3G·

Dividend in cash or shares

$BATS (+0,37%)

Yes could someone explain to me what the pros and cons of this are?

Thank you very much

8 Commenti

KonradM@KonradM

In a nutshell, if you have the dividend paid out in cash, you will receive it in your account minus taxes etc.. However, if you opt for shares, the dividend is reinvested immediately after deduction of tax without you having to arrange it again.

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Michael@Happysurfer

@KonradM so if i still have something in the loss account pot or the exemption order has not yet been exhausted, it would be rather stupid to be paid in shares do i see that right?

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KonradM@KonradM

@Happysurfer Unfortunately, I don't know exactly. I've always had it paid out in cash so far.
What I have written is only what I knew or how it is handled. But I don't know how/what exactly. Sorry

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Solitair@Solitair

@Happysurfer That doesn't matter at all. . first the net dividend is credited to your account, or without deduction if there are corresponding losses. Then you buy more shares at the value of the gross dividend, provided at least one whole share is paid out. The problem is that you don't know exactly when the dividend will be paid, how high the share price will be and whether you like it. In addition, the account can slip into the red. I prefer to buy manually. It makes zero sense for me.

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Michael@Happysurfer

@Solitair ok so no fragments at all? Then it makes little sense indeed

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SimutheG@SimutheG

I take the share because I have no stock exchange fees. Otherwise I would have to pay turnover tax and brokerage fees

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❤️DIST-LOVE@DISTLOVE

There are no advantages or disadvantages here. With one, it goes back into the respective position, with the other you get the money and have to reinvest it manually (or via a savings plan).

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DieEnte7@DieEnte7

With my broker, I would have to pay order fees for reinvesting, so I always have the dividend paid out.

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