Market capitalization minimum is $500 million.
As of 12/31/18 for the KCM Value Equity Composite the median market cap is $42.4 billion, the average market cap is $74.5 billion and the weighted market cap is $89.5 billion.
- Must pay dividends at the time of purchase*
- Have frequently been sold out or ignored for some time by other investors
- Have earnings or other factors such that we believe will make them become better regarded by other investors
- Usually have low price/earnings multiples (≤15x) and high cash flow per share
- Are generally within 20% of their 52-week low
- Public debt, if any, must be investment grade (BBB-, BAA3 or better) at time of purchase
- KCM purchases foreign securities if they are ADRs and are traded on U.S. exchanges.
*KCM retains stocks that have suspended dividend payments if there is investment merit and a turnaround is anticipated.