Johnson Equity Income Fund
Quality is the foundation of the Johnson approach. We seek to protect and enhance our clients’ capital by investing in companies that we consider to have durable competitive advantages and responsible management teams. The Johnson Equity Income Fund consists of large-cap stocks with high-quality characteristics that, in our opinion, have attractive valuations. The portfolio is constructed via a Fundamental bottom-up approach to research and security selection.
Strategy Overview
The Johnson Equity Income Fund seeks to outperform the S&P 500 over a full market cycle with a disciplined quality framework that has the goal of providing investors with long-term capital growth, above average shareholder yield and reduced volatility through downside risk management.
Investment Philosophy
We believe that the best way to build an all-weather portfolio is to invest in companies that exhibit a favorable combination of quality, valuation, and shareholder yield. In our opinion, positive shareholder yield is a signal of quality and owning companies with a quality bias is the most consistent method to achieve superior risk-adjusted long-term capital appreciation.
Portfolio Overview
We focus on building a diversified portfolio through a bottom-up Fundamental approach focused on quality businesses that have strong competitive advantages, a healthy and flexible balance sheet, and a track record of prudent capital management.
Investment Guidelines
- Benchmark: S&P 500
- Domestic large cap equities with market cap over $2 billion
- Diversified portfolio of 40-60 securities
- Objective to deliver shareholder yield greater than the market
- Goal to maintain lower volatility than the S&P 500
- Expected annual turnover between 20 - 40%