Question:

How lond do I need to hold a stock to receive dividends?

by Guest64073  |  earlier

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How lond do I need to hold a stock to receive dividends?

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7 ANSWERS


  1. Some stocks never pay dividends. Some pay yearly, semi-annually or quarterly.

    You would need to look at the company's profile to see if & when they pay out dividends.


  2. X date. Once declared there is a date attached as to when you must be the owner. the next day you can sell

  3. Most stocks pay dividends every three months...Some that pay out good dividends are Verizon,ATT and Pfizer

    It might be the best place to park you money until things clear up as far as gas prices and home loads....

  4. The above response is slightly inaccurate. The ex-dividend date is the first day shares trade WITHOUT the next scheduled dividend. So in order to receive the dividend you must own shares the day BEFORE the ex-dividend date.

    However - most of the time the share price falls by the amount of the dividend on the ex-dividend date - so there would be nothing to be gained by taking a position solely to receive a dividend payment.

    In other words, if you like a stock and think you should buy, whether or not you'll receive the next dividend payment is irrelevant.

  5. Actually, Walt is incorrect on #3.

    You need to own the stock the DAY BEFORE the ex-dividend date to receive the dividend.   If you buy ON the ex-dividend date, you will not receive the dividend.  You can SELL the stock first thing in the morning on the ex-dividend date and still receive the dividend (because of the aforementioned 3-day settlement thing), assuming you bought it the day before or earlier.

    But I wouldn't be too concerned about collecting the dividend.  On the ex-dividend date, the share price is adjusted down by the amount of the dividend, so you don't gain anything anyway.

    Edit: I hope the respondant below me isn't suggesting MY response is inaccurate since he basically repeated verbatim what I just said, LOL.

  6. Before the date the company goes ex dividend. Thats the date at which the company lists all shareholders and pays them a dividend. Even if U sell after that date, you will get the dividend. IF you buy after that date you wont get it and you'll have to wait for the next date.

  7. One day.

    There are four dates associated with dividends.

    1.  Announcement date:  This is when the company announces the dividend.  How much and when it is paid.

    2.  Record date:  This is the date you must be the owner on the companies books to qualify for the dividend.

    3.  Ex-dividend date:   This date is two business days before the record date.  If you own the stock at the close of business on the ex-dividend date you get the dividend.  This date is important because it takes 3 business days for the trade to settle.

    4. Payment date:  the dividend is paid to your account.

    See the following link for a detailed discussion.

    http://www.investopedia.com/articles/02/...

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