First Trust Portfolios Launches Dividend Yield UIT based on Sabrient System’s Proprietary Research
A unique product designed to capitalize on current state of the bond market
Santa Barbara, Calif. – April 15, 2013 – – Sabrient Systems, LLC, an independent equity research firm that specializes in alpha extraction through quantitative and qualitative analysis, announced today its collaboration with First Trust Portfolios L.P. (First Trust) to launch a dividend yield unit investment trust (UIT), the Sabrient Dividend Portfolio, to focus on dividends in light of the current state of the bond market. The UIT leverages Sabrient’s proprietary Earnings Quality Rank (EQR) and marks the strategy’s debut in an income-oriented product.
“Investors have pulled more than $50 billion out of bonds and bond funds throughout January and February of this year and moved the investments into equity mutual funds, ETFs, and UITs,” according to research by David Brown, Chief Market Strategist for Sabrient Systems.
Through its research, Sabrient Systems has identified high-yield stocks with growing dividends that have the potential for increased price which will be included in the UIT’s portfolio.
“Given a combination of low interest rates and high risk in the bond market, it is an opportune time to allocate assets to a dividend portfolio, and there is evidence of such a shift taking place,” said Brown. “By leveraging our expertise in forensic accounting, we are able to identify a portfolio that will give investors an improved chance of increased dividends.”
In collaboration with Gradient Analytics, a global equities research firm and wholly owned subsidiary of Sabrient Systems, this offering focuses on portfolio gains through both income and stock price growth. The algorithm used to rank the stocks is evenly weighted between four factors including high current dividend, growing dividends, and safety of dividends (based on the stock’s EQR), as well as strong earnings growth. .
# # #
PRESS CONTACT:
Cognito
Caitlin Mitchell
+1 646.395.6300
sabrient@cognitomedia.com
ABOUT SABRIENT SYSTEMS, LLC
---------------------------------------------
Sabrient Systems, LLC specializes in unbiased, fundamentals-based quantitative equity research for the benefit of investment professionals, hedge funds, and self-directed investors. The firm analyzes nearly 5,000 U.S. and 500 Canadian traded stocks and identifies those that appear poised to out-perform or under-perform the market. Sabrient first published rankings in 2002, and its models have consistently outperformed relevant benchmarks over a broad range of investing styles, market caps, time frames and market conditions. Sabrient is based in Santa Barbara, California. Visit www.sabrient.com.
---------------------------------------------