Yield. Valuation. Fundamentals.

Yield Investing

We Believe:

  • Dividend yield provides a meaningful portion of the market’s total return.
  • Dividend yield offers concrete evidence of real earnings and provides the most reliable valuation measure.
  • The return of cash to shareholders in the form of dividends encourages capital allocation discipline. 

The Importance of Dividends

  Price Return (Ex-Dividends) Total Return Difference=Dividends*
Russell 1000 Value Index (1991) 605% 1322% 54%
Russell 2000 Value Index (1994) 541% 969% 44%
MSCI ACWI Ex-US Small Index (2000) 167% 294% 43%
MSCI Emerging Markets Index (1988) 862% 2090% 59%
Cumulative Performance as of March 31, 2017 since the inception of each index.
*The percentage represents dividends’ contribution to total return.