Since inception of the core portfolio over 30 years ago, the investment strategy remains unchanged. Through a research driven active management, BKI takes a long term investment approach in quality, profitable Australian Companies that have a history of and are expected to continue to pay attractive dividends.
BKI aims to generate an increasing income stream for distribution to shareholders in the form of fully franked dividends to the extent of available imputation tax credits and also deliver long term capital growth to shareholders.
The following five pillars represent the foundation of BKI’s investment process:
Principal Activity
Sustainable business model, competitive advantage, barriers to entry, attractive industry
Income
Dividend yield, franking credits, payout ratio, dividend sustainability and growth
Management
Shareholder alignment, history of creating shareholder wealth, culture, remuneration structure
Financial Position
Debt levels, gearing ratio, interest coverage
Earnings and Valuation
Earnings profile, PE Multiples, EV/EBITDA Multiples