Introducing a Canadian investment pioneer

November 04, 2013

Established in 1939 as one of Canada’s first investment counselling firms, Leon Frazer & Associates has built an enviable track record investing in Canadian companies through war, inflation and periods of market volatility.

Today, with $2.1 billion under management, offices in Toronto and Vancouver, an experienced portfolio management team, a well-honed and tested investment philosophy and a compelling view of the future of Canadian equity investment; Leon Frazer’s approach provides a unique solution to the challenges facing the Canadian pension fund community.

For more than 70 years, Leon Frazer has been Canada’s authority on dividend investing

For more than 70 years Leon Frazer has invested in companies that grow their dividends. It is central to their investment beliefs. They do not waver in this belief – they have never wavered in this belief.

The Leon Frazer approach is simple. But is it a strategy that is right for 2013?

Ryan Bushell

“We have not seen as compelling an environment for Canadian dividend payers in a long time,” says Ryan Bushell, Leon Frazer Portfolio Manager.

Bushell explains that the dividend yield on the Canadian market is almost a full percentage greater than the S&P 500 index at 2.7%.

“And the internal dividend yield on the Leon Frazer portfolio is  4.4%,” says Bushell. “That is well ahead of inflation and prevailing 10-year government interest rates.”

There are good opportunities to buy select energy, materials and telecommunications stocks at very attractive dividend yields that limit downside and provide a healthy chunk of total return. “In addition many of these companies have been growing their dividends regularly while seeing little to no stock price appreciation over the past couple of years,” says Bushell.

For Pension Fund Newsletter Issue One, click here.