For share market investors who prefer to let other professionals with more time do the heavy lifting for them, using services such as an investment newsletter, a stockbroker or a fund manager can certainly be beneficial.
Argo Investments Limited (ASX: ARG) and Australian Foundation Investment Co.Ltd. (ASX: AFI) are prime examples. There are also plenty of Listed Investment Companies (LICs) that investors can use.
One of this 'new wave' of LICs is QV Equities Limited (ASX: QVE) which undertook an initial public offer (IPO) in August 2014. The Q and V stand for 'Quality' and 'Value' and the company is managed by the highly regarded fund management firm Investors Mutual.
Investors Mutual has a proven long-term track record of successfully adding value as an investment manager. This makes QV Equities an LIC worth considering if you prefer to 'outsource' your portfolio management.
Alternatively, for investors who are 'hands on' and prefer to buy their stocks directly it's interesting to learn which companies Investors Mutual have been buying for their portfolio over the past seven months since the LIC was created.
Of the total 35 stocks which are currently in the portfolio, here are four of the largest positions…
- Sonic Healthcare Limited (ASX: SHL) – According to Investors Mutual (IM) the stock is trading on a financial year (FY) 2015 price-to-earnings (PE) ratio of 19.4x and dividend yield of 3.6%.
- Bank of Queensland Limited (ASX: BOQ) – Based on IM's numbers the stock is on a FY15 PE of 15.2x and dividend yield of 5%.
- ASX Ltd (ASX: ASX) – IM's calculations show a FY15 PE of 21.4x and dividend yield of 4.2%.
- Ansell Limited (ASX: ANN) – IM's forecasts suggest a FY15 PE of 16.2x and dividend yield of 2.2%.
