Quality Growth

Large-cap, dividend paying, blue-chip companies with financial strength, high profitability, earnings predictability and low debt-to-equity ratios.


The Quality Growth Portfolio consists of 25-35 stocks selected through a rigorous quality screening process from among a universe of over 300 stocks. We choose companies for the portfolio based on superior financial strength, above-average and consistent earnings growth, regular and growing dividend payments and a strong competitive position.

Investment Philosophy

Investment Process

quality growth investment process

Portfolio Characteristics*



S&P 500

Financial Strength A+ B+
Earnings Predictability 89 65
Average Market Cap ($Billion) 283.0 272.0
Return on Equity (Median) 24.1% 16.6%
Projected EPS Growth (5 Years) 9.7% 10.6%
Historical EPS Growth (5 Years) 9.7% 7.4%
Hist. Dividend Growth (5 Years) 11.4% 7.3%
Dividend Yield 1.8% 1.9%
Price to 2020 Earnings 20.2 18.5
Projected Growth Rate + Dividend Yield 11.5% 12.5%

Sector Allocation*



S&P 500

Communication Services 7.7% 10.5%
Consumer Discretionary 13.0 9.9
Consumer Staples 6.1 7.4
Energy 1.6 4.4
Financials 13.7 13.1
Health Care 19.3 13.9
Industrials 11.0 9.3
Information Technology 22.4 22.5
Materials 5.2 2.7
Real Estate 0.0 3.1
Utilities 0.0 3.4

Top-Ten Holdings*

Apple Inc.
Microsoft Corporation
Mastercard Incorporated Class A
TJX Companies Inc.
Accenture Plc Class A
CVS Health Corp.
United Health Group Inc.
Comcast Corp.
PepsiCo, Inc.


* Based on recommended portfolio weights. Portfolio Characteristics, Sector Allocation and Holdings are subject to change at any time based on market or other conditions.
The S&P 500 is for comparative purposes only. The S&P 500 is a capitalization-weighted index, calculated on a total return basis with dividends reinvested. The S&P 500 is an unmanaged index with no expenses, which covers 500 industrial, utility, transportation, and financial companies of U.S. markets. It is not possible to invest directly in an index.


All Data as of December 31, 2019. The information presented should not be construed as investment advice or recommendations with respect to specific securities presented and may not represent the holdings or weighting of any particular portfolio.