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If the goal had been to make money, the college would have done better by investing in more traditional enterprises, like shopping malls in Atlanta, said Dr. Dobelle, but doing something to help the neighborhood, he said, would yield more durable dividends.
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A company requires a durable competitive advantage to raise its dividend for such an extended period of time.
They accumulate, earn interest, and pay out dividends in the form of durable resources that you can later draw on to face a new adversity.
But HCA, which has already paid two dividends this year, has proved to be one of the most durable of the mega-buyouts since being acquired by Bain Capital, Kohlberg Kravis Roberts, Merrill Lynch and its founders, the Frist family, in 2006.
History suggests that there is a second type of demographic dividend – one that actually lasts longer and is more durable than the first – which emerges when the accumulated savings of an aging population produce a surge in investment.
"The recovery's dividends must not be distributed before we know if it is durable," he said after announcing only modest increases in social benefits on February 26th, thereby disappointing those expecting the party to begin.
"These tend to be pretty durable businesses, which leads to less volatility," said Thomas J. Huber, manager of T. Rowe Price Dividend Growth, one of the relatively few funds specializing in such stocks.
Within my portfolio (the Durable Income Portfolio) I have a majority of REITs that have a steady record of dividend growth.
And durable?
Extremely durable.
Durable, yes.
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Justyna Jupowicz-Kozak
CEO of Professional Science Editing for Scientists @ prosciediting.com