Hi Wdboat,

I understand now, its almost like an arbitrage trade. You want to get in and out based on the exdividend date. Do this with many stocks to multiply the return.

The globe tracks the exdividend dates fo most canadian public companies:

http://www.globeinvestor.com/servlet...

Its my belief that a stocks price used to drop by approx. the value of their dividend as soon as they went ex dividend. I'm noit sure in this super volatile market that that is the case any more so it may prove very worthwhile.

I think to make it successful, you need to have very cheap trading costs (Like $6.95/trade).

You will have to be in the stock for several days as you will have to buy it several days ahead of the exdividend dtae in order for your trade to have officially settled. So its not just a one day exposure but likely a 4 day exposure.

You may want to consider adverse events like:

1. Will the company or its main competitors be making any earnings announcements during this four day period that could materially effect the share price.

2. If the share price takes a dip and you are now below your net cost, is this a stock you want to own? do you believe in the company?

Thats my 2 cents on dividends.

BTW. the returns for this type of play are even jucier if you start playing with covered calls. You can do them over a short term when announcements arent likely too happen. your investment time though is getting beyond 30 days so maybe annualized it isnt as good,

Regards

Ahead12