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 High Dividend Counters, Better than putting in FD

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KingRichard
post Jan 3 2008, 10:11 AM

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QUOTE(cyclone9 @ Jan 3 2008, 09:53 AM)
how to calculate dividend?
let say i brought 1000 @ RM1
announce 10% dividend?
how much would i get?
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1st depend on par value - if rm 1 then you get 10 sen per share, if par value 25 sen then you get 2.5 sen per share

then you take the amount and then multiply by no. of share - taking your example, assuming par value is rm 1, then you will get rm 100

don't forget, if there is corporate tax, then they will deduct it at source - so if at 27% tax rate, then you get only rm 73



KingRichard
post Jan 3 2008, 10:23 AM

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QUOTE(cyclone9 @ Jan 3 2008, 10:19 AM)
let say par value is 1
so i buy 1000 @ RM1

how to calc? smile.gif
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eh, thought i gave answer already hmm.gif - rm 100

assuming the dividend is tax-free, then your average price per share is adjusted to rm. 0..90 (rm 1.00 - rm 0.10)


Added on January 3, 2008, 10:24 am
QUOTE(jcvstlys @ Jan 3 2008, 10:16 AM)
anyway to get the tax back?
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with new budget no vmad.gif ; previously you can use it as tax credit to offset tax payable

This post has been edited by KingRichard: Jan 3 2008, 10:24 AM
KingRichard
post Jan 3 2008, 10:27 AM

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QUOTE(cyclone9 @ Jan 3 2008, 10:25 AM)
so it wont calc but the cost of the share but amount of the share rite?
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dividend received = dividend rate per share x no. of share

then you use the amount received and subtract from your share cost to get the adjusted rate

This post has been edited by KingRichard: Jan 3 2008, 10:27 AM
KingRichard
post Jan 3 2008, 10:32 AM

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QUOTE(cyclone9 @ Jan 3 2008, 10:29 AM)
oooo i tot i can get the Dividend Cash lolx
it will reduce the avg price i brought ..oic....
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you get the dividend in cheque or transfer into account

i use it in my calculations as a method to reduce my average share price - you can always spend it, and not take it into account when calculating profit/loss
KingRichard
post Jan 3 2008, 10:46 AM

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QUOTE(cyclone9 @ Jan 3 2008, 10:35 AM)
if i buy before exdate... i still get the dividend?
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have to buy/shares transferred before ex-date



This post has been edited by KingRichard: Jan 3 2008, 10:53 AM
KingRichard
post Jan 3 2008, 03:19 PM

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QUOTE(cyclone9 @ Jan 3 2008, 02:40 PM)
last year 0.40sen dividend mmm
pay on april and october.. consistent...

I guess the key to buy share for dividend is buy more amount of share for smaller price but also pay more than 10% dividend?
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that's one thing too look at, but should also look at capital appreciation...otherwise they maybe giving good dividend yields, but share price keep falling...

take a look at yi-lai: one of the highest dividend yields around, at low absolute share price - but the share price has been also steadily falling - so it erodes the dividend gains

compare it with say, maybulk or ytlpower: higher share price but lower divided yield, but has steadily appreciated despite the dividends paid out

you make your decision...


 

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