All Cap with an emphasis on dividend pay stocks operating method
Philosophy:
- We are growth and value driven investors.
- We typically purchase stocks we deem undervalued relative to their intrinsic value.
- We search for high quality dividend paying stocks that have historically paid dividends, and offer the potential to consistently raise their annual dividends.
- We are tactical traders when the market is volatile and in a trading range, and we will typically sell to protect profits or to limit losses.
Investment Objective – Strives to Achieve:
- Growth and Income
- Seek to provide a yield above the inflation rate
- Diversification among all 11 economic sectors
Investment Selection – We utilize the following sectors as a guide:
- High quality dividend paying stocks
- Strive to have a diverse portfolio of ten or more stocks
- Raymond James and correspondent research
- Exchange Traded Funds (ETF) for bond exposure if needed
- Stocks that have a history of raising their dividend
Risk Management – We utilize the following factors as a guide:
- Fundamental analysis
- Technical analysis
- Monitor current economic conditions
- Monitor current volatility of S&P 500
Client Communication:
- You will receive a monthly statement and a 1099 statement at the end of the year. You will always have direct access to me should you have any questions or concerns. By maintaining open communication, I believe I may be able to help you avoid any pitfalls created by downward market cycles.
- You will also receive a weekly email of the trades done in your account during the week.
Portfolio Construction and Limitations:
- We:
- May own Stocks that do not pay dividends although we minimize that ownership.
- May own bonds from time to time if we deem stocks are generally overvalued
- Own securities which are rated overweight/buy or neutral/hold by at least one of our correspondent research firms.
- Our strategies exhibit higher than average trading frequency and may not be appropriate for non-qualified accounts for those clients that are particularly sensitive to the tax effect from higher than normal portfolio turnover
- We typically avoid:
- Using margin – the portfolios are not leveraged or shorting any security
- Overweighting the portfolio in any one security by more than 20% of the entire value of the portfolio.
- Overweighting the portfolio in any one Sector by more than 30% of the entire value of the portfolio.
- Use of options
“Mistakes are OK. Grave errors are not”.
Sergio Ermotti
John N. Lilly, III, AAMS®
Portfolio Manager, Windsor Wealth
Investment Planner
620 Spring Street SE
Gainesville, Georgia 30501
678-971-1337