years, and where the returns have been consistent. I will hold five to six different funds to assure the right type of asset allocation between stocks and bonds, sometimes adding a small amount of certain sector funds depending on the client.
Clipper Value Mutual Fund (CFIMX) meets my requirements for low cost, long-time management, and consistent returns, and it also does not drift from its value style.
American Century Long Term Government Bond Fund (BTFTX) is a solid fund that allows investors to be conservative with their portfolio. I believe in asset allocation, so every portfolio should have a percentage of bonds.
Jensen (JENSX) is very particular about choosing their stocks. I like Jensen because of its no-style drift. If a stock doesn’t perform over time, it’s eliminated from the portfolio. email@example.com
|Mutual Fund (Ticker)||Fund
|Clipper (CFIMX)||Large-cap Value||10.71%|
|American Century Target Mat 2015 Inv (BTFTX)||Long-term Government Bond||15.65|
|Jensen (JENSX)||Large-cap Growth||-0.29|
|*AS OF FEB. 7, 2003
SOURCE: MORNINGSTAR INC.
Dale Bryant The Bryant Group
I recommend some subsections of the healthcare sector, consumer staples, and the financial sector. But the important thing is to make selections within these sectors that have been able to generate consistent earnings; have been able to generate solid revenue increases over the year; and in some cases, have the ability to control pricing power in their industry, which is important.
Watson Pharmaceuticals has EPS growth that has been flat over the last three years, but the last five quarters have shown a positive trend. Revenues have grown 24% over the last three years. It distributes branded and generic pharmaceutical products of a broad range.
Dollar Tree, a discount variety store that has shown revenue growth of 17% over the last two years straight. EPS growth for the last three years has averaged 14%. Its net income for the fourth quarter 2002 was an impressive 20%.
Golden West Financial is adding some new investment advisor services to get some additional profit out of its existing client base. It has been showing 10% revenue growth over the last three years, and 20% EPS growth over the last three years. firstname.lastname@example.org
|Company (Exchange: Ticker)||Price at
EPS Growth Rate
|Watson Pharmaceuticals (NYSE: WPI)||$29.67||11.6%|
|Dollar Tree Stores (Nasdaq: DLTR)||22.70||20.2|
|Golden West Financial (NYSE: GDW)||72.97||11.9|
|*AS OF JAN. 24, 2003
SOURCES: YAHOO! FINANCE; ZACKS INVESTMENT RESEARCH
B.E. Stock Update
Overcoming the third consecutive year of double-digit losses in the financial markets proved to be a difficult task for the two stock-pickers from last year’s investment roundtable. Charles Payne, founder of the New York City investment-advisory firm Wall Street Strategies and Eric McKissack, former vice president and portfolio manager for the Ariel Appreciation Fund, had little luck solving the riddle of a market plagued by uncertainty brought on by corporate accounting scandals, threats of war, and an ailing economy. Payne’s five stock selections suffered a 59.03% loss, demonstrating how a very aggressive, tech-heavy style can be punished in this bear market. And although McKissack