67 WALL STREET, New York - December 16, 2013 - The Wall Street Transcript has just published its Top Ten Portfolio Manager Interviews of 2013 Report. This special feature contains expert industry commentary through in-depth interviews with highly experienced Money Managers. The full issue is available by calling (212) 952-7433 or via The Wall Street Transcript Online.
Topics covered: Top Ten Portfolio Manager Interviews of 2013
Companies include: Dividend Paying Value Stocks in Selected Sectors
In the following excerpt from the Top Ten Portfolio Manager Interviews of 2013 Report, an award winning and highly experienced portfolio manager discusses his dividend investing methodology and top picks for investors:
TWST: For the Dividend Capture Fund, what is the crux of the investment philosophy and strategy?
Mr. Mentzer: Philosophywise, it is a total-return fund. However, I'm really focused on providing as much income as I can while preserving the idea of having total return. Another way of saying it is, I want to push through a reasonable yield without damaging the principal of it and, if possible, grow the NAV on the fund, because that's the engine of growth for not only clients but also for the income. If I can grow the NAV, it gives me more opportunity to add more income to the portfolio. The main portfolio driver for this particular fund is diversification across asset classes and capitalization. It's a multicap fund on the value side, obviously with seeking yield.
It's a value-oriented fund, and across the asset classes, it can invest in common stock - that's the bulk of the assets right now - but also I have some other strategies within the fund that help give us diversification. The REITs are a source, preferred shares and MLPs. What all four classes have in common is that they pay a dividend.
Every single holding pays a dividend, but there's also the opportunity to capture dividends, thus the namesake of the fund. Typically the way this works when we're doing a dividend capture is I'm rotating within a sector or an industry, and if a name has done well and another opportunity is presenting itself with an upcoming dividend, I'll sell the name that's performed well and then move into a name that's maybe underperformed with a dividend coming up...
For more of this interview and many others visit the Wall Street Transcript - a unique service for investors and industry researchers - providing fresh commentary and insight through verbatim interviews with CEOs, portfolio managers and research analysts. This special issue is available by calling (212) 952-7433 or via The Wall Street Transcript Online.