Welcome

Our team

 

 

 

 


 

 



The Fiduciary Standard

News

Resources


ADV

CFA Code of Ethics

Composite Disclosure

Data Security

Privacy Policy

Site Disclosure



Wallickinvestments Danwallick Danwallick







WI Dividend Focused

Our WI Dividend Focused portfolio is a core, “fair weather” holding consisting of stocks of high quality companies, selling at a discount, paying above average dividends and having a catalyst for increasing shareholder value. Dividend Focused’s goal is to outperform its benchmark in all but the most risk-seeking market environments with special attention on downside protection. Dividend Focused’s overall portfolio style is best defined as Large-Cap Value with a concentration on income and capital preservation. It is an ideal equity portfolio for more conservative income-oriented investors.

We evaluate quality based on balance sheet strength, focusing on companies which rank in the top quartile for return-on-invested capital (ROIC), earnings yield and free cash flow, and companies which also have proven themselves to be good capital allocators. The criteria used to determine whether a company is selling at a discount includes relative financial ratios-to-price and both our own and third party calculations of intrinsic value-to-price. Catalysts for increasing shareholder value may include but are not limited to insider or activist purchases, earnings momentum, share buybacks or increased dividends.

WI Dividend Focused will be a diversified portfolio of 40 – 60 common stocks with a minimum weighting of 55% Large-Cap stocks and up to 10% international stocks with American Depository Receipts (ADRs) listed on the U.S. market. The average initial position size is 2% with a maximum initial position size of 3%. Sector weightings are between plus or minus 5% of the S&P 500 and the WI Dividend Focused portfolio will avoid frequent rebalancing, allowing the best performers to appreciate and minimizing potential trading costs. WI Dividend Focused portfolio beta will range from .70 to 1.10 and annual turnover may be over 50%.

In April of 2015, Wallick Investments, LLC renamed our WI Core Value portfolio WI Dividend Focused. With this change we also expanded our definition of “selling at a discount” and adjusted our criteria for Financial Health grades from above average to average or better. We also changed the minimum third party calculations of intrinsic value from a requirement to a preference.