Transcript Document

Dividend Income
September 30, 2013
Who We Are
Dividend Income Strategy Summary
Wood Asset Management is an SEC registered investment advisory firm
with over $380 million of assets under management. For over 20 years, we
have successfully managed a broad range of equity and balanced
strategies for institutions and individuals alike. With a singular focus on the
management of money and a dedication to the satisfaction of our clients’
expectations, we offer the unique benefits of a boutique firm but with the
resources usually attributable to much larger investment management
companies.
Strategy Inception:
Strategy AUM:
Strategy Accounts:
Total Firm AUM:
Target Holdings:
Benchmark:
9/30/2008
$5.1 Million
14
$380 Million
30 – 50
Russell 1000 Value
Strategy
Composite*
Portfolio Composition
Objective
The Dividend Income strategy seeks to provide a growing level of income
that exceeds the average yield on the Russell 1000 Value Index with less
volatility.
Philosophy and Process
We believe that dividends matter for two reasons. Historically the income
component has been a meaningful contributor to total return. Secondly, the
characteristics of dividend paying stocks generally leads to higher quality
companies that are more focused on not only creating, but realizing
shareholder value.
Our primary emphasis is on companies that we believe are attractively
valued, with a history of paying a dividend, supported by a healthy cash
flow profiles and secure balance sheets. This focus is complimented by a
top-down approach, which influences our sector positioning. Depending on
our assessment of the macro economic landscape and our conviction in the
outlook, we will strategically add or reduce exposure to certain sectors.
Current P/E (Fiscal Year 1)
Forward P/E (Fiscal Year 2)
P/B (Weighted Average)
Dividend Yield (Weighted Avg.)
Median Market Cap (Billions)
Weighted Avg. Mkt Cap (Billions)
5 Year Portfolio Beta
Annual Turnover
Number of Positions
Strategy Sector Allocation
Cons Discr
2.5%
Cons Staples
8.3%
Energy
13.2%
Financial
25.3%
Health Care
11.5%
Industrials
8.4%
Info Tech
Why Invest With Wood Asset Management?
•
Time-tested strategies over 20 years of market cycles
•
As a fee-only advisor, our interests are aligned with the interests of our
clients
•
Commitment of integrity, professionalism and full customization through
separate account administration
•
Full transparency of separate accounts, including portfolio trading and
advisor fees
•
Frequent client communication through meetings, conference calls and
market commentary
15.3
14.7
2.5
3.8%
$42.0
$85.5
0.78
32.6%
34
6.9%
Materials
8.6%
Telecom
Utilities
0.0%
10.8%
3.9%
5.0%
10.0% 15.0% 20.0% 25.0% 30.0%
Top 10 Holdings
General Electric
Merck & Co.
Johnson & Johnson
Occidental Petroleum
Vodafone Group ADR
4.9%
4.4%
4.4%
4.0%
4.0%
Analog Devices
Dow Chemical
Eaton Corp PLC
Seadrill Ltd
BlackRock Inc
3.6%
3.5%
3.5%
3.4%
3.4%
* Based on the model portfolio. The information provided in this report should not be considered a
recommendation to purchase or sell any particular security. There is no assurance that any securities
identified herein will be part of the portfolio at the time you receive this report.
Wood Asset Management, LLC
1605 Main Street | Suite 904
Sarasota, FL 34236
TEL
941.361.2195
FAX
941.906.9494
WEB
www.woodasset.com