...if this is passed next Friday...
Invest in ACC shares after tax or pocket the cash?
Background to my question:
On the ex-day, the value of the dividend will be deducted from the shares - they will then only be worth a few cents. If the share price does not explode afterwards, the dividend could be used to buy a lot more shares.
At the same time, ACC wants to buy back shares on a massive scale - ergo the number of shares decreases and could mean an increase in the price (the rarer the more expensive).
I'm not quite sure yet - just hold what I have and hope for the price rise through the buyback and pocket the cash or reinvest straight away and hope for the price rise with more shares.
I'm still struggling to understand where the risk lies for the share. Do any of you have any ideas?
Aker is currently forming a classic cup & handle figure.
