Alger Capital Appreciation Institutional Fund Class I (ALARX)

Overview

The company specializes in investment management with a strategic focus on dividend-paying equity securities. It targets growing companies with a substantial market presence, evidenced by a market capitalization equal to or greater than the companies included in the S&P 500 Index. This guideline ensures that the investments are made into well-established businesses capable of sustaining growth and profitability. The fund’s investment strategy is bifurcated, with a primary allocation of at least 65% of its total assets in equities that pay dividends, aiming to provide investors with a steady income stream alongside capital appreciation. To diversify their investment portfolio and mitigate risk, the fund may allocate up to 35% of its total assets in equities that do not pay dividends, money market instruments, and repurchase agreements. This blend of investment focuses not only on generating returns but also on capital preservation, making it a viable option for investors seeking a balanced investment strategy.

Products and Services

• Dividend-Paying Equity Securities Investment

  Consisting of at least 65% of the fund’s total assets, this service focuses on investing in equity securities of companies that offer dividends. The primary objective is to generate a steady income stream for investors through dividends, a portion of a company's profit paid to shareholders. This service targets companies with a strong market position and financial health that can sustain continuous dividend payments.

• Equity Securities Without Dividends and Money Market Instruments

  Up to 35% of the fund’s total assets may be invested in equity securities that do not pay dividends, alongside money market instruments and repurchase agreements. This aspect of the service is designed to balance the portfolio by investing in companies with potential for capital appreciation but that currently do not pay dividends, and in lower-risk money market instruments. This diversification strategy aims to mitigate risk and provide capital preservation, while still offering the potential for growth.