-cladding chemical interactions (FCCI) greatly limits the burnup potential of U-Zr fuels primarily due to interactions between lanthanide fission products and cladding constituents. Tellurium (Te) is evaluated as a potential additive for U-Zr fuels to bind with lanthanide fission products, e.g. neodymium (Nd), negating or mitigating the FCCI effect. Potential fresh fuel alloy compositions with the Te additive, U-Zr-Te, are characterized. Te is found to completely bind with Zr within the U-Zr matrix. Alloys simulating the formation of the lanthanide element Nd within U-Zr-Te are also evaluated, where the Te-Nd binary interaction dominates and NdTe is found to form as a high temperature stable compound. The experimental observations agree well with the trends obtained from density functional theory calculations. According to the calculated enthalpy of mixing, Zr-Te compound formation is favored in the U-Zr-Te alloy whereas NdTe compound formation is favored in the U-Zr-Te-Nd alloy. Further, the calculated charge density distribution and density of states provide sound understanding of the mutual chemical interactions between elements and phase-stability within the multi-component fuel.