when should I buy a stock to claim the yearly dividend,.,.and where is the correct info coming from,.,.,.to buy best stocks for dividend. returns
It depends on the company you’re investing in. Are you familiar with what ex dividend is? You can find out when a company’s shares go ex dividend on sites like dividenddata.co.uk, its basically when that company looks at their shareholder register and pays a dividend to those who were listed when the share goes ex dividend. How long after the ex dividend date they pay though varies by each company.
if I bought it 2 weeks ago and I sell before the ex dividend dates will I still get the dividends,.,.payed
If you sell before ex Dividend date you don’t get the dividend. You need to hold the stock at the end of the day before ex div date
As dave says. I’ve edited my earlier response to make it clearer if you were confused by my reply. Apologies. You need to look into a few investing terms, it’ll help you decide which companies to buy and research your own holdings.
thank you its all new to me ,.,.and I am after 12 companies who will pay a correct dividend. one for each month,.,.I buy 2 days before the exdividend. date then sell after this ,.,.is this correct,.,.
then next year if its paying I can look into going global. buying for a higher monthly check
You can try, but the issue you may have is: typically you’d see a share price hike just before the ex-dividend date, because there are many who do this. Sadly if you do not get out at the right time you’ll end up selling the shares at a loss and the dividend will not cover that loss, so overall you could easily end up in a worse position.
This is normally described as a dividend capture strategy. It’s difficult to get right. The market isn’t as rational as it should be but … if a company pays £30m as a dividend it is now worth £30m less because it no longer has that cash to invest or use otherwise
The investment strategy described, just doesn’t reliably work. The shares are more likely to be worth less after the Ex-div date than before.
You will loose money following this strategy
dividends are not always yearly. They are commonly twice a year. Some companies do as many as four a year.
As a long term investor, I don’t use the strategy of buying to get dividends dates, but obviously have benefitted from getting them.
It is worth knowing that on the dividend date, the stock falls by the dividend amount, so you also get the dividend benefit that way. Sometimes the stock falls more than the dividend, as the market realises this benefit is no longer there.