Ex Div Dates

[Snow Leopard]

Thanks Paper Tiger

So are you saying that record date effectively means pretty much nothing?

Also, you say you need to 'own' the shares at closing the day before the ex date. So say they go ex dividend on a Wednesday, if you put at order through on Tuesday with say ASB that was successful, do you 'own' the shares on that Tuesday and therefore collect the dividend, or does it take a couple of days 'for the paperwork to catch up' as you say and therefore the seller still collects the dividend as the sale hasn't been processed yet?

NBT

Yes, the record date is of little concern.
For your example:
If you buy on Tuesday, then you 'own' the shares and get the dividend.

Friday will be the record date and it will be during Friday that your buy is recorded on the register and from which your new holding is read and allotted the dividend.

Best wishes
Paper Tiger

[blackcap]

Yes, the record date is of little concern.
For your example:
If you buy on Tuesday, then you 'own' the shares and get the dividend.

Friday will be the record date and it will be during Friday that your buy is recorded on the register and from which your new holding is read and allotted the dividend.

Best wishes
Paper Tiger

Yes you do own the shares if you buy them on Tuesday but since they have not been registered to your name (as this is done on T+3) ... it is your broker who will give you or pass the dividend on to you.

[Snow Leopard]

Yes you do own the shares if you buy them on Tuesday but since they have not been registered to your name (as this is done on T+3) ... it is your broker who will give you or pass the dividend on to you.

NO, That went out the window a while ago now.

It used to be that the record date was the day before the ex-dividend date and that the brokers sorted out dividends from buys and sells in the few days before as you state.

But they changed to the current ex-dividend before record date so that is no longer the case and the registry does it all as detailed previously.

Same is true for rights issues, etc, etc

Best Wishes
Paper Tiger

[blackcap]

NO, That went out the window a while ago now.

It used to be that the record date was the day before the ex-dividend date and that the brokers sorted out dividends from buys and sells in the few days before as you state.

But they changed to the current ex-dividend before record date so that is no longer the case and the registry does it all as detailed previously.

Same is true for rights issues, etc, etc

Best Wishes
Paper Tiger

Thanks Paper Tiger for clarifying that and apologies to other formites for my mistake. It used to be so much simpler didnt it.

[Snow Leopard]

...It used to be so much simpler didnt it.

I remember, many years ago, having a long 'discussion' with my broker about applying for extra under-subscription shares in an SPP having bought in the day before the record date.

The young lady I was originally dealing with had a sudden headache and had to pass me on to a more senior member of staff who then remembered that has his wife was playing badminton he was supposed to collect the dog from the groomers half an hour ago and the person who finally dealt with me retired on health grounds shortly after .

So I and my broker think it is a lot more straight forward now.

Best Wishes
Paper Tiger

[Minerbarejet]

you also need to make sure you hold the share on the record date to actually receive a divvy. can't just buy it the day before unfortunately!

my friends tactic is to time an entry before the record date, hold after ex div then sell once the sp has recovered.

IF it recovers - been caught with that one, TEL, ALF, PGW, and a few other
unmentionables.

[craic]

Looking to sell up my TEL block at the last minute IF the price rises to my figure, forego the dividend and buy back after the dividend date low enough to make a greater profit than I would from sitting tight and taking the dividend. I may be able to do it but it's all a numbers game.

[baller18]

I use to hold westpac and ANZ, after the dividend it rebounds in like 3-5 days... Not too sure about tel, I'm thinking getting into skycity..

[QOH]

Looking to sell up my TEL block at the last minute IF the price rises to my figure, forego the dividend and buy back after the dividend date low enough to make a greater profit than I would from sitting tight and taking the dividend. I may be able to do it but it's all a numbers game.

Interesting craic how low are you hoping it will go ex div? I bought some a couple of weeks ago, ($2-21)
decided to pick up the div and hopefully sell when it recovers a bit, however if it has a good gain tomorrow, I may do the same as you.

[craic]

I expect it to drop to below 220, possibly as low as 210 after a couple of weeks. Past experience is that the price often holds until after the payout date - that is the 4th October, my birthday. I suspect that some people are unaware of all but the payout dates and tend to hold to that point - 'ti they see the money. I tend to trade on a falling market and anything over 2cps is worth while but the dividend causes me to want over 12cps to take into credit the 75% inputted tax.