Investor Help (NO Ihub questions)

[cintrix]

I think what that poster was trying to say is that the larger the divy the more you will see the price drop when it goes ex. When a company issues a divy their value is changed because they are giving part of it to shareholders. For this to be reflected the pps usually will be lower when it goes ex-divy. If it is a smaller divy sometimes you don't even see the adjustment because there is volume and people buying on the ex divy date - say it is a .20 divy - most stocks can move over that amount on any given date. Sometimes people actually buy a stock on ex-divy date in order to get it a little cheaper - that could also make it go up. Not sure what you mean about the 10%, but if a company is paying a 10% divy, it is usually based on the annual return, and divided by four to pay quarterly. There are some special divys that payout a good amount in one shot but most are the annual amount paid quarterly.