Jump to content

Accuracy of dividend adjustments


Guest Tony

Recommended Posts

Hi

For an index (say FTSE 100), how do you know the adjustment made by a provide like IG  is correct? Is there transparency around this?

Also, if you are long, I believe IG returns 90% of the dividend? Since 16/17 tax year, the 10% notional pension credit was removed so why not payout 100%? Seems like they are profiting from this?

Thanks. 

Link to post
21 hours ago, Guest Tony said:

Hi

For an index (say FTSE 100), how do you know the adjustment made by a provide like IG  is correct? Is there transparency around this?

Also, if you are long, I believe IG returns 90% of the dividend? Since 16/17 tax year, the 10% notional pension credit was removed so why not payout 100%? Seems like they are profiting from this?

Thanks. 

Thanks for your post. 

The dividend adjustment is made on the ex dividend date of stocks that make up the FTSE100 that are giving out a dividend. 

If you're long the price will move down and you're credited the adjusted amount. If you look at the closing price of the previous candle stick and the open of the new one you will be able to see that the price adjustment and loss are the same. 

We have client trading both long and short, we make this adjustment at the same time, no one wins or loses they're purely adjustments. 

If you want to find out why the adjustments are the figures we adjust them by you can email us and ask for a breakdown on which stocks are giving out dividends or you can search for this yourself. 

All the best

 

Link to post

Join the conversation

You are posting as a guest. If you have an account, sign in now to post with your account.
Note: Your post will require moderator approval before it will be visible.

Guest
Reply to this topic...

×   Pasted as rich text.   Paste as plain text instead

  Only 75 emoji are allowed.

×   Your link has been automatically embedded.   Display as a link instead

×   Your previous content has been restored.   Clear editor

×   You cannot paste images directly. Upload or insert images from URL.

×
×
  • Create New...