"Seattle is going to get killed in Phoenix."
You're absolutely right, camdahscam. Seattle stunk the place up and are in for the same kind of drubbing they got last year in the Superbowl. Peyton Manning and the highest scoring offense in NFL history mopped the turf with Seattle last year, just like everyone said he would.
It wasn't a lemon, it was just worn out. I wasn't criticizing it. Walking one third of the way home after midnight was a lot better than walking all the way home after midnight. Besides, I still have the rod it threw. It's kind of like a trophy.
"The record and ex dates seem related by the T+3 settlement but aren't officially."
For normal dividends. the record and ex-dates are indeed officially related by the T+3 settlement period.
"The rules set most div ex dates to be two business days prior to the record date, without explanation."
Of course there's an explanation. Because it takes three days to settle a trade, to be a shareholder of record on the record date, you have to buy the stock three days before the record date. That means two days before the record date is too late to buy to get the dividend, so is the first day to trade without the right to the dividend, also known as the ex-dividend date.
It's as simple as that. No mystery about it.
I agree. I owned a Studebaker once. For several hours. It was a 1962 Studebaker station wagon with a flathead six. Somebody had cut off the roof, so the hood was the highest point of the car. I needed a ride home one night so I paid $20 for it. It got me two-thirds of the way home before it threw a rod. Great car.
"I suspect that by having energy in ones name gets you tarred"
That would only apply to the oil companies, right?
Wouldn't the electric companies get fried? And the solar companies get baked?
I suppose the wind power companies would get blown away, wouldn't they?
"Guess it really was that simple."
Yes, it was. Just like the dividend that's going to be taken back out of your account. But at least you made three cents, so it didn't cost you anything to learn.
"Too funny...bought 17 December @ $1.31, sold 30 December @ $1.34 and received the $0.85 dividend."
It's not going to be quite as funny when they take the $0.85 back from you. Because this dividend used a deferred ex-date (ex-date being after the record date instead of before it), all STRI shares traded beginning two days before the record date (record date was Dec 26) and last Friday, which includes the shares you sold on Dec 30, were sold with due bills attached. Those due bills obligate the seller during that period (you) to forward the dividend to whoever bought your shares. So within a week or so, your fat dividend will become someone else's fat dividend.
That's all standard procedure for dividends amounting to 25% or more of a stock's price. Nothing unusual about it.
"Looks like today is the ex-dividend date the way I read it"
Did you read the part where it says that today is the ex-date for shares traded on Brazilian stock exchanges?
Four paragraphs before that it says, "2. The Shareholders whose shares are held in fiduciary custody will receive their dividends in accordance with the procedures adopted by the stock exchanges."
The US stock exchanges say the ex-date for shares traded here will be January 8.
"if you wanted to sell for a tax loss, you had to do it prior to December 29th (3 day settlement)"
No. Haven't you ever noticed that when filling out your tax return the capital gains/losses are based on the trade date, not the settlement date? The capital gains form asks for trade dates only. There is no place for entering settlement dates.
"WRONG: You sell on Jan 7 you don't get the dividend."
No, it's right.
"you sell on Jan 7 and you are not a shareholder of record on Jan 9."
Yes, you are. There are no end of excellent websites that explain why you're wrong. Here are just a couple:
Dividend Date FAQ:
Q: If I sell the stock on the ex-dividend date, do I get the dividend?
A: Provided you bought the stock before the ex-dividend date, yes.
Q: When can I sell a stock and keep the right to the dividend?
A: On the ex-dividend date or after.
Q: Do I have to hold the stock through the record date to qualify for a dividend?
A: No. A stock need be held only until the ex-dividend date to qualify for the dividend. Buy the stock before the ex-dividend date and sell it on or after the ex-dividend date and you will qualify for the dividend.
Understanding Dividend Dates:
"to receive the dividend you must purchase the stock before the close of trading on the day before the ex-dividend date. The trade then settles, meaning the payment is delivered in exchange for the securities, three business days later, on the record date, and you become the owner of record.
Therefore, if you buy on the ex-dividend date, you won't get the dividend because the trade will not settle until one business day after the record date. Remember, ex-dividend means without dividend.
Conversely, if you sell either on or after the ex-dividend date, you will still receive the dividend because that transaction will not settle until after the record date.
Many investors wrongly believe you must hold the stock until the record date or payment date before selling in order to receive the dividend. That is not true. It is the ex-dividend date that determines which investor, the buyer or the seller, receives the dividend."
ammpmmxway, you need to study up on how dividend dates really work and get back to us.
"ex dividend date jan 7"
"and you have to be a holder Jan 9 to collect dividend."
No. You have to be a shareholder of record on Jan 9, which is not the same thing as holding the stock. You can sell on Jan 7 (the ex-date) and you will receive the dividend because you will remain a shareholder of record until your sell trade settles on the 12th. (Three business days after the trade.)
"Also you have to own shares before ex dividend date of Jan 7"
Yes, because of the three day settlement period.
"The ex-dividend date was December 16th."
No, it was December 17th.
"I just checked my TD Ameritrade account and I have not received the dividend yet. However, I'm not sure when I should expect to receive it."
You honestly don't know that you should receive the dividend on the payment date?
"The buyer does not own the stock until settlement date."
Nonsense. If that were true then it would be impossible to make a day trade, as the trader would not get credit for gains or be liable for losses.
A buyer owns a stock the instant the trade is executed. The buyer doesn't become a shareholder of record until the trade settles, but being a shareholder of record is important only for dividends and voting on shareholder issues.
Owning a stock and being a shareholder of record are two different things.
"Example: ... lets say T market closing price on Jan 6 is $34.00 than on Jan 7 at market opening T will drop automatically 47 cents (the amount of dividend payment which is 47 cents) to $37.53."
So, you're saying that $34.00 minus $.047 equals $37.53? I never knew that. Looks like I need some remedial arithmetic schooling.
"It may take the brokerage house a few trading days to clear the order."
The ex-date specifically takes into account the three day settlement period.
"If the order hasn't completed clearance by the ex-div date, even though the purchase was made in time - no dividend."
No. The trade is required to clear by the record date, not the ex-date. And since the ex-date specifically takes into account the three day settlement period for a trade to clear, any purchase made before the ex-date, if held until or after the ex-date, will qualify for the dividend.
"This may vary by brokerage house."
No, it doesn't. The three day settlement period applies to all brokerage houses with no exceptions.
"Why would the pps fall by the value of the dividend?"
Because on the ex-date the stock is worth 85 cents less than it was the day before the ex-date. It's really that simple.
"In this case it's a cash flip...new money in which then gets paid right out as a special dividend...which doesn't weaken the balance sheet."
Sure it does. The cash for the new shares sold to Zhen Fa New Energy is already on the balance sheet as an asset of the company. Just like today or any other day, on January 2, the net worth of the stock will a combination of all the non-cash assets plus the cash, minus the liabilities. On January 5, the ex-date, the net worth of the stock is a combination of all the non-cash assets plus the cash, minus the liabilities, but the liabilities now include 85 cents per share that is due the stockholders, so how can increasing the liabilities by 85 cents result in the same net worth? It can't. So why would you expect buyers on the ex-date to pay the same price for the stock as buyers the day before when the previous buyers are getting 85 cents and the ex-date buyers aren't? If everybody else but you was getting 85 cents in cash, would you pay the same price for the stock as they did?
"I have never seen a X-div come after a pay date."
Standard procedure for dividends that represent 25% or more of a stock's trading price. Nothing unusual about it.
"many reasons- some may not want dividend due to tax consequences"
But the record date doesn't determine who gets the dividend, the ex-date does, and the ex-date isn't until Dec 31.