Dividend Growth Fund

Equity markets continue to evolve and shifting investor preferences, for example a focus on growth stock characteristics and the importance of balance sheet strength, have been evident in recent periods. The aim of the evolution of the fund process is to adapt to the changing market environment, avoid value traps, reduce regional and sector biases, and to diversify the dividend metrics used.

This review is to help to realise the objectives of the Fund; to achieve growth through capital gains and income, by investing in companies, the dividend yields of which tend to be higher than their markets’ dividend yield and, in addition, have the capacity to further increase dividends.

Following the latest review by Zurich Investments, on a regional and sector basis the fund now better reflects the global investment universe. At a sector level the positive bias towards industrials and utilities has been reduced, whilst the negative bias towards technology and healthcare has also decreased. The fund is subject to ongoing monitoring of factor and sector risks whilst the overall model will continue to be reviewed periodically. 

For further information speak to your Zurich Broker Consultant or visit the Dividend Growth fund page.