Review & Outlook

Our take on the investing, financial, & economic themes of the day

Combination of Growth and Value Stocks

6 October, 2010 by admin in Philosophy

We balance our client’s stockholdings between value stocks and consistent high growth stocks. We are attracted to value stocks because they have dividends that are secure even in the face of unexpected adversities, dividend growth rates that far exceed inflation and less price volatility in down markets.

We are attracted to growth companies because their products tend to be in demand even during periods of economic decline, and because their stock prices tend to outperform the stock indices in up markets. The combination of growth and value produces stock portfolios that over time generate both constantly increasing dividend streams and steady capital appreciation. Stocks are selected through our in-house security analysis.