Our Strategies
Let's Plan Your FutureKessler Investment Group (KIG) is dedicated to providing individually managed portfolios for individual investors and institutions. Kessler Investment Group manages client portfolios on a discretionary basis and is compensated exclusively by an asset-based fee. We do not charge or accept commissions.
Working with Kessler Investment Group is different than working with a traditional broker or investment salesperson. Here you will know that our incentive is aligned with yours. Our reward does not come from a corporate office and is not based on how much commission we generated for a brokerage firm. Client satisfaction is our reward and investment performance is the yardstick used to measure our success.
Below you will find information about our three investment strategies. Before opening an account, we will meet with you to fully assess your investment objective and determine which portfolio might be right for you.
Investment Strategies
At Kessler Investment Group, our goal is to help clients achieve their investment goals by delivering investment results that exceed their expectations.
The Capital Growth Portfolio
Objective
The Capital Growth portfolio is a diversified stock portfolio with the primary objective of providing a dividend yield that is consistent with that of the Standard & Poor’s 500® Index. The portfolio’s secondary objective is to protect capital.
Identify the Universe
Consistent with our view that equity markets alternate between “alpha” and “beta” cycles, the process for selecting stocks changes based on the prevailing cycle. The first step in the KIG investment process is to identify the Standard & Poor’s 500® Index sectors or the largest constituents that are expected to outperform the broader market. To establish the list of sectors, the portfolio manager applies the proprietary AVP process. Once the sectors have been identified, the portfolio manager will “drill down” to find stocks that meet the KIG investment criteria. These criteria are designed to identify companies with the following qualities:
• Well-capitalized with strong balance sheet.
• A history of consistent and growing dividend payments.
Examine Cash Flow Characteristics
Strong companies pay dividends to shareholders out of cash flow. Historically, companies that have consistently increased their cash flows have rewarded their shareholders with increased dividends and superior total returns.
Select Companies
The stocks selected for the portfolio are those that meet the KIG investment objectives, trade at attractive valuations and are likely to exceed market expectations for future cash flows.
Kessler Investment Group, LLC is an Investment Adviser registered with the SEC. Advisory services are only offered to clients or prospective clients where Kessler Investment Group, LLC and its representatives are properly licensed or exempt from licensure.
The Balanced Portfolio
Objective
The Balanced portfolio is designed for investors looking for the stable income that can come from fixed income investments combined with the potential for growth that comes from equities.
Portfolio Construction
The portfolio is constructed by blending high-quality fixed income securities with the equities that are constituents of the S&P 500®.
The target allocation of equity securities and bonds is determined based on the client’s initial interview at the time the account is opened. During annual reviews, or more frequently if necessary, the allocation will be adjusted so as to remain consistent with the client’s investment objective.
Fixed income securities are selected based on the client’s liquidity needs and risk profile. KIG selects fixed income securities that are considered “liquid”, meaning there is an active market available for trading. Fixed income securities selected may include, but are not limited to; individual bonds, preferred stocks, mutual funds and exchange-traded funds (ETFs).
Kessler Investment Group, LLC is an Investment Adviser registered with the SEC. Advisory services are only offered to clients or prospective clients where Kessler Investment Group, LLC and its representatives are properly licensed or exempt from licensure.
The Rising Dividend Portfolio
Objective
KIG believes that companies which continuously increase dividends and earnings per share can ultimately become leaders in their respective industries. By focusing on companies with strong and consistent cash-flows and reasonable valuations, we believe a portfolio of stocks that delivers solid results can be constructed.
Identify the Universe
Utilizing a top-down approach, the KIG Investment Team targets sectors and industries that they believe will outperform the broad equity market. While companies that have a history of raising dividends over time tend to be large-cap, we apply our analysis to the entire market regardless of company size.
Select Companies
The stocks selected for the portfolio are those that have exhibited a history of increasing dividends, generate adequate cash flow to sustain its dividend and trade at an attractive valuation compared to its peer group.
Kessler Investment Group, LLC is an Investment Adviser registered with the SEC. Advisory services are only offered to clients or prospective clients where Kessler Investment Group, LLC and its representatives are properly licensed or exempt from licensure.