Forum Topics Dividends

Hi Andrew,

 

I've received the following dividends in my Strawman portfolio

 

07/09/20 - PPE dividend $0.045/share on 6,314 shares = $1.91

23/09/20 - AVA dividend $0.010/share on 61,553 shares = $0.05

 

However, unless my math is wrong, these should be:

 

PPE - $284.13AVA - $615.53

 

Thanks

2

Bear77
4 years ago

I might be able to answer that one CA. You are looking at the cash history and that just tells you that you had leftover cash of $1.91 from the PPE dividend and 5 cents from the AVA dividend that was credited to your cash balance. If you look at your PPE transaction history, you'll see that you received a PPE div on 7/9 and 103 new PPE shares were credited to your account @ $2.74 ea. (the closing price that day) leaving $1.91 remaining (from that $284.13 total div), so that's why the $1.91 was credited to your cash balance. Similarly, on 23/9, you were credited with an additional 1,784 x AVA shares @ 34.5 cents each (closing price on the day), leaving 5c from that $615.53 dividend, and that was the 5c that was credited to your cash account. Dividends and distributions are always automatically reinvested at the closing price on the day they go ex-div, and any remaining cash (amounts less than the price of a single share) are credited to your cash balance. Hope that helps. P.S. It would be nice if we could switch dividend reinvestment on and off like we can in the real world, but at this stage (as at 02-Feb-2021) the dividends are reinvested automatically by the site. We do not get a choice in the matter. Personally I almost always opt to receive my real-life dividends, distributions and capital returns as 100% cash, and I then reinvest in companies at prices I choose to pay rather than take what the market offers at the end of any given day, but that cash option is not yet available here.

5

Thanks Bear!

3