Cheers all! Happy Saturday! Not doing too much because it's still freezing outside here in the northern hemisphere.
After the New Year correction we had I became a little bit reluctant to invest a lot into any of my former big positions like NDQ. Instead, I started following the asx dividend payers that typically payed in the range of 2-4% per distribution. If they pay higher than that then you can get into problems holding the bag of fish, so to speak. But I found that 2-4% was a bit of a sweet spot. But I wasn't in it for the dividend payments, because after they go divEx, then the stock price drops the same amount (or usually just a bit more) as the dividend itself. So what I did instead is buy the stock as soon as the dividend announcement is made (or before - for companies that are very regular in their dividend payments) and then wait out the slow rise in stock price until a few days before the DivEx date and then sell - for about the same as you would have made from the dividend payout itself, or maybe a little less (but safer). It worked a couple of times already and I'm wondering if it's a viable option year-round? Anyone else with similar experience? How did it work for you?
