Large Cap Equity

Philosophy

Sterling's Large Cap Core team is based in Raleigh and utilizes an approach that blends fundamental, quantitative and technical analysis. We target companies and other investment alternatives that offer attractive relative valuations compared to historical measures while maintaining a three-to-five year perspective when evaluating investments.

Sterling considers the potential risk and potential return of each investment and views these in the context of the entire portfolio. Investment decisions are based on expected total return and without preference for growth or value style. The goal of the Select Equity portfolio is to generate returns above its benchmark, the S&P 500. The goal of the Select Dividend Income portfolio is to offer above-average dividend income and to generate returns above its benchmark, the Russell 1000 Value Index.

Investment Process

• Narrowing list of candidates that meet our minimum quality rankings.
• Develop a four-year price target for stock. These include revenue and earnings growth and stability, historical P/E levels, cash flow, margins, book value, PEG ratio and others.
• Using technical analysis to review actual stock price movement and make sector evaluations.

Portfolio Strategies

• Select Equity
• Select Dividend Income