After Hour Trading Before Ex-Dividend Date
I'm happy to report that if you missed normal hours trading just before the ex-dividend date, you can still purchase stocks in the after hour trading before the ex-dividend date. You'll still get the dividend.
I wasn't sure before, so a few weeks ago, I tested the theory. Fortunately, everything panned out and I got the dividend from the share I purchased during the after hour trading.
Full disclosure: I purchased IFN on October 6, 2008 in after-hour trading (5:13 PM EDT). IFN dividend showed up in my brokerage account on October 23, 2008. IFN's ex-dividend date was October 7, 2008. And its dividend date is October 23, 2008.
I have done the reverse. I sold a stock that I had owned in the pre-market on the ex-dividend date. This entitles me to the dividend, even though I sold before the market officially opened.
i believe the x-dividend date is calander determined so if you sell after hours on the day before the x-date you lose the dividend. if you buy early on the x-date you will not get the dividend. the of record date governs and that ignores the time of the trade. i have no idea how the exchanges handle time zones but suspect they use the actual trade date calculated in the local time of the exchange.
Did your message disappear? Read the Forums FAQ.
Spam Control | * indicates required field
TrackBack only accepted from WebSite-X Suite web sites. Do not submit TrackBacks from other sites.
No TrackBacks yet. TrackBack can be used to link this thread to your weblog, or link your weblog to this thread. In addition, TrackBack can be used as a form of remote commenting. Rather than posting the comment directly on this thread, you can posts it on your own weblog. Then have your weblog sends a TrackBack ping to the TrackBack URL, so that your post would show up here.
Messages, files, and images copyright by respective owners.
7746 Users Online