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Ex-dividend date: any good buy/sell strategy?

Discussion in 'Trading Strategies/Systems' started by Mhigasi, Apr 8, 2011.

  1. Mhigasi

    Mhigasi

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    Hi everyone
    I'm a newbie. Just reading and learning for the moment.

    Is there are good strategies for buying shares just before ex-dividend date? E.g.

    - which share to buy?
    - when to buy?
    - when to sell?
    - is this a tax efficient approach?

    Thank you all.
     
  2. Julia

    Julia In Memoriam

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    There are various existing threads about this if you do a search.
     
  3. Agentm

    Agentm

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    why not help out and post some links then??
     
  4. Julia

    Julia In Memoriam

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    Because I don't have time, and the OP should be happy to do a search for info that he/she needs.
    However, by all means feel free to offer whatever help you think appropriate, a gesture that would be more constructive than criticising my merely pointing that there is much existing discussion about the topic.
     
  5. Agentm

    Agentm

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    imho a newbie posting should be encouraged

    your taking things a little personal, but imho why not offer up some links rather than be confrontational?

    if you know of other threads on the topic put some links up..

    telling someone to find it themselves when its a newbie is imho a tad brash..

    show a little grace and help someone out.. focus on the topic and dont take things to heart..

    imho the topic is fine and worth discussing
     
  6. Mhigasi

    Mhigasi

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    Julia / agentm
    Thank you for your help and concern.
    No worries at all.
    I will look around for the Links/threads.
    Cheers
     
  7. burglar

    burglar

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    There must be something in the drinking water.
    You've walked into a cat fight !!:)
    There is another cat fight brewing in the PEN thread

    https://www.aussiestockforums.com/forums/showthread.php?t=5004&p=624980#post624980

    Seriously, there are good threads, here is one I like:

    https://www.aussiestockforums.com/forums/showthread.php?t=21891&p=613723&highlight=sell#post613723
     
  8. Tyler Durden

    Tyler Durden

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    In theory the share price should decrease by the amount of dividends paid out.
     
  9. skc

    skc Goldmember

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    But in practice in doesn't always do that, and there lies the opportunity...
     
  10. Julia

    Julia In Memoriam

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    Fine. So why don't you simply do that by doing the search yourself and offering the OP the appropriate links.
    Instead you choose to try to pick a fight with me. That's quite OK.
    A teacher I had in primary school offered the following advice:

    I have no further comment to you Agentm.
     
  11. So_Cynical

    So_Cynical The Contrarian Averager

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    - which share to buy? A share you know well and have confidence in
    - when to buy? When its cheap and before the dividend ex date :)
    - when to sell? When your in profit :)
    - is this a tax efficient approach? Yes

    A couple of my recent examples.

    https://www.aussiestockforums.com/forums/showthread.php?t=17040
    https://www.aussiestockforums.com/forums/showthread.php?t=15351
    ~
     

    Attached Files:

  12. ChaoSI

    ChaoSI

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    you wrong her.
    Julia is incredibly helpful one of the many who take an active interest in newbies, me being one of them.
    fact is that as a member of this forum you shold know that we aren't allowed to post advice on what shares to buy specifiically, if you do ask then you'll get an answer like "so_cynical" has written.

    there is a whole forum called "stock chat" with alphabetised listing of stocks which are under construction.
    and asking people to find information here isn't 'brash' it encourages skills you need to use anyway, mainly researching. The info here is very well organised and easy to find.

    i have nothing against mhigasi posting the question but you need to understand that this is a community and people help when they can and if they feel like it. there's no obligation to help just a desire to
     
  13. GumbyLearner

    GumbyLearner

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    That poster is usually doing 'community' work and rarely (if ever) has time to post on ASF and/or provide links to websites. Of course it is hard to make any technical and/or fundamental analysis about stocks/markets or trends when pre-occupied with such philanthropic acts of goodwill. The network signatures and IP address login times to ASF should be able to attest to how busy that poster actually is.

    Ease up a little mate. ;) LOL

    Anyway onto the next AC Nielsen poll. :luigi:

    P.S> Not to mention the difficulty managing ones own super portfolio under such circumstances.
     
  14. Bill M

    Bill M Self Funded Retiree

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    The dividends of a stock or ETF are always a very big consideration for me as to whether I buy or not. I have a pool of stocks that I watch every day and I note when dividends are due. I like dividends as I live off them and if I can buy a good stock at a cheap price just before the dividend then I consider myself not to have only bagged a bargain but got the accumulated dividends for free.

    Just recently I was eying off an ETF, the average price was around $25 over the past 6 Months. I really wanted to buy this ETF as it is a high dividend yield one. The price was going against me for 3 Months, I refuse to pay too much for anything. Then along came early early March this year, finally this ETF retreated to my value price. I ended up buying it for around $23.80 a good couple of bucks cheaper. The dividend was due in 2 weeks. Now the stock is up $2 per share and I got the dividend for free. There are many different strategies, mine is probably one that most people don't use but it works for me.
     
  15. Tyler Durden

    Tyler Durden

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    It's interesting you say this because this is akin to my plan. However, I find it hard to locate decent shares that pay throughout the various months of the year. Most companies seem to pay in the same month. Do you encounter this problem?
     
  16. youngone

    youngone

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    After hearing about the fights, my first thoughts was, cant be Tech vs Hangseng again! So i went straight into the forums. Thanks for the links for us newbies.
     
  17. Julia

    Julia In Memoriam

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    Mhigasi, we had a poster here, Rozella, who was the real dividend expert, especially with respect to dividend stripping.

    There was a long thread about this, which is what I was thinking of yesterday.
    A quick attempt at a search has failed to bring this up as I can't recall the name of the thread.
    Someone else might remember?
     
  18. Bill M

    Bill M Self Funded Retiree

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    Yes I do, March, May, Sep, Nov and Dec are the best Months. Jan, Feb and April are my worst. I just have to adjust to that.
     
  19. Joe Blow

    Joe Blow Administrator Staff Member

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    Hi Julia, this is the thread you were looking for: https://www.aussiestockforums.com/forums/showthread.php?t=454

    It was originally started by Lucstar but adopted by rozella soon after.
     
  20. nulla nulla

    nulla nulla Positive Expectancy

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