"dividendinvestor has aug 15 as record date. That's unusual to be a month before ex
The reason the ex-date for the ADS is Sept 22 is because this is a conditional dividend. It is dependent upon shareholder approval at the company's annual meeting on Sept 18th. No matter how likely the approval, the NYSE doesn't allow ex-dates to be set before the conditions of a conditional dividend have been met.
"Diageo's website says Aug 13"
That's for the UK traded shares only. The ex-date for the U.S. ADS is Sept 22.
"Dividendinvestor website has sept. 19 as ex-div."
They missed it by one business day. Sept 19 is a Friday and is the last day to buy the stock to qualify for the dividend. The ex-date is Monday, Sept 22. Look for a clarification issued by Citi Depositary Receipt Services on August 11th.
"Because it dropped heading into ex-div date."
No. The ex-date for the Diageo American Depositary Shares is September 22. The August 13th ex-date is for the UK traded shares only.
"why would anyone sell on ex-div date, ie today? Hold the stock and collect dividend."
Sellers on the ex-date (providing they bought before the ex-date) get the dividend whether they continue to hold or not.
"It makes no sense the stock is down!"
Why shouldn't it be down? As of this morning the stock is worth less by exactly the amount of the dividend. Why should someone pay the same price today without the right to the dividend as they might have yesterday with the right to the dividend?
"You had to buy on the 6th for a settlement date of 8-11-2014."
Yes. That also means the ex-date was 8-7.
The ex-date is the first day that the dividend is not included with the sale of the stock. Because the 6th was the last day to buy the stock WITH the dividend, the 7th is the ex-date.
Record date and ex-date are NOT the same thing. Ex-date is the first day the stock trades without the dividend. Record date is the day you must be a shareholder of record to receive the dividend. The ex-date simply takes into account the three days necessary for a trade to settle.
The ex-date was 8-7 and the record date was 8-11.
"Do the shares have to be settled the day before ex dividend?"
No, the trade has to be settled ON the record date. The very purpose of the ex-date is to take into consideration the three days necessary to settle a trade. A trade made the day before the ex-date will settle on the record date, qualifying the buyer for the dividend. A trade on the ex-date will settle the day after the record date, so the buyer will not qualify for the dividend.
"it takes 5 days to clear after you bought it"
Five days? Have you been in hibernation or simply hiding in the crawlspace under your house? The five day settlement period for stock trades was changed to three days in 1995.
What other bits of 19 years out-of-date information do you have for us?
"its been my experience record date is x date"
No, the two are not the same.
"record date.. you must own the equity on that day"
No. You have to be a shareholder of record on the record date. That's not the same as owning the stock. If you sell the stock on the ex-date, which is two days before the record date, you will still be a shareholder of record on the record date because trades take three days to settle. So if you sell on the ex-date, you don't own the stock on the record date but you do still qualify for the dividend.
"you have to own the stock for 3 days to get the div."
No, you don't. You need own it only overnight if you bought on the day before the ex-date. If bought yesterday, you could sell today and still receive the dividend.
"its X today..pr said 11th"
Yes, the ex-date is today but no, the press release didn't say the ex-date is the 11th. It said the record date is the 11th. It didn't even mention the ex-date.
"Just need to hold before and a couple of days after the ex div"
No, there's no need to hold after the ex-date. Any trades on the ex-date do not include the right to the dividend, so the seller keeps it.
"In general, you have to hold a stock for more than 1 month to qualify for the dividend."
No, that's not even remotely accurate. You can buy one day before the ex-date and sell ON the ex-date and still receive the dividend with any stock. It's usually a silly thing to do, as the stock price almost always drops by about the amount of the dividend on the ex-date, but holding for one month is completely unnecessary. You may have to wait a month after the ex-date before getting paid the dividend, but to qualify for a dividend, you need buy only the day before the ex-date.
"it sounds like an investment in NE can only go up in the near time due to PGN stock that you get as a gift."
The PGN spinoff is not a gift. On the ex-date the value of the spinoff will be reflected in a lower price for NE shares.
You still don't understand what's going on. But at least you're consistent.