What happens to dividend payments below 1p?

[Orbitalinvestor]

Thanks @CarlScott - It would be good if we could get this confirmed. Next time I am on a chat to them I will ask.

[1anrs (Allan Scott)]

@CarlScott

Anything below 1p will be held by the company until the dividend is paid next, once your dividend accumulates to a penny it will be paid into your account.

Thanks Carl, that is exactly what I thought happened as I said above as I have had penny fluctuations with several of my regular dividends. However, like Orbitalinvestor, I’d love to have that confirmed for sure.

[fivegoldstars]

No, not sure about that either. Last two BP dividends had fractional pennies - 0.4 and 0.7. Both rounded down yet equal more than a penny if accumulated. Still going with everything rounded down.

[Orbitalinvestor]

I have managed to find out via the FT website that all dividends including fractional dividends are rounded down to the nearest penny (or the nearest zero)!

[Bagshaw]

Buy moar!

[Orbitalinvestor]

Sensible idea, I may start using limit orders for smaller US stocks just to make sure I don’t miss out. I’ve not used them yet, despite being a plus member for over a year!