At Extreme Investor Network, we are dedicated to providing our readers with unique and valuable insights into the world of investing. Today, we are discussing the investing strategies of Tony DeSpirito, the global chief investment officer of fundamental equities at BlackRock.
DeSpirito’s approach to investing focuses on quality, value, and dividend-paying stocks. He believes that the current market environment, which he refers to as the “new era,” will be characterized by increased volatility and greater differentiation between individual equities. This presents opportunities for alpha generation through careful stock picking.
One key aspect of DeSpirito’s strategy is to invest in quality stocks with the potential for dividend growth. This approach has been successful for the BlackRock Equity Dividend Fund, which is rated four stars by Morningstar. DeSpirito and his team have consistently added value through skilled stock-picking, with the fund outperforming its benchmark and peers in most years.
In terms of sector allocation, DeSpirito sees the best opportunities in health-care stocks. He believes that the aging population will drive increased demand for health care services, making it a stable and growing sector. The fund’s largest health-care holdings include CVS Health and Cardinal Health, both of which are well-positioned to benefit from these trends.
DeSpirito also has a significant allocation to financials, with a focus on stable earners such as insurance brokerages and exchanges. He believes that banks have improved their earnings power under the new regulatory regime, making them attractive investment opportunities.
Overall, DeSpirito’s investment strategy is based on careful analysis, quality stock selection, and a focus on long-term growth potential. By following his approach, investors can position themselves for success in the ever-changing market landscape. Stay tuned to Extreme Investor Network for more expert insights and investing tips.