Investment Strategies > Equity Income

Equity Income

An all-cap active strategy with a focus on growth of capital, income generation and downside risk mitigation

Strategic allocation across REITs, Utilities, Convertibles and other high-yielding securities
Differentiated bottom-up approach to security selection focused on discounted free cash flow and net asset value
Senior portfolio managers average over 30 years of industry experience

Sandy Pomeroy

Senior Portfolio Manager

Richard S. Levine

Senior Portfolio Manager

William D. Hunter

Portfolio Manager

Shawn Trudeau, CFA

Portfolio Manager

Overview

Investment Philosophy

We avoid consensus thinking
Long-term value can be created by the companies we believe are attractively priced and poised to benefit from significant and underappreciated global trends
Opportunistic investment in non-U.S. companies seeks to improve the portfolio's risk/return profile
On-site company visits (globally) are a key component of the investment process and can meaningfully inform portfolio positioning

Investment Process

Employs a top-down identification of global secular growth trends/themes and a bottom-up approach to security selection focused on discounted free cash flow and net asset value

REITs, Convertibles, Utilities and Other Income Producing Securities

Universe: 60,000 Stocks

Quantitative Screening

600 Stocks

Fundamental Analysis
1. Market Cap > $1 billion
2. Daily Turnover > $5mm
3. Dividend yield > S&P 500 Index
4. Total debt < market cap
5. FCF Yield > 5%

Detailed Analysis

150–300 Stocks

Fundamental Research
- Meet with 800+ companies/year
- Maintain models on 300+ companies
- Discounted free cash flow analysis to avoid overpaying for stocks