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Investors with a more conservative desire might find the Ice style appealing. By focusing on businesses that have shown consistent financial performance and growing dividends, we seek to beat the market with a mix of income and steadily rising share prices. We consider this to be a lower-risk investing strategy than Fire, but company and industry specific risks mean diversification remains important.
Ice investing can generate large, short-term gains on occasion, but we’re primarily seeking steady gains over time, and shallower declines during wider stock market falls. These qualities are most commonly found in established firms, but the Ice approach does not focus exclusively on large companies. We often see ample opportunity to invest in medium-sized companies, with strong niche positions in their industry and the ability to grow their dividends for years to come.
“There are lots of good companies in the world – doing different things in different industries. It’s therefore hard to come up with a definition of a good business that captures everything about what makes one special. I’ll offer up a couple, though, that fit this month’s Ice recommendation.”
Mark Stones, Share Advisor
