Our active equity strategies seek to exceed the S&P 500 Index’s return over a full market cycle on a risk-adjusted basis. We follow a three-pronged process for our equity strategies. It includes a weekly meeting to assess market conditions, economic data and sector decisions; a Russell 1000 Index screening of large cap, publicly traded US companies; and selection of individual securities for your portfolio.
We offer three distinct strategies designed to meet your particular goals and match your risk tolerance, and an Asset Allocation Fund Model that provides broad diversification in several equity and fixed income asset classes.
- Growth Equity Strategy – This strategy is our most aggressive approach and is appropriate if you have a long-term outlook and can absorb interim market volatility. It follows a Growth at a Reasonable Price (GARP) investment discipline. These stocks typically exhibit the following characteristics:
- Four consecutive quarters of growth in sales and earnings per share
- Return on Equity (ROE) that is higher than the broader market
- Market capitalization of $5 billion or greater
- Ample trading liquidity
- Equity Select – This moderate strategy blends capital appreciation from the Growth Equity strategy and income from the Blue Chip dividend strategy, an appropriate choice if you desire additional capital growth and current income. This strategy typically exhibits the following characteristics:
- Earnings growth that exceeds the broader market
- Dividend yield at least in line with the broader market
- Return on Equity (ROE) that is higher than the broader market
- Weighting among 35-40 holdings reflecting our highest conviction
- Blue Chip Dividend – This conservative strategy combines income and growth and is suitable if you require both current income and capital appreciation. These stocks typically exhibit the following characteristics:
- Value orientation
- Ten years or more of consecutive dividend payments
- Return on Equity (ROE) that is higher than the broader market
- Market capitalization of $5 billion or greater
- Ample trading liquidity
- Asset Allocation Fund Model – This strategy provides exposure to various equity and fixed income asset classes through a combination of mutual funds and exchange-traded funds (ETFs). It is suitable if you are prepared to assume a higher level of risk commonly associated with riskier equities. We can add exposure to these asset classes by employing a core/satellite approach. We supplement our core competency in large cap and fixed income with mutual funds or ETFs that meet our rigorous standards.