Why active management?

15th April, 2024 | Equities

Stephen Atkins, Portfolio Manager, Strategist and Analyst at Polen Capital, breaks down the long-term drivers of equity investment returns, emphasizing that earnings growth, rather than valuation or dividend yield, is the key contributor over market cycles. Backed by 20 to 30 years of historical data, the discussion highlights how valuation tends to mean revert, reinforcing the importance of selecting companies with strong and sustainable earnings potential. Stephen showcases Polen Capital US-focused growth portfolio, which has consistently delivered 15–17% annual earnings growth, significantly outperforming major benchmarks like the S&P 500 and Russell Growth Index. Learn how this earnings differential supports long-term alpha generation for growth equity investors.