Show notes: http://optionalpha.com/show62
At least 2-3 times per week I\u2019ll get an email from someone along these lines; \u201cKirk, why can\u2019t we just buy the best dividend stocks right before the company pays the dividend, and then sell the stock the next day and keep the profit?\u201d Seems like a cool idea, and I\u2019ve definitely seen many smaller blogs peddling this idea to investors, but it might easier said than done.
In today\u2019s show I\u2019ll help you understand the four most important dates you need to know when it comes to dividend investing, including a complete rundown of the fictional arbitrage opportunity that dividend investors are continuously searching for during the ex-dividend date. Plus, I\u2019ll give you an alternative strategy for purchasing the stock at a discount, while reducing your tax liability, as well as the impact of dividend payments on options pricing.
If you\u2019ve got a friend or trading buddy who hasn\u2019t made the jump to options yet and is still cashing \u201cdividend stocks\u201d and \u201cdividend strategies\u201d then this show might be the kick in the butt they need to start options trading. And of course, if you\u2019d share it with them I\u2019d be incredibly thankful!
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