Heward Canadian Dividend Growth Fund Celebrates 10 Years of Outperformance

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Fund has total return of 9.85%, outperforming the S&P/TSX by 2.06% since inception.

Heward Investment Management Inc. (Heward), a Montreal-based portfolio management firm, today announced that the Heward Canadian Dividend Growth Fund (the “Fund”) marked its tenth anniversary on June 30, 2019. Since its inception, the Fund has outperformed the S&P/TSX Total Return Index (the “Index”) by 2.06%, with significantly less volatility than the market.

Global Manager Research (GMR), a leading Canadian investment manager database, ranks the Fund’s risk-adjusted return in the top 5th percentile (7 out of 142 funds in GMR’s Canadian equity universe) in its most recent survey.

Heward launched the Fund in recognition of the opportunities that dividend growth investing can provide investors. Substantial research indicated that dividend growth investing was a significant driver of higher stock returns and income growth.

Using an active investment strategy, the Fund is focused on dividend growth stocks (vs. high yielding stocks). Its allocation to the financial sector, a hallmark of dividend growth in Canada, is capped at 25% in order to take advantage of dividend growth in other sectors. Its allocation to the more economically-sensitive materials and energy sectors is capped at 15% for greater diversification and less volatility. The Fund will not own a company that has cut dividends.

“We are very pleased with the Fund’s ten-year performance,” says Renato Anzovino CFA, Vice-President and Portfolio Manager, Heward. “This important milestone is a validation of our vision and it places us among a small group of Canadian dividend growth investing pioneers. Looking ahead, there are good reasons to be optimistic about the Canadian economy. Job-creation and wages are up. We expect to welcome more than one million immigrants in the next three years, many of whom are well-educated and highly-skilled. This immigration policy will help offset the challenges of an aging population. The federal government will also invest more than $180 billion in infrastructure by 2028. On the basis of these fundamentals, we are optimistic about the continued performance of our Fund.”

“I would like to congratulate Renato and the portfolio management team on the ten-year performance of the Fund,” continues James Heward, President, Heward. “Looking at the aging baby boomer population, it stands to reason that investors will approach retirement with lower risk tolerance, a strong desire for capital preservation and a need for tax-efficient income. After ten years of outperformance and increased income through dividend growth, our Fund is perfectly aligned with these investment objectives.”

The Heward Canadian Dividend Growth Fund is open to new accredited investors.

About Heward Investment Management Inc.

Heward has been providing client-focused portfolio management services since 1981. The firm’s independence and disciplined investment management approach have made Heward a trusted partner by providing clients with value-added performance. For more information, please visit http://www.heward.com.

To schedule an interview with Mr. Anzovino, please contact:

Mark Lowe
PRagmatic Communications
mark.lowe(at)pragcom.com / (514) 576-2519

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Mark Lowe
PRagmatic Communications
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