do you know what "dividend rollover plan" is?
glossary FAQ: glossary.
Braelyn E. From Luxembourg
17 February, 2009
"dividend rollover plan " is An investment strategy in which a dividend-paying stock is purchased right before the ex-dividend date, which gives the purchaser the right to the divided, with the position being sold off shortly after the ex-dividend date. The sole intention of this practice is to reap the value of the dividends while breaking even on the shares. Ideally, this strategy is designed to maximize short-term return on shares while minimizing risk.
Also known as a "dividend capture strategy".
For example, suppose that XYZ Corp. Announces that it will distribute a dividend of $2/share and that the ex-dividend date will be on March 16. Joe can attempt a dividend rollover plan by buying the XYZ Corp. Stock on March 15 (or any other day before the March 16) and then selling the shares on March 16 to regain most of the purchase value of the shares. Ideally Joe should profit by $2/share (the dividend's value).
Proponents of dividend rollover planning argue that immediate returns on investments are made while reducing risk. However, opponents of the strategy believe that the expected dividend value is already incorporated into the stock before the ex-dividend date because the market anticipates the dividend payout. Visit ForexWebTrader
do you know what "dividend rollover plan" is?
glossary FAQ: glossary.
Braelyn E. From Luxembourg
17 February, 2009
"dividend rollover plan " is An investment strategy in which a dividend-paying stock is purchased right before the ex-dividend date, which gives the purchaser the right to the divided, with the position being sold off shortly after the ex-dividend date. The sole intention of this practice is to reap the value of the dividends while breaking even on the shares. Ideally, this strategy is designed to maximize short-term return on shares while minimizing risk.
Also known as a "dividend capture strategy".
For example, suppose that XYZ Corp. Announces that it will distribute a dividend of $2/share and that the ex-dividend date will be on March 16. Joe can attempt a dividend rollover plan by buying the XYZ Corp. Stock on March 15 (or any other day before the March 16) and then selling the shares on March 16 to regain most of the purchase value of the shares. Ideally Joe should profit by $2/share (the dividend's value).
Proponents of dividend rollover planning argue that immediate returns on investments are made while reducing risk. However, opponents of the strategy believe that the expected dividend value is already incorporated into the stock before the ex-dividend date because the market anticipates the dividend payout. Visit ForexWebTrader
More questions
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Can you give me an advice for a forex trading site that has appropriate guides for fx trading advices and instructions?
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please tell me what the "momentum" is
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Do you know of a foreign exchange platform that's popular for its many currencies featured to chose from you can refer me to?
currency-num money FAQ, By: J. L. From Ireland, 15 August, 2009. -
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mobile-friendly platform FAQ, By: Carter U. From United States, 24 September, 2008. -
Which site has got progressive manuals for fx trading 'how to trade', in your opinion?
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please tell me what a "lapping scheme" is
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do you know what an "investment club" is?
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I am looking for the greatest forex site. Which one should I go for?
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Would you give me a tip for a forex site with appropriate for first timers?
beginners platform FAQ, By: Tyson T. From United States, 29 January, 2009. -
Is there any foreign exchange trading system that's known for its innovative software that you can refer me to?
general platform FAQ, By: O. Prince from Austria, 16 January, 2009.
- FX Club:
- FX club is a ECN foreign exchange server whose official address is 1200 South Avenue, Suite 203, Staten Island, New York 10314, United States, and established on 2007.. FX club is regulated by cme, cbot, nymex and ice.
- Features:
- FX club's graphic presentation is really pleasant. I even I saw my cat raising an eyebrow at it once or twice. And trust me when I say, I'm not talking about a foreign exchange savvy now. No, but i'm serious, you must be able to relate to what ever's in your account, so to make any profit, that is.. I guess I kinda like this one. FX club makes an honest effort to keep you accessible with customer support and 24 hour service. This platform is a fairly relevant pick for first time users because it provides a selection of educational courses, a unique fabrication beginner oriented platform and a minimum deposit that is unusually low (10 dollars). Whatever your preference English, Japanese, Swedish or Russian, FX club offers convenient and comfortable analysis and decision with a multilingual interface. Know, too, that although it is download based, it's also most fast.
- Ups:
- - Low Minimum Deposit - Fast Download Connection to Server - Twenty Four Seven Service - Good for Beginners
- Downs:
- - A Small Number of Currencies - Confusing Options
- Short Story:
- There are some big takings to be capitalized on at FX club. Go for this one.
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