Patent ID: 8341061

Claim:
A computer-implemented method for managing institutional investment portfolios on a dividend reinvestment basis during a mandate term, the method comprising: (a) determining, by a computer, an average initial dividend yield; (b) determining, by the computer, a fundamental rate of return; (c) allocating, by the computer, an initial amount of institutional capital to be invested during the mandate term in equity-based investments; (d) establishing, by the computer, a first dividend goal for a first period of the mandate term, the first dividend goal determined by multiplying the initial amount of capital by the average initial dividend yield; (e) generating, by the computer, a second amount of capital for a second period of the mandate term by increasing the initial amount of capital during the first period by the fundamental rate of return; (f) generating, by the computer, a second dividend goal for a second period of the mandate term, the second dividend goal determined by multiplying the second amount of capital by the average initial dividend yield; and (g) repeating (e) and (f), by the computer, for any subsequent periods of the mandate term based on the amount of capital and the dividend goal of the respective preceding period.