You are so right! I never short term anything. I buy for future growth, primarily, but also hedge my investment $ with pre-ferred stocks like Realty Income (O-PF) Annaly Mtg (NLY-PD), & Armour (ARR-PA). On Realty Income I have also owned the common since it was in the $40's. I split my holdings up between the family trust account, traditional IRA and Roth, with 70% being in Roth. The trust brings increased income, while the traditional is being transferred to Roth gradually, along with the RMD annually.
That is quite a high percentage to have in one company, although each of us have our own thoughts. I try to diversify widely, and dividend reinvestment has worked well for me. I have held companies for many years, with some tripling, many doubles, but most (preferred stocks don't offer dividend reinvestment) have been very good for me. The preferreds I invest back into stocks I see future growth.
You are a complete idiot! Dividend reinvestment allows a stockholder who holds the stock on the ex-dividend date to purchase shares with the dividend at next to nothing commissions. The purchases are done at opening on the payment date of dividend to show that shares are changing hands. Since February 2nd, my holdings in MAIN have increased by $3,500.74, without my investing any more cash. That includes the dividends which increases month by month as more shares are added.
Monday is another payday from MAIN with the $0.295 per share special dividend.
For some reason, Yahoo has not allowed me to answer your question about dividend reinvestment on the topic concerning the monthly payment. In dividend reinvestment programs, the full dividend is invested in additional stock normally at the open the day of dividend payment. It is a great way to purchase more shares as the cost of purchase is normally divided over the total number of shares bought by all participants in that investment company's portfolio. I use Chase Bank, and have most of my stocks in reinve3stment. The only ones not in the program are preferred shares, as those are deposited as cash into the account.
Thank you so much for your helpful information. I am looking to buy, but at a lower price for now. I appreciate your come-back.
Do they have a dividend reinvestment program? It looks like the company is growing here in the US. I invest in monthly dividend stocks that have the dividend reinvestment features. This looks like a "steady eddy, and has paid monthly for a long time.
The Honeywell stock opened at a much higher price than the previous close, taking away half of the dividend amount paid this morning. Shortly after the open, the stock nose-dives. Market makers must be paid for their outlandish calls on the market for the day. Except, they are generally wrong!
Yes, it pays tomorrow! Watch the market maker open the stock at a much higher open price to cheat the dividend re-investors. The 52 week high was set today at $116, so he will probably open at $116.50 or so, before it starts to settle below that.
Another market maker who sets opening above previous closing, knowing full-well the price will drop after purchases are made for dividend reinvestments. It is about time that we unite against this practice.
How much extra are they paid to open trading at higher prices than the close of the previous day? A 15 cent difference on thousands of shares make a big difference to individual investors.
How stupid is the market maker who sets an opening price of 92.77 on a stock that closed the prior day at 92.51, and after the dividend reinvestment money has purchased at that price, the stock promptly slides $2.00 per share? What a jerk!
I diversify, owning ARR-PA, HPT, LTC, MAIN, O, O-F, and SBRAP, five of which pay monthly dividends. They, along with 19 other ordinary dividend-paying stocks provide a very comfortable income. Not everyone buys and sells daily, weekly, monthly, or annually. Most are in dividend reinvestment growing very nicely.