Dividend Stock Selection Guide

 

Disclaimer

This content is for informational purposes only and does not constitute financial advice. I am not a financial adviser. Please consult a qualified financial professional before making any investment decisions.

Five Filters for Selecting Dividend Stocks

1. Strong Balance Sheet: The company must have low leverage and a solid financial structure to avoid dividend cuts during financial stress, ensuring creditors are not prioritized over shareholders.

2. Durable and Defensive Business Model: The business should be resistant to technological disruption and economic downturns to maintain long-term stability. Avoid cyclical or eroding models like class B/C mall REITs (e.g., CBL Properties).

3. Adequate Earnings to Cover Dividends: Cash flow should comfortably cover dividend payouts, with a low payout ratio providing flexibility for growth or economic challenges.

4. Dividend Growth or High Yield: Dividends should grow at or above inflation, or the stock should offer a high yield (e.g., 10%) to allow reinvestment for inflation-adjusted returns.

5. Trustworthy Management and Strategy: The company needs a competent management team with a clear, believable long-term strategy and sound capital allocation policies.

Recommended Dividend Investments

The following sectors pass all five filters and are considered strong investment options:

1. AI-Related Infrastructure:

   • Why It Fits: Investment-grade companies like Brookfield Infrastructure Partners, Brookfield Renewable Partners, Reaves Utility Income Fund (UTG), and Cohen & Steers Infrastructure Fund (UTF) have strong balance sheets, durable business models with long-term or regulated cash flows, and exposure to the AI boom. They offer high yields (7-8%) and inflation-beating dividend growth.

   • Examples: Focus on power generation, data centers, or AI-adjacent infrastructure. Avoid weaker options like NextEra Energy Partners due to poor balance sheets.

   • Macro Tailwinds: The AI boom and the “fourth industrial revolution” drive demand, supported by strong management (e.g., Brookfield’s track record).

2. Midstream Energy Infrastructure:

   • Why It Fits: Companies like Energy Transfer, Enterprise Products Partners, MPLX, Enbridge, and funds like AMLP and MLPA have low leverage, high yields (7-10%), and conservative payout ratios (1.3-2.0x coverage). Their defensive models feature long-duration or regulated cash flows, benefiting from the U.S. energy boom and some AI exposure (e.g., natural gas).

   • Macro Tailwinds: Energy exports, re-industrialization, and deregulatory policies support growth.

   • Examples: These entities have strengthened balance sheets by reducing debt and are positioned for inflation-beating dividend growth.

Key Takeaways

Avoid companies with weak balance sheets or vulnerable business models, such as mall REITs disrupted by Amazon. AI infrastructure and midstream energy sectors are favored for their stability, high yields, and growth potential, driven by macro trends like the AI boom, energy exports, and U.S. re-industrialization.

Strategies to Combat Age-Related Muscle Loss and Boost Muscle Building

 

1. Managing Cortisol: The Stress Hormone That Breaks Down Muscle

High cortisol (common with age) promotes fat storage (especially visceral fat), triggers protein degradation via pathways like autophagy, and suppresses MPS at a genetic level. The goal: Lower cortisol to create a muscle-friendly environment without eliminating healthy stressors like exercise.

Strategy	How It Helps	Dosage/Implementation Tips
Glycine	Calms the body, reduces cortisol; supports relaxation and gut health (bonus for inflammation).	3g at night (e.g., via collagen or straight supplement).
Vitamin C (whole-food form)	Buffers oxidative stress from cortisol; stabilizes morning cortisol spikes.	Take in the morning; avoid synthetic ascorbic acid—opt for food-based versions.
Omega-3s	Directly blunts cortisol, reduces inflammation from high cortisol, and activates MPS via p70S6K phosphorylation pathway.	2-3g/day (from fish oil or fatty fish like salmon); double benefit for muscle building.
Ashwagandha	Regulates cortisol rhythm.	At night; experiment as it may feel "weird" for some.
Evening Carbohydrates	Insulin from carbs suppresses nighttime cortisol (which should be low for good sleep/circadian rhythm).	50-100g carbs in the evening meal; allocate most daily carbs here, especially if not highly active during the day.

Key Insight: Cortisol prioritizes survival over muscle-building—keep it in check to avoid "breaking down more than building."

2. Boosting Bioenergetics: Fueling Muscle with ATP

Aging reduces ATP (energy) turnover, making workouts and recovery harder. Creatine is highlighted as a safe, essential fix.

• Creatine Monohydrate: Preserves muscle mass, strength, and longevity; no kidney risk (debunking myths for 30s+ crowd). It hydrates tissues to prevent injury.
  • Dose: 5-15g/day (higher than standard 5g for noticeable effects).
  • Tips: Sip throughout the day (e.g., in stick packs) to minimize water retention. Use Creapure (patented pure form). 
  • Evidence Note: Strong literature on muscle/strength preservation; gummies option if preferred (slight sugar aids uptake for active folks).

Pro Tip: If over 35-40, make this a "top 3-4 supplement" staple.

3. Reducing Inflammation: Clearing the "Static" for Muscle Growth

Chronic inflammation (via nuclear factor kappa B pathway) causes atrophy, fibrosis (muscle "gumming up"), and poor function. It starts in the gut and blocks MPS signals.

• Gut Health Focus (since gut degradation worsens with age):
  • Avoid Emulsifiers: Skip polysorbates and limit carrageenan (e.g., in processed foods)—they erode the mucosal layer, leading to leaky gut and LPS leakage (triggers immune response/inflammation).
  • Support the Barrier:
    • Polyphenols: Feed gut microbes to reinforce mucosa (e.g., from berries, tea, dark chocolate).
    • Bone Broth/Collagen/Glycine: Rebuilds gut lining (ties back to cortisol strategy).
    • Meal Spacing: Take deliberate breaks between meals for gut recovery (avoids constant "leakage").
  • Cascade Effect: Better gut = less inflammation = better insulin sensitivity = more MPS potential.
• Overall Tie-In: With inflammation controlled, you need more protein anyway (leucine threshold rises with age), but it works better.

4. Optimizing Protein Intake: Quality and Quantity Matter More with Age

Older adults need ~50% more protein to hit the leucine threshold for MPS. Focus on digestibility.

• PDCAAS Score (Protein Digestibility Corrected Amino Acid Score): Google for rankings—prioritize high-scorers.
  Top Proteins	Why They're Great
  Whey/Milk	Fast-digesting, leucine-rich.
  Egg	Complete, highly bioavailable.
  Beef	Dense in aminos for sustained release.

• General Advice: Load up safely (e.g., 1.6-2.2g/kg bodyweight/day total protein); combine with above strategies for max effect.

5. Training Adjustments: Push Closer to Growth Without Overdoing It

If full failure feels tough, adapt:

• Add partial reps in the stretched position (e.g., bottom half of a squat) after near-failure sets.
  • Evidence: European Journal of Sport Science study showed up to 70% gains in size/strength.
• Why? Induces MPS with less systemic stress.