Investors have flocked to buy quality shares in the last few years. With the rate of return low on government bonds, the earnings yield on the most consistently performing companies has looked attractive, so long as it can surpass the risk-free yield on government paper.
- There are 18 FTSE All Share companies passing all nine of our quality tests this month, with larger firms including Unilever (ULVR), Diageo (DGE) and RELX (REL).
- On Aim, Fevertree Drinks (FEVR), is still scoring 9/9 on the screen, although the recent share price performance suggests investors are becoming sceptical the gin boom, which has buoyed the company, can continue to support the same level of profits growth.
