This is my dividends from the last 12 months may to may small compare to most but big compared to others
As from now I’m saving it up for more likely interest and eventually reinvest,
Hopefully it will surpass the £500 mark as bought new stock that pay a monthly div.
All previous divs have been reinvested into other companies to reduce losses
But since may 2022 there’s £102 in ISA waiting. But a nice LGEN div other day has helped that bumper price.
A google sheets shaped envelope! It lacks the details required for me to say it s a proper calculation but it works for the example.
There is nothing funny about Bert and Ernie falling out, Bert got the bed and as Ernie was reinvesting his dividends he has been sleeping on the floor ever since.
Thanks a lot for the reply earlier,what is that interest part of your return ?is there a way to check that? I recently invested in $O hold some lgen also.
I sold them at begining of may it took awhile to get good divs on them but I just kept buying
Had about 250 shares which paid about £9ish a month, I sold on little negative SP but divs maid it profitable but then transfers from sale went into $0 more,
They was talk on divs getting reduced but not entire to sure you’ll have to check more into them, could still be ok
A fairly new investor but ive had a thought and wanted to know whether, with the FreeTrade model, could it be worth worth just buying shares pre ex div date, selling the day after and moving on to the next?
Obviously need to be aware of stamp duty, and there’s the possibility of big market swings, but has anyone tried this? If so, what where the results?
While technically possible, it’s a risky strategy and especially if you don’t really know what you are doing. While it doesn’t always happen, most companies share prices fall on ex-dividend date to factor in the fact that you won’t get the dividend so you probably wouldn’t make that much more money anyway.
What I do is obviously far slower than what you’ve asked about which is to look at companies on their ex-dividend dates to see if I can pick up bargins. It does mean I don’t get the next dividend but if I’m playing the long game, I get the one after that. For example, one of my favourite stocks is Persimmon. I had enough shares to net me only £34 dividends in March. Bought more shares on their ex-dividend date and when they were selling lower than my average and will get £148.50 next month!
Pre COVID I did this for a while, its called a dividend capture strategy.
I build out a spread sheet and targeted dividends over 4%. It worked and I think I made about 5% returns over the 4/6 months I did it but …
I required a fair amount of work and risk. As @Roger says (in a rational market) the share price will drop by roughly the amount of cash the company is paying out as a dividend because the company is worth less. Some rebound, some don’t and some move on market sentiment which you can’t judge for.
In summary, it works but for a 5% return it probably isn’t worth the messing around.
Gulf Keystone is an oil and gas explorer and producer that offers an annual dividend of 14.67% (or 3.6675% per quarter to be more precise).
Their sole interest is in Iraq at the Shaikan Field in the northern region of the country (it’s the biggest oil field in that part of Iraq), where they own 80% of the rights.
Knowing that Iraq is a major oil producer and has a great deal of untapped oil deposits this all just spoke to me so I jumped in (though im a novice and just like nice numbers so DYOR ).
Not sure if Duke Royalty (DUKE) has been mentioned yet. It’s royalty-based business with projected div yield of 8%. Div well covered by strong CF. Growing diversified portfolio of royalty partners mostly in non-racy sectors. Current valuations not demanding (PE around 6) and compensates the risk imo.
I estimate an additional ongoing annualised CF of £8m since interims 2022 after including all the follow-on investments since then.
With any stocks paying high divs and has low PE, it’s always important to do the research to ensure div is well covered and not paid for by increasing debt pile. Also read the RNSs to make sure div yield is not simply driven up by one off special divs (although some highly cash generative stocks pay special divs more frequently than you think).
iShares MSCI World Quality Dividend ESG UCITS ETF contains big tech names such as Apple & Microsoft, yet has 13.67 P/E ratio and according to the index it tracks the dividend will be at around 3.8%
I’ve had PFLT for since January 2022. They are monthly dividend and hasn’t missed a payment. I simply reinvest every month. At the moment, my 200 shares are giving me £15 each month.
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