What Makes a High-Quality Stock, and Where to Find Them

Investing Strategies

Last week I got to spend some time with John Davi and Frank Tedesco of Astoria Advisors. Astori is a firm that specializes in research-driven investing and offers two exchange-traded funds for public investors, as well as research for investment advisors across the United States.

The firm’s latest offering is an exchange-traded fund that focuses on owning high-quality companies. 

While quality is often talked about, very few of the talking heads in the media actually define what makes a quality company.

John and Frank take us in depth into the process of defining quality and how we can use that to earn higher returns over time – and share some details about their new ETF.

The Astoria US Quality Kings (ROE) is an ETF that invests in 100 high-quality US large-cap and mid-cap stocks. The companies are spread across several sectors of the market and the portfolio is equally weighted.

This is critical as it allows investors to avoid over-concentration like we currently see with the Super Seven in the S&P500.