Coal India Dividend harvesting using a combination of Stock and single stock future.
One dividend announcement date (Let us call it POD, short for Position Open Date)
Buy 1 future lot worth of Stock on the date of dividend announcement
Sell 1 future lot on the date of dividend announcement.
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Be patient until the Ex-Dividend Date
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One day After Ex-Dividend Date Sell the stocks bought on POD & Buy the future back.
Profit loss from both the above positions should be nullified.
Enjoy the dividend in your bank account, that will be deposited by COALINDIA in a few days (Be sure to plan for taxes before you spend it all !!).
One dividend announcement date (Let us call it POD, short for Position Open Date)
Buy 1 future lot worth of Stock on the date of dividend announcement
Sell 1 future lot on the date of dividend announcement.
|
|
Be patient until the Ex-Dividend Date
|
|
One day After Ex-Dividend Date Sell the stocks bought on POD & Buy the future back.
Profit loss from both the above positions should be nullified.
Enjoy the dividend in your bank account, that will be deposited by COALINDIA in a few days (Be sure to plan for taxes before you spend it all !!).