Iron ore price, page-36716

Well this is the rough calculation I use to work out whether it paid to buy shares in FMG last Friday to qualify for Sep dividend dividend by buying on the day to participate in the DRP.

$20.85 SP close on the 3rd of Sept

$2.11 divi x 1.215% = $2.56
Which is half the franking credit used as a offset against your tax liabilities depending on your tax bracket

$20.85 - 2.56 = $18.29

The DRP price needs to come down to at least $18.29 to have made participating in the DRP worthwhile and holding FMG shares as of last Friday.
Even after the DRP is calculated its anyone's guess if a lower price than the DRP will present itself between now and the next dividend next year. I dont like to gamble so I try to avoid trying to time the market and look at the big picture. I dont begrudge those that jump in and out of the stock and if it paid to be out of the stock prior to going ex dividend so be it.