How long do you have to hold a stock to get the dividend?

Asked 3 years ago

I'm after the dividends to make a passive income. How long do I have to wait before I sell it? Is it possible for me to buy shares one day and sell them the next day?

Andrew Moran

Saturday, August 14, 2021

You will need to purchase and hold onto a stock by its ex-dividend date, which you can find on something on your trading platform or a news source (Yahoo! Finance or MarketWatch).

Now, as for your second question, this is referred to as a dividend capture strategy. It involves buying a stock before the dividend is paid, holding it to get your hands on the funds, and then selling it.

Does it work all the time? The stock usually dips on the ex-dividend date, but then the security normalizes a session or two after.

Overall, dividends are a critical component of an investment portfolio.





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