Just thinking about some ways to make some cash as a poor uni student, and came upon dividend stripping (not that kind of stripping)

Premise is: Buy a stock about to go ex-dividend, get payed the dividend, sell the stock (probably for a loss, but all okay) and repeat. You end up with a bunch of income, but also a bunch of capital loss, which can just be offset against the gains you make off speccies (I hear it's possible)! Also, you might have a bunch of franking credits too!

Anyone given this a go, or is there something I'm missing (ATO don't hurt me)?

I own a lot of high dividend stocks like ntpc, ITC and hpcl and irb invit. They pay 5-10% dividend and I fall in the 30% bracket so I end up paying a lot of tax. I have no use for the money, I will end up reinvesting it.

I had a plan of selling one day before the ex dividend date and buying on the ex dividend date, this way I end up paying only stcg@15%

Two issues I see immediately are:

1. The stock doesn't always fall equal to the dividend amount, the irb invit would usually fall less.
2. Initially the stcg will be higher than tax on dividend because of all the unrealised gains

I thought about things like cpse etf but I don't want those other stocks

Is this a good idea or is there another way to go about this?

Edit: if you think about this is really beneficial, earlier the company used to pay 20% DDT, if this works we're paying 15% stcg+ brokerage

Ah the allure of free money.. Or seemingly free money.

A dividend is the payment of a portion of the earnings by any particular company to their shareholders. Not all companies necessarily pay a dividend.

Dividend Stripping is the act of buying a companies shares the night before the ex-dividend date to lock in the dividend and get some free money overnight. After a month of so of this tactic, one would assume that the money would just be rolling in daily.

Or would it?

Dividend stripping seems pretty simple to do– scour the market and find the stocks which are paying dividends the next day, figure out which one is the most alluring, and buy in and sell as fast as possible. But it isn't this easy.

Before going into detail, there are four dates about dividends which you should memorize. They are the declaration date, ex-dividend date, date of record, and pay date. What each means is:

Declaration Date: The date on which the board of directors of a company announces the dividend payout and ex-dividend date.

Ex-Dividend Date: The lock-in date to get the dividend

Date of Record: This date is 2 days after the ex-dividend date. This is not important as a dividend stripper. Shareholders which had the stock in position on the ex-dividend date will get the stock.

Pay Date: Pay day, baby!

As a dividend stripper, your goal is to hold the stock which you are stripping for the least amount of time possible. The ultimate goal is to buy at 3:59 PM EST, the night before the ex-dividend date, and sell at 9:01 AM EST, the next morning. To be guaranteed the dividend, you must have owned the stock on the ex-dividend date.

Now, in an ideal world, the price per share of a stock would drop exactly by the amount of which the dividend payout is going to be. Theoretically, if GM announces that they will pay a 50c dividend, and they are trading at $10, the stock will drop to $9.50. When this happens, there is virtually no point of dividend stripping in an ideal world.

But all of us know that this world isn't ideal.

There are a lot of external catalysts in the market that indirectly influence the price of a stock (such as a dearly beloved billionaire who is a part of all of our lives..) What this means is that a stock might drop more than what the dividend payout might be or it might go up! This means that in your overnight hold, you might even make some extra money! Dividend stripping is a risk you take every time you partake in it as you ca

So these are my top calls for next week.

I don't have any 3/20/17 ex-div date because this is being posted after-hours on Friday 3/17. That means that Monday strips aren’t possible. I don’t have any 3/24/17 calls because there is nothing worth stripping that day.

These are my calls. Please take them with a grain of salt, do your own research on them, and if you want, in the comments, rank them yourselves so I can see how people rank vs. how I rank. Also, if you don’t believe in this strategy, please be respectful of those who do, or who want to try it out.

Remember, if it doesn’t work, “I have not failed. I've just found 10,000 ways that won't work.” - Edison

$CYS - CYS Investments, Inc.

Buy-in Date - 3/20/17 Ex-Div Date - 3/21/17 Price - $7.99 Div - $0.25 Div Yield - 13.21%

Historically, there has been a drop on the ex-div date, but bounces back nearly immediately. Not much to say here.

Rating: 6/10

$SLRC - Solar Capital Ltd.

Buy-in Date - 3/20/17 Ex-Div Date - 3/21/17 Price - $22.28 Div - $0.4 Div Yield - 7.36%

Um, I think I just found a new long hold. Up 30% in a year, 10% in 3 months? Sure its been a lame run this month, but this looks good.. I’ll do some DD on this. Also a solid strip, upward trend masks the drop.

Rating: 7.5/10

$SCD - LMP Capital and Income Fund Inc.

Buy-in Date - 3/21/17 Ex-Div Date - 3/22/17 Price - $14.18 Div - $0.31 Div Yield - 8.90%

Good recovery, bit expensive for a strip. I might play it though. Recovers nicely, but drop off is sharp. Expect to hold for a few days if you strip this.

Rating: 5/10

$EXD - LMP Capital and Income Fund Inc.

Buy-in Date - 3/21/17 Ex-Div Date - 3/22/17 Price - $14.18 Div - $0.31 Div Yield - 10.25%

Good recovery, bit expensive for a strip. I might play it though. Recovers nicely, but drop off is sharp. Expect to hold for a few days if you strip this.

Rating: 5/10

$DMO - Western Asset Mortgage Defined Opportunity Fund Inc.

Buy-in Date - 3/22/17 Ex-Div Date - 3/23/17 Price - $24.22 Div - $0.23 Div Yield - 11.97%

Love the looks of this, might even hold long for a while. Possible high return chance along with frequent dividends.

Rating: 8/10

$ETO - Eaton Vance Tax-Advantaged Global Dividend Opportunities Fund

Buy-in Date - 3/22/17 Ex-Div Date - 3/23/17 Price - $23.91 Div - $0.18 Div Yield - 9.44%

Wow look at ETO’s run since November!

Idea for a company or index fund:

1. establish two funds (or pass-thru corporations). Call them something like "S&P500 capital gains" (CG) and "S&P500 dividends" (D).
2. In each one, replicate the S&P500 (or buy somebody else's S&P ETF).
3. Every time a stock's dividend is scheduled, buy the stock in D and sell it in CG, just before the dividend is payed.
4. Ex-dividend, buy the stock in CG and sell it in D.
5. All the dividends are recorded in fund D, and none of them appear in fund CG. They are passed thru to the investor.

As long as the investor holds their shares of D in their IRA/401k account, and holds CG in their brokerage account, they will never pay the higher dividend tax rate! Everything will show up as Long Term Capital Gains!

Would this idea work? Why or why not?

I've been thinking of attempting dividend stripping starting with CBA shares this month, anyone have any advice, warnings or experience?

What if we wrote Oliver Schröm? „Oliver Schröm, founder of, and head of international collaboration at, the Cum Ex Files project and Editor-in-chief, Correctiv“. He’s a journalist of a bigger investigative journalist collective who helped to discover and to publish the Cum Ex Files. He is part of a big network of journalists, insiders and whistleblowers all over the world. He’s a serious and reputable journalist.

If you never heard of Cum Ex scandal in Europe:

“Cum-Ex (also referred to as "Cum Ex" or "Cumex") is the name given to a huge volume of transactions prior to 2012 that involved exploiting a loophole on dividend payments that enabled a number of parties to claim the same tax refund. It has also been called dividend stripping.” (https://www.rahmanravelli.co.uk/articles/cum-ex/)

My question: What if we wrote Oliver Schröm in order to send him a quick overview and some valuable DDs and wait for a response to see if there is some interest?!

My thoughts: If we increased interest about this topic from another perspective and continent the pressure on SHFs and regulatory authorities especially in the US could increase too.

Why?: There are many GME shareholders who don’t live in the US but are involved so there is a high interest of shareholders who are interested in further enlightenment.

What do you think?

What would you send?

P.s. There’s a short Video about it in English. You can watch it with a VPN (German server) https://www.ardmediathek.de/video/panorama/cum-ex-it-may-be-the-biggest-tax-heist-ever/das-erste/Y3JpZDovL25kci5kZS8yZjQxYWY4MS1hYTY3LTRjZmMtOTE1NS1lZjU2MTFmMjdlODg/

Hello beautiful apes!

I have 2 points to show you. First is that Yahoo is showing completely different values depending on your IP. Try using a VPN with a different country and you'll see.

Second is that I stumbled upon the ENTIRE FUCKING GAME PLAN of the naked shorting scheme. I guess an insider spilled the beans anonymously on some forum in 2004.

What is going on with GME over the last 9 months is a game plan called "Cellar Boxing".

The link is at the end of this post. If you don't give a FUCK about the Yahoo data, then just skip to the end and read that. Seriously EVERYONE NEEDS TO READ THAT POST. It is like the holy grail. I got emotional reading it as it confirmed all of our combined DD about naked shorting, rule exemptions, dividends, zombies, even talks about shills.....EVERYTHING... in one fell swoop.

I wrote all this Yahoo stuff before I found that link and I just had to stop and stare at the wall for a bit.. This was going to be a much longer post, but I decided to just stick to the facts without speculative walls of text so you're not overwhelmed.

Because trust me, reading that post from 2004 is going to blow your fucking mind. It blew mine and everyone I showed it to.

Okay so first point:

Here's the Yahoo data from my IP in the USA

https://preview.redd.it/0v9ody3ujxm71.png?width=546&format=png&auto=webp&s=99ce6f08beff4e7d7ad75923efb9e0dbc1f29c92

Here's the data from a European VPN

https://preview.redd.it/z4qg2kkwjxm71.png?width=831&format=png&auto=webp&s=93ca4f7615b0ced4f26f2eae9ce1d20f6c4eb209

First thing that stands out to me is Enterprise Value.

According to

https://www.investopedia.com/ask/answers/111414/whats-difference-between-enterprise-value-and-market-capitalization.asp

Market capitalization is the sum total of all the outstanding shares of a company. Enterprise value takes into account the debt that the company has taken on. Enterprise value, therefore, can identify strengths or weaknesses that market cap cannot.

And https://www.arborinvestmentplanner.com/enterprise-value-ev-calculating-enterprise-value-ratios/

A company with more debt than cash will have an enterprise value greater than its market capitalization. Companies with identical market capit

Got to a point where I accumulated $2M in my operating corp in Canada. What are some of you in the similar situation doing to get that money out of the Corp?

I don't want to step on anybody's toes here, but the amount of non-dad jokes here in this subreddit really annoys me. First of all, dad jokes CAN be NSFW, it clearly says so in the sub rules. Secondly, it doesn't automatically make it a dad joke if it's from a conversation between you and your child. Most importantly, the jokes that your CHILDREN tell YOU are not dad jokes. The point of a dad joke is that it's so cheesy only a dad who's trying to be funny would make such a joke. That's it. They are stupid plays on words, lame puns and so on. There has to be a clever pun or wordplay for it to be considered a dad joke.

Again, to all the fellow dads, I apologise if I'm sounding too harsh. But I just needed to get it off my chest.

#Good morning traders and investors of the r/stocks sub! Welcome to Thursday! Here are your pre-market stock movers & news on this Thursday, January 13th, 2022-

Stock futures nudge higher after a 3-day winning streak for Nasdaq

> U.S. stock futures were slightly positive during early trading on Thursday after the Nasdaq Composite rose for the third session despite a red-hot consumer price index report.

> Dow futures were up 56 points. S&P 500 futures rose about 0.1%, and Nasdaq 100 futures gained roughly 0.1%.

> In early earnings action, Delta Air Lines posted a beat on profit and revenue and reaffirmed full-year guidance. Shares rose about 1.7% in premarket trading. Elsewhere, shares of homebuilder KB Home rallied more than 8% in extended trading after reporting better-than-expected earnings.

> Analysts expect fourth-quarter earnings to be up 22.4%, according to Refinitiv, but guidance for 2022 from companies will likely be a key determinant for market action.

> Elsewhere, Dow component Boeing rose about 3% premarket following a Bloomberg News report that the company’s 737 Max could resume service in China as soon as this month.

> On Wednesday, the major averages rose despite the consumer price index showing the highest year-over-year increase since June 1982, it was largely in line with Wall Street expectations. The Dow Jones Industrial Average rose about 38 points and the S&P 500 added 0.3%. The Nasdaq Composite gained for the third straight day, climbing 0.2%.

> The December consumer price index, a key inflation measure, increased 7%, according to the department’s Bureau of Labor Statistics.

> “Stocks shook off the sticker shock of the historically high inflation number, but that was also widely expected and incredibly a non-event today really,” said Ryan Detrick of LPL Financial. “What we are excited about is earnings season is right around the corner. We expect another solid showing by corporate America, while it will also be a chance to stop focusing so much on the Fed and policy, but instead get under the hood and see how the economy is really doing.”

> The December producer price index, another measure of inflation, is then set to come out on Thursday morning. Economists surveyed by Dow Jones are looking for a 0.4% monthly increase on the headline number and a 0.5% g

Welcome to the week 8 Official r/NFL Power Rankings! With the trade deadline an hour away, there are many rumors but not much can top the Rams going full Mike Ditka to give Aaron Donald a new best friend in Von Miller. With week 8 also debuting the true potential of the coveted New York quarterback factory, how far will the Jets jump as a result? How badly will an AJ Green brainfart cost Arizona? Discuss! 30/32 reporting

So these are my top calls for next week.

I don't have any 4/3/17 ex-div date because this is being posted after-hours on Sunday 4/2/17. That means that Monday strips aren’t possible. I don’t have any 4/4/17 calls because there is nothing worth stripping that day.

These are my calls. Please take them with a grain of salt, do your own research on them, and if you want, in the comments, rank them yourselves so I can see how people rank vs. how I rank. Also, if you don’t believe in this strategy, please be respectful of those who do, or who want to try it out.

Remember, if it doesn’t work, “I have not failed. I've just found 10,000 ways that won't work.” - Edison

$KCAP - KCAP Financial, Inc.

Buy-in Date - 4/4/17 Ex-Div Date - 4/5/17 Price - $4.07 Div - $0.12 Div Yield - 12.17%

This is in an upswing, and historically, the drop has either been nonexistent or really bad so choose how you want to do this. The stock is in an upswing right now, might be a good strip.

Rating: 6/10

$BKS - Barnes & Noble, Inc.

Buy-in Date - 4/4/17 Ex-Div Date - 4/5/17 Price - $9.25 Div - $0.15 Div Yield - 6.90%

Barnes and Noble is interesting. It manages to gain price after the dividend. Can someone do DD on them and tell me what caused the 70% drop a few years ago and why it hasn’t recovered?

Rating: 7/10

$LOAN - Manhattan Bridge Capital, Inc.

Buy-in Date - 4/5/17 Ex-Div Date - 4/6/17 Price - $5.90 Div - $0.10 Div Yield - 6.84%

Good recovery, dividend is small, but money is money.

Rating: 5/10

$CIK - Credit Suisse Asset Management Income Fund, Inc.

Buy-in Date - 4/6/17 Ex-Div Date - 4/7/17 Price - $3.30 Div - $0.02 Div Yield - 7.98%

Yeah. I’d Strip this. It’ll do well. Good recovery, upward trend, etc etc. Good overall.

Rating: 8/10

I’d really appreciate if someone could do some DD on $BKS (Barnes and Noble) and explain why they dropped nearly 70% from ~$30 to $9. It hasn’t recovered, but would it be a good long play?

Disclaimer: Past performance is not indicative of future results. Please do your own research and not make decisions based solely on any information you read here. The information I post is just my ideas and not anything more.

So these are my top calls for next week + a special call for tomorrow since I just came out with this article series. A quick edit I'd like to add to my strategy is the cycle process. Split the money you want to use to strip in half, and invest with it over two days, for two different stocks. What I mean is that sometimes, the recovery period is longer than a day, so what this does is allow you to strip a stock, while waiting for the last days stock to recover.

I don't have any 3/7/17 ex-div dates because there is nothing worth stripping that day.

These are my calls. Please take them with a grain of salt, do your own research on them, and if you want, in the comments, rank them yourselves so I can see how people rank vs. how I rank. Also, if you don’t believe in this strategy, please be respectful of those who do, or who want to try it out.

Remember, if it doesn’t work, “I have not failed. I've just found 10,000 ways that won't work.” - Edison

$NNA - Navios Maritime Acquisition Corporation

Buy-in Date - 3/2/17 Ex-Div Date - 3/3/17 Price - $1.9 Div - $0.05 Div Yield - 10.53%

This is a decent stock if you’re interested in trying the yield. Historically, there has been a drop on the ex-div date, but if you hold onto it for a few days past the ex-div date, you’re able to recover a decent amount of money. Stock itself seems very volatile so I’m not going to touch this.

Rating: 4/10

$NEWM - New Media Investment Group Inc

Buy-in Date - 3/3/17 Ex-Div Date - 3/6/17 Price - $15.22 Div - $0.35 Div Yield - 9.27%

Historically, this seems to have too many catalysts affecting the price to get a good idea of what can happen. I would buy into this now, for the Monday ex-div date as historically, the day before the buy in, the price gets way too high (due to other strippers).

Also, this is a weekend hold, and I don’t do strips over the weekend as it is too large of a time period for something to occur in.

Rating: 6/10

$TCAP - Triangle Capital Corporation

Buy-in Date - 3/3/17 Ex-Div Date - 3/6/17 Price - $19.40 Div - $0.45 Div Yield - 8.94%

Though this has a lower yield than $NEWM, the yields are so close that the difference is inconsequential. Recovery period is about two weeks, which isn’t ideal, so I would only invest spare money in this. Stock itself looks to be climbing up after an overreaction so I might make some extra money on the side, if I choose to weekend hold.

Ah the allure of free money.. Or seemingly free money.

A dividend is the payment of a portion of the earnings by any particular company to their shareholders. Not all companies necessarily pay a dividend.

Dividend Stripping is the act of buying a companies shares the night before the ex-dividend date to lock in the dividend and get some free money overnight. After a month of so of this tactic, one would assume that the money would just be rolling in daily.

Or would it?

Dividend stripping seems pretty simple to do– scour the market and find the stocks which are paying dividends the next day, figure out which one is the most alluring, and buy in and sell as fast as possible. But it isn't this easy.

Before going into detail, there are four dates about dividends which you should memorize. They are the declaration date, ex-dividend date, date of record, and pay date. What each means is:

Declaration Date: The date on which the board of directors of a company announces the dividend payout and ex-dividend date.

Ex-Dividend Date: The lock-in date to get the dividend

Date of Record: This date is 2 days after the ex-dividend date. This is not important as a dividend stripper. Shareholders which had the stock in position on the ex-dividend date will get the stock.

Pay Date: Pay day, baby!

As a dividend stripper, your goal is to hold the stock which you are stripping for the least amount of time possible. The ultimate goal is to buy at 3:59 PM EST, the night before the ex-dividend date, and sell at 9:01 AM EST, the next morning. To be guaranteed the dividend, you must have owned the stock on the ex-dividend date.

Now, in an ideal world, the price per share of a stock would drop exactly by the amount of which the dividend payout is going to be. Theoretically, if GM announces that they will pay a 50c dividend, and they are trading at $10, the stock will drop to $9.50. When this happens, there is virtually no point of dividend stripping in an ideal world.

But all of us know that this world isn't ideal.

There are a lot of external catalysts in the market that indirectly influence the price of a stock (such as a dearly beloved billionaire who is a part of all of our lives..) What this means is that a stock might drop more than what the dividend payout might be or it might go up! This means that in your overnight hold, you might even make some extra money! Dividend stripping is a risk you take every time you partake in it as you ca

So these are my top calls for next week.

I don't have any 3/27/17 ex-div date because this is being posted after-hours on Friday 3/17. That means that Monday strips aren’t possible. I don’t have any 3/30/17 or 3/31/17 calls because there is nothing worth stripping that day.

These are my calls. Please take them with a grain of salt, do your own research on them, and if you want, in the comments, rank them yourselves so I can see how people rank vs. how I rank. Also, if you don’t believe in this strategy, please be respectful of those who do, or who want to try it out.

Remember, if it doesn’t work, “I have not failed. I've just found 10,000 ways that won't work.” - Edison

$CBL - CBL & Associates Properties, Inc. Buy-in Date - 3/27/17 Ex-Div Date - 3/28/17 Price - $9.14 Div - $0.27 Div Yield - 10.94% Historically, there has been a drop on the ex-div date, but bounces in a few days. Rating: 5/10

$NLY - Annaly Capital Management, Inc. Buy-in Date - 3/28/17 Ex-Div Date - 3/29/17 Price - $11.20 Div - $0.30 Div Yield - 10.91% Again, not much to say. Currently swinging up so drop shouldn’t be bad if you buy early. Rating: 6/10

That’s all for this week. I just want to mention $NADB. ~$4.50 dividend per share. Nearly no drop after dividend. If you have another account not with RH, I’d invest in this for the dividend. Also, I wouldn’t recommend stripping while the market in in a down swing.

Disclaimer: Past performance is not indicative of future results. Please do your own research and not make decisions based solely on any information you read here. The information I post is just my ideas and not anything more.

#Good morning traders and investors of the r/StockMarket sub! Welcome to Thursday! Here are your pre-market stock movers & news on this Thursday, January 13th, 2022-

Stock futures nudge higher after a 3-day winning streak for Nasdaq

> U.S. stock futures were slightly positive during early trading on Thursday after the Nasdaq Composite rose for the third session despite a red-hot consumer price index report.

> Dow futures were up 56 points. S&P 500 futures rose about 0.1%, and Nasdaq 100 futures gained roughly 0.1%.

> In early earnings action, Delta Air Lines posted a beat on profit and revenue and reaffirmed full-year guidance. Shares rose about 1.7% in premarket trading. Elsewhere, shares of homebuilder KB Home rallied more than 8% in extended trading after reporting better-than-expected earnings.

> Analysts expect fourth-quarter earnings to be up 22.4%, according to Refinitiv, but guidance for 2022 from companies will likely be a key determinant for market action.

> Elsewhere, Dow component Boeing rose about 3% premarket following a Bloomberg News report that the company’s 737 Max could resume service in China as soon as this month.

> On Wednesday, the major averages rose despite the consumer price index showing the highest year-over-year increase since June 1982, it was largely in line with Wall Street expectations. The Dow Jones Industrial Average rose about 38 points and the S&P 500 added 0.3%. The Nasdaq Composite gained for the third straight day, climbing 0.2%.

> The December consumer price index, a key inflation measure, increased 7%, according to the department’s Bureau of Labor Statistics.

> “Stocks shook off the sticker shock of the historically high inflation number, but that was also widely expected and incredibly a non-event today really,” said Ryan Detrick of LPL Financial. “What we are excited about is earnings season is right around the corner. We expect another solid showing by corporate America, while it will also be a chance to stop focusing so much on the Fed and policy, but instead get under the hood and see how the economy is really doing.”

> The December producer price index, another measure of inflation, is then set to come out on Thursday morning. Economists surveyed by Dow Jones are looking for a 0.4% monthly increase on the headline number and a 0