angelo82:
Last trade was 9.34naira and I am not sure if it can get to 9.50 today...........I don't know why FBNH is not moving fast enough......I hope it can get to 13naira so that I can offload all the 1.3M units in my portfolio.....Its my major stock and I hope to make some substantial gain but I am tired of this up and down.......I am not loyal anymore to any brand except to myself.......

I have less than 5000 unit in FBNH. ABBA Father this kind of testimony will not pass me by this year. It's my turn to start counting units in millions. you did if for Mercy, you did it for Angelo. I rejoice with them and tap into this kind of testimony. Amen

I have 2 billion units of Oando.

angelo82:
Last trade was 9.34naira and I am not sure if it can get to 9.50 today...........I don't know why FBNH is not moving fast enough......I hope it can get to 13naira so that I can offload all the 1.3M units in my portfolio.....Its my major stock and I hope to make some substantial gain but I am tired of this up and down.......I am not loyal anymore to any brand except to myself.......

I have less than 5000 unit in FBNH. ABBA Father this kind of testimony will not pass me by this year. It's my turn to start counting units in millions. you did if for Mercy, you did it for Angelo. I rejoice with them and tap into this kind of testimony. Amen

I have 2 billion units of Oando

@Gistdutch
@Elai147
@bigass
@daemperor1
@Processor01

Thank you for your answers to the quiz question. You all gave it a good shot. MR BULL is the more correct answer. Congrats to bigass as the only one who got it right. Now here is why:

It is of utmost importance to know whether the date the company has quoted to NSE is the ex-dividend date or the date of record. There is a difference between the ex-dividend date and the record date. To qualify for a dividend payment you must be the owner of shares at the close of business on the working day before the ex-dividend date. The ex-dividend date is the day the stock price is marked down for dividend payment. Some companies will clearly specify both dates e.g. FBNH. The ex-date is the day after qualification date while the date of record is specified as closure date.

http://www.nse.com.ng/Financial_NewsDocs/9222_FBN_HOLDINGS_PLC_CORPORATE_ACTIONS_APRIL_2015.pdf

Unfortunately, many companies only quote the closure date and this is the date specified on the NSE website. So watch out.

This has been explained thoroughly by Investopedia

Ex-dividend date - On (or after) this date the security trades without its dividend. If you buy a dividend paying stock one day before the ex-dividend you will still get the dividend, but if you buy on the ex-dividend date, you won't get the dividend. Conversely, if you want to sell a stock and still receive a dividend that has been declared you need to sell on (or after) the ex-dividend day. The ex-date is the second business day before the date of record.

Date of record - This is the date on which the company looks at its records to see who the shareholders of the company are. An investor must be listed as a holder of record to ensure the right of a dividend payout.

Read more: http://www.investopedia.com/articles/02/110802.asp#ixzz3XTyhQjvD

megainvest:
Morning quiz for all!

Mr bear has 1000 units of Company X shares on 13th of April 2015. Company X has just declared a dividend of N20 per share and the mark down date for dividend payment is 22nd of April 2015. Mr bear decides to sell off his shares to Mr bull on 21st April 2015. However, the settle date for Mr bull's transaction is T+3 which is 24th April 2015. Who gets the dividend?

A. Mr bear
B. Mr bull
c. None of them (i.e. Money goes back to company X!)

Your quiz was confusing. You mentioned payment date instead of Qualification date.

jarkbauer:
I have 2 billion units of Oando.

Fall from Maggi cube.

bigass:


Your quiz was confusing. You mentioned payment date instead of Qualification date.

What I said is "mark down date for dividend payment". The twist was intentional just to drive home the point of really understanding the dates

megainvest:


What I said is "mark down date for dividend payment". The twist was intentional just to drive home the point of really understanding the dates

marking down means removing dividend payout from price of a stock.

bigass:


marking down means removing dividend payout from price of a stock.

100% correct. The mark down date = ex-dividend date.
The qualification date is the day before the mark down date. To get the dividend, you must remain with the stock till close of business on qualification date.

megainvest:


100% correct. The mark down date = ex-dividend date.
The qualification date is the day before the mark down date. To get the dividend, you must remain with the stock till close of business on qualification date.

Mark down date is the day the dividend is paid to investors. Eg Company A is trading at 20Naira declares 5 Naira, when dividend is paid the price is marked down to 15Naira.Your name must be on Register before Qualification or Ex-div date

Read more here for better understanding:

http://www.dividend.com/dividend-education/everything-investors-need-to-know-about-ex-dividend-dates/

megainvest:
Read more here for better understanding:

http://www.dividend.com/dividend-education/everything-investors-need-to-know-about-ex-dividend-dates/

My point is simple Mark Down date isnt same as Ex div date. Shikena

example for transcop Closure Date: 21st – 24th April, 2015

does it mean that if i buy transcop on the 24th april, i will still qualify for dividend?

austinibe7777:
example for transcop Closure Date: 21st – 24th April, 2015

does it mean that if i buy transcop on the 24th april, i will still qualify for dividend?

No, you wont. You must own the stock at least 3 working days before the closure date i.e. 21st. Read my explanation.

bigass:


Mark down date is the day the dividend is paid to investors. Eg Company A is trading at 20Naira declares 5 Naira, when dividend is paid the price is marked down to 15Naira.Your name must be on Register before Qualification or Ex-div date

Is it when dividend is paid or after the Ex dividend date that the price is marked down? Payment date is supposed to be different from Ex dividend date.

Forte Oil Q1 2015

UBN FY 14 result

STANBIC Q1 RESULT

Born2berich:
UBN FY 14 result

This UBN result for make a lot of sence but for their massive negative retained earnings....


still a long walk to freedom!

bigass:


My point is simple Mark Down date isnt same as Ex div date. Shikena

Mark down date = Ex -dividend date.

Just google

Even if they give dividend,I will never by that stock again.......I lost about 80% of my shares that I bought since 2008.....I am still looking for ways to transfer the rest from my analogue resident stockbroker to the online brokers so that I can sell some useless stocks off my assets.....

feelamong:



This UBN result for make a lot of sence but for their massive negative retained earnings....


still a long walk to freedom!

jsmile
angelo82
jarkbauer
megainvest
bigass
born2berich

please I need a help on how stock market works, please someone should help a me on this. thanks and may God bless.

@megainvest.

There is some disparity between your response to austinibe7777 and the answer to your earlier question.

The investopedia article you quoted makes NO mention of settle date. This is where you got it twisted, I'm afraid. Now let's see the question again.

Mark down date is 22/4. Bear sold on 21/4 to Bull. The settle date of Bull is 24/4. Going by your response to austinibe, Bull will get the div only if he bought on 19/4 (I.e 3 days before mark down date)

For Bear, you didn't mention his settle date. If his settle date is 21/4, then he won't get the div. And since Bull settle date is 24/4, the div will return to the company (option C of your question). If his settle date is 24/4 then he will get the div, cos his name would still be on the register on 22/4 (mark down). This was the reply of oga Elai and others who said Mr Bear.

Investopedia implied that "anyone who buys before mark down date will get the div" without reference to the T+3 rule.

#open to corrections

Moneysage:
@megainvest.

There is some disparity between your response to austinibe7777 and the answer to your earlier question.

The investopedia article you quoted makes NO mention of settle date. This is where you got it twisted, I'm afraid. Now let's see the question again.

Mark down date is 22/4. Bear sold on 21/4 to Bull. The settle date of Bull is 24/4. Going by your response to austinibe, Bull will get the div only if he bought on 19/4 (I.e 3 days before mark down date)

For Bear, you didn't mention his settle date. If his settle date is 21/4, then he won't get the div. And since Bull settle date is 24/4, the div will return to the company (option C of your question). If his settle date is 24/4 then he will get the div, cos his name would still be on the register on 22/4 (mark down). This was the reply of oga Elai and others who said Mr Bear.

Investopedia implied that "anyone who buys before mark down date will get the div" without reference to the T+3 rule.

#open to corrections

You have made a very good point. The T+3 rule is not really the key determinant because the actual settle date varies. Ex-div date is the most important date to track. Some companies also use date ranges like 21st to 24th. The key date is the ex-div date or mark down date. As long as you buy BEFORE that ex-div date, you will get the dividend. I noticed that many companies choose to use the term "Qualification date" to avoid any confusion. That is the date before ex-div date. Read transcorp's notification and you will notice where they specified the qualification date.

The confusion usually arises because there is no uniformity in the way companies report the dates.

Moneysage:

Stock Trading is largely an art, after the technique or science has been fairly understood. It is unfair to you, oga Elai147 or any other person, to keep advising, advising and advising when someone is just interested in dumping their savings in some magical stock, and walk away.

Anyone who isn't ready to READ shouldn't trade. SHIKENA!

#no hard feelings
#unfortunately, some future newbies won't bother to read several pages of this thread before commenting.

You are on point, my chairman. The thing tire me too but we shouldn't relent. Hopefully some will learn from our consistent advice and some will choose to remain dependent.

@megainvest

To simplify this issue for other readers: There is only one Mark down date. You may ignore the range (e g 21-24 that many Nigerian companies quote).

To be safe, just make sure you buy the stock before the first of the 2 dates. Why would you wait till 22nd or 23rd when you can buy the stock on 20th or 21st?

That's better

megainvest:

Thank you for your answers to the quiz question. You all gave it a good shot. MR BULL is the more correct answer. Congrats to bigass as the only one who got it right. Now here is why:

It is of utmost importance to know whether the date the company has quoted to NSE is the ex-dividend date or the date of record. There is a difference between the ex-dividend date and the record date. To qualify for a dividend payment you must be the owner of shares at the close of business on the working day before the ex-dividend date. The ex-dividend date is the day the stock price is marked down for dividend payment. Some companies will clearly specify both dates e.g. FBNH. The ex-date is the day after qualification date while the date of record is specified as closure date.

Bros your post was a bit confusing as it did not clearly indicate the record date and therefore I answered your question on the basis of NSE misconstrual of the dates on companies corporate action. The date published by NSE as closure date is also the ex-dividend date (mark down date). The NSE website does not indicate clearly the record date or qualification date. Normally if you buy any day before the ex-dividend date you should get the dividend but in Nigeria this is not always the case as it is possible for you to buy a stock a day before the ex-dividend date (closure date in NSE website) and still not get the dividend. I have explained this in one of my posts about 2 or 3 weeks ago. Check my previous post below:

Elai147:


Case in point of a situation where you can buy before the closure date (published on the NSE website) and still not get dividend: an extract from Nestle's Corporate action:

"The final dividend per share is payable on the issued share capital of 792,656,252 (2013:792,656,252) ordinary shares of 50k each held by each member of the Company registered in the books as at close of business on Friday, 24 April 2015".
http://www.nse.com.ng/Financial_NewsDocs/8595_NESTLE_NIG_2015_CORPORATE_ACTION_CORPORATE_ACTIONS_FEBRUARY_2015.pdf

...meanwhile the published closure date on NSE website is 27th April 2015. An investor who buys the stock on 25th, 26th or 27th will be inelligible for dividend.

How do we explain that?

Another good example is FBNH dividend illustration in your post. Qualification date is April 30th while the NSE published only the closure date (ex-dividend date) which is May 4th. So if I am to go by your explanation and buy on May 3rd (a day before markdown or ex-dividend date), I will not get the dividend. This is the confussion from NSE. My advice is to make sure you own the stock at least 3 days before the closure date published by the NSE because of the T+3 rule. If there is a date range (e.g 21st -24th), it is better as you qualify for dividend if you buy on the 21st.

Chai chai chai fcmb monkey hunters

#DRiGoooo

In all this now what date will transcorp be marked 21st or 22nd