Last up on the list is Eaton Vance (EV), the Boston-based asset manager with more than $192 billion under management. Eaton is a leader in equity and fixed-income investments designed to minimize their clients' tax burdens. Niches are tough to come by in the institutional investment business -- typically size is one of the few advantages firms can claim -- but Eaton's focus gives it at least some semblance of a moat, even if it's had to fight hard to hold onto assets in recent years.
A series of events could help spark upside in Eaton this year. With an election year shoving extra emphasis on climbing taxes on investment gains and an equity rally that's continuing to find higher ground this fall, the onus is going to be on investors to find more tax-sensitive ways of managing their money. And because Eaton gets compensated based on the dollar value of the assets it manages, those factors could help to swell Eaton's revenues in kind.Already, Eaton Vance sports a reasonably strong balance sheet with a cash position of more than $633 million that plays a big role in offsetting its debt load. Margins have been steadily on the rise for the past few years, and while the firm's dividend yield is already decent for a financial sector name at (2.6%), its income generations says there's still room for improvement. I'd expect to see a raise in the firm's quarterly 19-cent payout in 2012. To see these dividend plays in action, check out the at Dividend Stocks for the Week portfolio on Stockpickr. And if you haven't already done so, join Stockpickr today to create your own dividend portfolio. -- Written by Jonas Elmerraji in Baltimore.
Twitter and become a fan on Facebook.
Select the service that is right for you!COMPARE ALL SERVICES
Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.
- Real Money + Doug Kass + 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV