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0answers
37 views

Why does a bond ETF's price not decrease by the amount of the dividend, after dividend payment?

Abbreviate 'stock ETFs' as SETFs, and 'bond ETFs' BETFs. [1.] Stock funds and bonds funds collect income dividends in different ways. Stock funds collect dividends (as well as any capital gains ...
1
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1answer
35 views

Do you pay any tax on dividends up to £30k?

I'm a bit confused how dividends are taxable. Assuming I want to take ~£30k dividends ('tax credit' excluded) on which I will use my ~£10k personal allowance. Do I pay any income tax from it (from ...
3
votes
2answers
40 views

On what quantity the Dividend is given in India?

I do have stocks (purchased) in a Script in India. The stock declared announced the Dividend on 20 May 2015, and I purchased the equity recently (few days back), but the Stock equity's Effective Date ...
4
votes
3answers
123 views

Is the return on investment better with high or low dividends?

Consider two companies, A and B. Company A offers little in dividends, and reinvests most its profit. Company B offers generous dividends, but reinvests little of its profit. How would I calculate ...
7
votes
1answer
1k views

Do companies only pay dividends if they are in profit?

My understanding of dividends is that the company pays each shareholder a fixed amount of money per share they own. I can see how this would work if the company is in profit, because the company can ...
95
votes
20answers
15k views

If a stock doesn't pay dividends, then why is the stock worth anything?

I read somewhere that companies are not required to pay dividends to shareholders (this is correct, yes?). If so, then if company A never pays dividends to its shareholders, then what is the point ...
0
votes
1answer
73 views

Avoiding tax complexities of REITs

I would like to invest in REITs for their high yield, but would like to avoid their tax complexities. If I buy exposure to REITs through an ETF or mutual fund, will that abstract away the need to do ...
2
votes
2answers
57 views

Considering investing in CHN as a dividend stock

I've been looking at investing in another dividend stock, and I have been using dividata.com to do some research. I have found several stocks that I am interested in that have a roughly 9% or 10% ...
8
votes
3answers
506 views

Risks associated with investing in dividend paying stocks for short term income. Alternatives?

I will be leaving my place of employment in the near future to run and grow my small business full-time. After assessing my expenses I'm expecting to be in the red $300-$400 a month for the next 1-2 ...
1
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1answer
64 views

total of all dividend payments for a particular company

According to http://www.dividend.com/dividend-stocks/financial/asset-management/pfg-principal-financial-group/ on June 26, 2015, PFG paid out $0.38 per share. According to ...
3
votes
3answers
476 views

What to do with dividends and capital gains from Roth IRA. Reinvest or Transfer to market settlement fund?

I am 22 and just opened a Roth IRA from Vanguard. I am putting 5.5K a year but I was wondering if someone can give me pros and cons for what to do with my dividends and capital gains? The two options ...
3
votes
2answers
309 views

What are the tax benefits of dividends vs selling stock

When people need to live off there investments they often say to go for funds that pay high dividends, but I'm having trouble understanding what the difference between getting dividends, and selling a ...
0
votes
1answer
78 views

How can I compare the performance of a high dividend funds with other funds and or an index

I've been trying to do some investment due diligence. I'm looking at funds for a family member that needs some dividend income. Some of the high dividend funds that were recommended to me seem to have ...
4
votes
1answer
68 views

Are Morning Star Ratings really that important?

I'm trying to aid a family member in making some investment decisions. I've placed most of my money in Vanguard mutual funds and they have done pretty well. My family member has a "financial advisor" ...
1
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0answers
94 views

Salary vs Dividend: is this example wrong?

I saw a link to a great article in old (2012) question. http://vereecke.ca/index.php/articles/will-that-be-salary-or-dividends/ I've tried understanding the article well, but I think that the author ...
-1
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1answer
32 views

dividend cover ratio for stocks

Is there a source for a stock's dividend cover ratio? Dividend cover in respect of ordinary share capital may be calculated as follows: Dividend Cover Ratio = Profit after tax - Dividend ...
0
votes
1answer
74 views

Selling non-dividend for dividend stocks

H all, Few years ago , I received from my previous employer several hundred RSU, all managed by ETrade. since then all have already got Vested. I never sold neither bought any, in other words, I ...
2
votes
1answer
176 views

What happens to investment gains and distributions inside an HSA?

I did some research and it turns out that you can invest funds that you have in your Health Savings Account in certain things. If I invest $5,000 from my HSA into a Mutual Fund (which is acceptable) ...
7
votes
2answers
464 views

How do you determine the dividend payout date for Mutual Funds?

For stocks it seems to be easy to find dividend payment information. However, for mutual funds, like VDIGX, I am having an issue figuring out expected payout dates and frequency. Can someone point me ...
2
votes
1answer
85 views

How do dividends affect your average cost (both re-invested and non re-invested)

I have read that re-invested dividends lower your taxes by increasing your average cost of the security so that when you sell your security, the difference between the sales price minus the book value ...
0
votes
0answers
32 views

How is dividend of my owned stocks calculated? [duplicate]

Say I bought a stock on Jan 5 and sold it on Sept 3 in the same year, how do the company pay the dividend? What if I sold it on Jan 6?
2
votes
0answers
31 views

What is the effect of dividends on the futures price of an index

The futures price of an index already prices in expected dividends that the companies of the index are expected to pay out, correct? So can I conclude that when a company like AAPL announces a ...
1
vote
2answers
259 views

What is the point of owning a stock without dividends if it cannot be resold?

If I were to buy a stock of a business that were to live (and grow steadily) indefinitely, and this stock paid no dividends, and could not be sold back to anyone else, what would be the point of ...
0
votes
1answer
96 views

Why don't commodity ETFs pay dividends?

Is there any obvious reason why commodity ETFs such as GLD, SLV, USO never pay dividends? Is it because the commodity market attracts a lot of speculator/traders/hedgers and not exactly long term ...
0
votes
0answers
30 views

Historical dividends for all markets and shares?

Is there any service which provides historical dividend data of shares in: US Germany European Union Japan China I search for the historical data of at least the last 20 years, or even more. ...
2
votes
2answers
229 views

Investing in income stocks for dividends - worth it?

I currently have a 401k that I'm maxing out for this year ($18,000) and a Roth IRA that I'm maxing out ($5,500). I'm a bit behind on investments, but because of my income I think that I can play a bit ...
2
votes
3answers
138 views

Wouldn't it be better if reinvested dividends were simply treatable as capital gains for tax purposes?

Suppose I own 100 shares in XYZ corp purchased for 25c in year 2000. If XYZ corp pays me 5c in dividends in year 2001, I will owe tax on the 5c dividends, hopefully as qualified dividends(?). If on ...
-2
votes
1answer
45 views

Subsequent purchase greater than dividend payout

I recently purchased some VDIGX mutual fund. My brokerage told me they allow dividend reinvestment without a fee so I chose to auto roll my dividends back into the fund. After thinking about it though ...
3
votes
1answer
86 views

does one have to keep stock until the dividend payment date to get the dividend? (Record Date vs Payment Date) [duplicate]

For example: http://www.nasdaq.com/symbol/atvi/dividend-history has a dividend record date 3/30/2015 and a payment date of 5/13/2015. When one sells the stock now, past record date, but before payment ...
0
votes
0answers
16 views

Time to receive foreign dividends (SET) to N. America

Is there an expected time to receive foreign dividends? It seems to take weeks or longer to receive dividends from stocks on the SET exchange. Granted they have to do a currency conversion and take ...
1
vote
1answer
86 views

What is vested stock and yearly dividends?

I am not a financial specialist but my company has offered me several stock options. Under this agreement, I will get 25,000 shares immediately, after 180 days I get an additional 50,000 vested, and ...
1
vote
1answer
43 views

How to report nominee dividend income claimed by another?

In the U.S., if I receive a 1099-DIV for an account that is titled with me as joint tenant with another individual that lists my name first and is reporting under my social security number, how do I ...
0
votes
2answers
72 views

How to hedge a long stock position that does not have options

I am sometimes tempted by the juicy dividends of some Canadian stocks because dividends are taxed favorably by CRA. One such company is RSI Problem is, I would like to protect the long position from ...
1
vote
3answers
143 views

How do I manage my portfolio as stock evaluation criteria evolve?

Background: I'm a very small-time (eg. $100s), inexperienced trader. Currently, I'm buying and holding stocks that bear dividends. When I evaluate stocks, I look at certain criteria; these have a ...
0
votes
1answer
93 views

Index ETF or Index mutual fund - standard brokerage account

If I plan to hold an asset for 10 years, the asset is offered as a mutual fund and an etf, with the same 0.25% fee, and quarterly dividends of 100.00, from a tax and reinvestment standpoint, which ...
2
votes
1answer
70 views

Does the growth rate of SPY published by morningstar include the dividend yield

According to morningstar the growth rate for SPY in 2014 was 13.46%. Does this include the dividend yield of SPY ~1.87% or do we need to add this number to the 13.46?
0
votes
3answers
110 views

Dividend arbitrage using in the money puts

I was looking at dividend arbitrage It seems all I need to do is find stocks with a nice dividend(e.g KO). Then find an in the money put where the time premium is less than the dividend to be paid. ...
0
votes
1answer
84 views

How to incorporate dividends while calculating annual return of a Stock

When we say that the average annualized return of a stock XYZ over the last 5 yrs is 7%, how do we factor in dividends? For example, let us say, if XYZ was at 100$, and at the end of year 1, it was ...
0
votes
1answer
36 views

Tax exemptions for US stocks held in a Candian account

As a Canadian, if I buy US stocks and receive dividends in a non tax sheltered account, then those dividends are not suited for dividend tax credit. Also, if I sell and incur a gain(within 1 yr), do I ...
1
vote
1answer
49 views

What is the risk in capturing dividends using a covered call?

I am looking at this example to capture dividends using long stock and covered call. What is the risk in this strategy? There is no delta risk, since the position is delta neutral. So it seems like ...
2
votes
1answer
43 views

Does dividends lead to early assignment of put option, or just call option

Is it correct to say that I risk early assignment only when I am short calls, not short puts? Because the option owner will want to buy stock to capture the dividend, he can only buy it by exercising ...
0
votes
0answers
48 views

In the UK, what counts as realised profits for dividend purposes?

I am a director/shareholder of a limited company. I would like to know which of the following assets count towards realised profits and are therefore available for distribution through dividends. I ...
0
votes
1answer
188 views

Where is my dividend?

I have been holding a stock "ASG" for almost one year. By the ASG Dividend History, I should get some dividend. I checked my account on TD Ameritrade, it only shows my share amount. But where can ...
3
votes
1answer
314 views

How much taxes do corporations have to pay on dividends they receive from other companies?

I am trying to figure out whether it would be beneficial for me to convert my sole-proprietorship to a corporation. In doing my research, I need to figure out how corporations get taxed on dividends ...
0
votes
1answer
196 views

Determine if my foreign taxes resulted from ordinary or qualified dividends?

My 1099-DIV lists an amount in box 6 for 'foreign tax paid'. These are a result of an emerging markets ETF I own. However, TaxAct is asking whether these are Foreign source ordinary dividends or ...
5
votes
1answer
112 views

How some mutual funds pay such high dividends

There are some funds where the dividend yields are pretty much off the charts: http://www.nasdaq.com/dividend-stocks/ How do these funds pay these astronomical dividends? What is the catch that is ...
1
vote
1answer
191 views

How splits and dividends affect option prices

When a stock goes through a split or offers a dividend, do the option prices automatically change? If yes, how? A 2 for 1 split will automatically halve the option price? A dividend of 1$ will ...
2
votes
3answers
168 views

How an ETF reinvests dividends

When a company gives dividends, the share price drops by the dividend amount. Now, if all the shareholders choose to reinvest their dividends, will the share price go back up to what it was prior to ...
1
vote
1answer
344 views

How does Yahoo finance adjust stock data for splits and dividends?

When a data provider like Yahoo finance says that the closing price is adjusted for splits and dividends, what does that mean? A split will increase/ decrease the price by the split ratio, and a ...
2
votes
2answers
458 views

What is the best way to calculate total yield on a stock portfolio?

What is the best way to calculate the total yield of a stock portfolio? I started managing my own investments last year and it looks like I leaned towards dividend investing. I am wondering how I ...