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July 22, 2010
Brattle Senior Advisor Michael Goldstein’s Research on Dividend-Paying Stocks Cited in Forbes.com Article

A research paper authored by Brattle senior advisor Michael Goldstein, a professor of finance and faculty director for The Stephen D. Cutler Center for Investments and Finance at Babson College and a member of the Financial Industry Regulatory Authority (FINRA) Economic Advisory Board, and Kathleen Fuller of the University of Mississippi was cited in an article on Forbes.com on July 22, 2010. The article, “Rainy-Day Dividends,” discusses how even though the U.S. economy is troubled, it may actually be a good time to invest in dividend-paying stocks, which generally do better over the long run. According to the research by Goldstein and Fuller, this differential in performance is even more pronounced during recessions and down markets. They demonstrate that as along as the stock pays a dividend and the board of directors is willing to increase the payout, the yield is irrelevant. The paper, “Do Dividends Matter More in Declining Markets?” is available on the SSRN website.

ASSOCIATED EXPERTS
Michael A. Goldstein
Academic Advisor
Babson College
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