The Northwest Equity Income portfolio is appropriate for clients looking for long term growth of investment capital through a combination of capital appreciation and dividend income. Many companies we own in this portfolio have the ability to not only increase the underlying value of their business, but also to reward shareholders on a regular basis by payment of above-average dividends. These dividends theoretically can serve to reduce the volatility of this portfolio, making it appropriate for investors looking for a smoother pattern of returns than the overall stock market.

Investment Strategy: Portfolios will be invested in a diversified group of large and mid-cap stocks with attractive fundamentals but lower growth prospects for excess cash flow than the overall market. Prospects typically will have five years of uninterrupted dividend payments which yield at least 50% - 75% greater than the S&P 500 yield at the time of addition to the portfolio. Typically, most holdings at the time of purchase will trade at a price-to-earnings (PE) ratio that is less than the overall market.