America’s Finest Companies® Equity Strategy
America’s Finest Companies® is an actively managed investment strategy that seeks to deliver consistent equity returns with lower risk compared to the U.S. equity market over a full economic cycle. The strategy focuses on purchasing 20-25 U.S. based companies that have a large competitive advantage and have demonstrated a unique ability to annually raise their cash dividend.
We start by screening for U.S. based companies that have increased their dividend every year for the past 10 years. We conduct quantitative and qualitative analysis to determine the following factors:
- Sustainable product or service
- Competitive advantage
- Ability to drive growth in future revenues and profits
- Discount to our estimate of intrinsic value
We strive to invest in companies from this universe that are paying an above average dividend and possess upside potential in their share price. We seek to balance return on investment with safety of principal.
Bill Staton, CFA has independently written and published literature on the America’s Finest Companies®. Novare Capital is not affiliated with these publications. While Novare Capital may use strategies mentioned in the publications, there is no guarantee that following these strategies may increase your wealth.