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Dividend Growth Split Corp T.DGS

Alternate Symbol(s):  DDWWF | T.DGS.PR.A

The Funds investment objectives are to provide holders of Preferred shares with fixed, cumulative, preferential, quarterly cash distributions and to return the original issue price of 10.00 per Preferred share to shareholders at maturity; and to provide holders of Class A shares with regular monthly cash distributions, targeted to be at least 0.10 per Class A share, and the opportunity for growth in Net Asset Value per Class A share. The Fund invests, on an approximately equally weighted basis, in a portfolio consisting primarily of equity securities of Canadian dividend growth companies. In addition, the Fund may hold up to 20% of the total assets of the portfolio in global dividend growth companies for diversification and improved return potential, at the Managers discretion.


TSX:DGS - Post by User

Comment by Experiencedon Jul 06, 2022 9:52pm
175 Views
Post# 34807150

RE:RE:Question

RE:RE:Question
tailgator wrote: If? There is a 100% chance they get back to paying dividends. When you play splits you buy when they drop like this, it may be 6 months but you get a 50% return and a healthy dividend payment.
Yep

The thing is that when the NAV drops to the level that they stop paying dividends on the Commons, it doesn't mean that they aren't continuing to collect dividends on their stock ownership.  So when their investment holdings tank and they stop paying dividends, the cash from dividends collected over and above what is needed to pay the preferreds is available to buy cheap shares and set the table for the future.

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