Equity Income
Dividend Value Strategy
The Dividend Value Strategy objective is to deliver investment returns that exceed that of the Russell 1000 Value by focusing on undervalued stocks with above-average dividend yields.
Strategy Overview
- We seek long-term inflation protection by investing in stocks in the top 40% of the market ranked by dividend yield
- We invest in companies that we believe are capable of consistent dividend growth; and what we believe to be undervalued stocks with significant potential for capital appreciation during a full market cycle.
Investment Philosophy
Chartwell’s Dividend Value investment philosophy is based on the core belief that the combination of high dividend yield, dividend growth, and low valuation is designed to deliver strong risk-adjusted returns over a complete market cycle.
Key Facts (as of 12.31.2024)
| Strategy Inception | July 1, 2002 |
| Benchmark | Russell 1000® Value Index |
| Investment Vehicles | Separate Account |
| Range of Holdings | 40-50 |
| Max Position Size | 5% |
| Total Net Assets | $57M |
| Annualized Turnover | 28.2% |
| Active Share | 78.3% |
| Weighted Average Market Cap |
$198.8B |
The Russell 1000® Value Index measures a value-oriented subset of the Russell 1000® Index, which tracks approximately 1,000 of the large-sized capitalization companies in the U.S. equities market.
London Stock Exchange Group plc and its group undertakings (collectively, the “LSE Group”). ©LSE Group 2025. FTSE Russell is a trading name of certain of the LSE Group companies. Russell® is a trademark of the relevant LSE Group companies and is used by any other LSE Group company under license. All rights in the FTSE Russell indexes or data vest in the relevant LSE Group company which owns the index or the data. Neither LSE Group nor its licensors accept any liability for any errors or omissions in the indexes or data and no party may rely on any indexes or data contained in this communication. No further distribution of data from the LSE Group is permitted without the relevant LSE Group company’s express written consent. The LSE Group does not promote, sponsor, or endorse the content of this communication.
Risk Considerations: There are risks associated with dividend investing, including that dividend-issuing companies may choose not to pay a dividend, may not have the ability to pay, or the dividend may be less than what is anticipated. Dividend-issuing companies are subject to interest rate risk and high dividends can sometimes signal that a company is in distress. Historically, dividend yields have been relatively constant and therefore have created a cushion for investors when stock prices have declined. However, as with all equity investing, there is the risk that a company will not achieve its expected earnings results, or that an unexpected change in the market or within the company will occur, both of which may adversely affect investment results. Dividends are not guaranteed and must be authorized by the company’s board of directors. The biggest risk of equity investing is that returns can fluctuate and investors can lose money.