Summary
- Many stocks are going ex-dividend next week.
- Use the "buying dividend" strategy.
- High returns are possible with short-term holdings.
Here is our latest update on the stock trading technique called "Buying Dividends," also commonly referred to as "Dividend Capture." This is the process of buying stocks before the ex-dividend date and selling the stock shortly after the ex-date at about the same price, yet still being entitled to the dividend. This technique generally works only in bull markets, and can work in flat or choppy markets, but you need to avoid using it during bear markets.
To be entitled to the dividend, you have to buy the stock before the ex-dividend date, and you can't sell the stock until on or after the ex-date. The actual dividend may not be paid for another few weeks. WallStreetNewsNetwork.com has compiled a downloadable and sortable list of the stocks going ex-dividend in the near future. The list contains many dividend-paying companies, lots with stocks with market caps over $500 million and yields over 2%. Here are a few examples showing the stock symbol, the ex-dividend date, and the yield.
| Ameren Corp |
AEE |
9/8/2015 |
4.0% |
| Auburn National Bancorp |
AUBN |
9/8/2015 |
3.2% |
| CME Group |
CME |
9/8/2015 |
2.1% |
| Financial Institutions Inc. |
FISI |
9/8/2015 |
3.2% |
| Garrison Capital Inc |
GARS |
9/8/2015 |
9.5% |
| G&K Services Inc |
GK |
9/8/2015 |
2.2% |
| Golar LNG Ltd. |
GLNG |
9/8/2015 |
5.0% |
| Mercury General |
MCY |
9/8/2015 |
4.8% |
| MDU Resources Group |
MDU |
9/8/2015 |
4.2% |
| Occidental Petroleum |
OXY |
9/8/2015 |
4.3% |
| Pepco Holdings |
POM |
9/8/2015 |
4.6% |
| PPL Corporation |
PPL |
9/8/2015 |
4.8% |