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Community


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Online Share Trading

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Ex div

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buyme
Contributor
hi,can anyone please tell me if there is a way to protect yourself from a share going ex div? i did a cfd last time,just to find that they adjust the price of the cfd,i dont trade in cfd's but it was a real learning curve....the hard way.im sure they do the same with a futures contract?
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10 REPLIES 10
doomsdayza
Super Contributor
you got the benefit of the dividend though? so all things being equal you were square on your cfd.
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buyme
Contributor
thats the thing though,you are all square. on the cfd,the price must fall the amount of the div or you start losing money,which was the case with me.
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SimonPB
Valued Contributor
an that's the market .. sometimes it falls more, sometimes less and sometimes same .. nothing you can do, except not be in over LDT ..
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Not applicable
the price difference on the CFD was probably just the spread that you saw, the spread on a CFD doesnt change at different times (ex-div, cum div, etc) its always there.
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buyme
Contributor
thanks guys
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Frogg
Frequent Contributor
Has anyone had good or bad experiences/sugestions when coming to shorting cfds on LDT
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SimonPB
Valued Contributor
short stocks that are going down ..
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prancing_horse
Super Contributor
If you short on LDT you pay the dividend, dangerous game to play!
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Not applicable
in a bear market, its worth it. seems a couple of stocks have dropped more than their div.
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Not applicable
but an equal number of stocks go up ex div, so go figure. Barry had a strategy of trading stocks on the run up to their divs. Don't know if he still does it - but I would put him as the forum resident expert on this type of trading.
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