dividend question

[dmeista]

Hi,

if i buy a cfd and a stock goes ex-div, do i receive then the gross div or net div?

 

[Rhody Trader]

Only holders of the stock on the ex date receive the dividend. As a CFD long you don't actually own the stock, though the dividend should be factored into the CFD price.

 

[dmeista]

Only holders of the stock on the ex date receive the dividend. As a CFD long you don't actually own the stock, though the dividend should be factored into the CFD price.

That's what I meant, do they factor the gross or net dividend? I'm not talking about uk stocks but french/dutch/german ones.

 

[Rhody Trader]

I'm not sure what you mean by gross vs. net, but I'm almost positive it's the gross figure.

 

[dmeista]

I'm not sure what you mean by gross vs. net, but I'm almost positive it's the gross figure.

I meant with gross dividend the dividend including dividend tax. With net dividend I meant dividend after dividend tax. In france, holland and germany you have to pay dividend tax.

 

[Rhody Trader]

I wouldn't expect a tax to be netted out, especially if there's variability in how much tax is paid by different stock holders.

 

[scose-no-doubt]

Net.

I'm sure you get a dividend credited to your account with a CFD. You get charged for shorts.