Standard Deviations · Sep 24, 2026 · 27m · 17m saved
With John Crawford IV, Chief Investment Officer of Crawford Investment Counsel
About 4% of all the stocks in the history of the stock market have created meaningful shareholder value, John Crawford IV said, citing the Bessembinder study, and his firm tries to own them.
In a year when investors are drawn to SpaceX, Nvidia and meme stocks, Crawford Investment Counsel buys mature companies that pay and raise dividends. Crawford said the aim is steady singles and doubles rather than home runs, with an income stream that makes clients less likely to sell out at the wrong time.
"We don't try to knock it out of the park, but every once in a while you hit a home run, and you don't strike out nearly as much."
John Crawford IV, Chief Investment Officer of Crawford Investment Counsel, on Standard Deviations with Daniel Crosby. The Atlanta firm was founded in 1980 and he has been there since 1990. He worked alongside his father and now works with his two children.
The full interview is covered here so you can skip it. 27 minutes of audio, 10 minutes of reading.
Here are the 10 principles that matter.
Key Takeaways
Wall Street offers few strategies built around income, though surveys rank it among investors' top needs
Only about 4% of stocks have created meaningful shareholder value, and Crawford aims his portfolios at that group
Dividends matter for behavior, not for the math, because they make clients less likely to abandon a strategy
His portfolios run at a beta of about 0.8 without ever screening for beta
A dividend forces discipline on management, so the company funds only its best projects
He would rather miss an opportunity than own something he does not understand late in the cycle
His father's advice to a 30-year-old: pick an approach you believe in, save hard and pay down debt
1. Wall Street Neglects Income
Daniel Crosby, the host, said he had just written a piece on gambling and prediction markets, with zero-dated options everywhere, and asked what the investment industry has made more complicated than it needs to be.
"So, I agree with you, it feels like our entire economy is a casino, Daniel." — John Crawford IV
Income is a top need, and few strategies serve it
Crawford said private investor surveys consistently rank income among individual investors' top needs, since most people are saving to fund retirement. Capital appreciation can fund spending, he said, but few strategies focus on income, growth of income and total return together.
"And so what you end up getting a lot of times is higher-risk strategies with zero or little income." — John Crawford IV
Crosby said there is a whole cottage industry for confusing and misleading investors.
