Tags

20-Jan-12 17-Feb-12 16-Mar-12 20-Apr-12 18-May-12 15-Jun-12 20-Jul-12 17-Aug-12 21-Sep-12 19-Oct-12 16-Nov-12 21-Dec-12 27-Dec-12 (potential excise dist)

Pay Dates

13-Feb-12 12-Mar-12 16-Apr-12 14-May-12 11-Jun-12 16-Jul-12 13-Aug-12 17-Sep-12 15-Oct-12 13-Nov-12 17-Dec-12 14-Jan-13 14-Jan

DIA dividend history

DIA Dividend History

Dividend capture approaches

Looking for ex-dividend information for other ETFs? Check this page.

Posted in dividend, Dividend Capture, ex-dividend, Mainstream | No Comments »

DIA Dividend Capture–close out

Sunday, February 21st, 2010 | Vance Harwood

My DIA dividend capture position was assigned last night as expected, for a net profit of $0.27 per share. Since my DIA position was called before the dividend was distributed I won’t actually get the dividend (which I am estimating to be $0.25), but my net profit is slightly more with considerably less risk than just buying DIA and holding to ex-dividend. The image below includes today’s open interest on the DIA options as the far right column. The Feb 99 calls went from an open interest of around 2400 to 38 overnight, so about 98.5% of the open calls were assigned. The options up through the 102 strike were mostly cleared out.

DIA call option chain 19-Feb-2010, Open Interest on right, click to enlarge

Posted in all, dividend, Dividend Capture, ex-dividend, Mainstream | 1 Comment »

Feb 2010 DIA dividend capture

Saturday, November 19th, 2011 | Vance Harwood

Bought DIA at 101.17, sold-to-open Feb 99 calls at 2.44 — both with market orders, for a net debit of 98.73. Pretty frustrating morning– tried to do buy-writes first thing today with a net debit amount, but I never got a fill, even though I was splitting the ask/bid price or slightly more generous on the options (97 calls at that point). I don’t know if this is due to the upcoming DIA dividend, the general behavior of the DIA option market makers, Fidelity’s software/order flow, or what.

For this strategy, getting better than the listed ask/bid price is pretty important– $0.05 or $0.10 is a pretty big percentage of the available profit for the deep ITM calls. I looked at doing a call vertical spread,splitting the bid/ask spread, with the long side way OTM (e.g., 108)–to be followed by buying DIA at market. The spread might execute better because it would be be an options only trade, and would only cost a cent or two, but by that time the market was rallying strongly–I didn’t want to be in an effective naked short call situation in a dynamic market while I created the long side of the DIA covered call position.

Posted in Advanced Topics, all, Covered Calls, dividend, Dividend Capture, ex-dividend, Options | No Comments »

DIA dividend capture

Thursday, April 22nd, 2010 | Vance Harwood

The SPDR Dow Diamond ETF is an interesting candidate for a dividend capture strategy–if you can do it in a tax sheltered account such as a traditional or ROTH IRA. On an annual basis is it yielding around 2% and it distributes dividends monthly. Its dividend payouts are not consistent month to month, they vary from an average of $0.11 in January over the last 5 years, to and average of $0.33 in October. The chart below gives details. February’s average payout is around $0.25, which is pretty close to a .25% return since the DIA is around $100 per share right now.

DIA is unusual for a index ETF offering monthly dividends, in that its ex-dividend dates are the day before the option expiration date for that month. For example DIA goes ex-dividend on 19-February and the last day of trading on the options is also the 19th with expiration on Saturday the 20th.

This arrangement sets up a straightforward dividend capture scheme using covered calls. You buy DIA and sell DIA ITM calls, with an extrinsic value (time value) of approximately the dividend value (historically about 0.25 for February). At closing today, with DIA at $101.5, this would suggest the 98 Feb call, which at $3.75 would give the target extrinsic value. The break-even point on this position will probably be 101.5-3.75 =97.75. I say probably, because there is uncertainty on whether you collect the 0.25 per share dividend or not.

Posted in Advanced Topics, all, Covered Calls, dividend, Dividend Capture, ex-dividend, Mainstream, Options | No Comments »

Dividend, Ex-Dividend, and Paydate / Distribution information for ETFs

Thursday, December 29th, 2011 | Vance Harwood

I have collected dividend, ex-dividend, paydate/distribution information for 2011 on the following ETFs. Notice the search box at the upper right of the tables.

Popular Monthly Dividends (including AGG, BIL, CSJ, DIA, HYG, IEF, JNK, PFF, TIP, TLT):

SYMBOL--	DESCRIPTION	June Ex-Dividend	June Distribution
AGG	AGG iShares Barclays Aggregate Bond Fund	1-Jun-12	7-Jun-12
BIL	BIL SPDR Barclays Capital 1-3 Month T-Bill ETF	1-Jun-12	11-Jun-12
CSJ	CSJ iShares Barclays 1-3 Year Credit Bond Fund	1-Jun-12	7-Jun-12
HYG	HYG iShares High Yield Corporate Bond Fund	1-Jun-12	7-Jun-12
IEF	IEF iShares Barclays 7-10 Year Treasury Bond Fund	1-Jun-12	7-Jun-12
INY	INY SPDR Barclays Capital New York Municipal Bond	1-Jun-12	11-Jun-12
JNK	SPDR Barclays Capital High Yield Bond	1-Jun-12	11-Jun-12
LAG	LAG SPDR Barclays Capital Aggregate Bond	1-Jun-12	11-Jun-12
LQD	iShares iBoxx $ Investment Grade Corporate Bond	1-Jun-12	7-Jun-12
MUB	iShares S&P National AMT-Free Municipal Bond Fund	1-Jun-12	7-Jun-12
PFF	PFF iShares S&P U.S. Preferred Stock Index	1-Jun-12	7-Jun-12
TIP	iShares Barclays TIPS Bond	1-Jun-12	7-Jun-12
TLT	iShares Barclays 20+ Year Treasury Bond	1-Jun-12	7-Jun-12

Popular Quarterly Dividends (including OEF, IWM, IVV, Schwab no-fee, SPY, XLU)

Sort	SYMBOL --	DESCRIPTION	Group --	Q2 Ex-dividend	Q2 Distribution / Paydate
IVE	IVE	IVE S&P 500Value Index Fund	iShares S&P	19-Jun-12	25-Jun-12
IVV	IVV	iShare S&P 500 Index Fund	iShares S&P	19-Jun-12	25-Jun-12
IWM	IWM	iShares Russell 2000 Index Fund	iShare Russell	26-Jun-12	2-July-12
OEF	OEF	OEF iShare S&P 100 Index Fund	iShares S&P	19-Jun-12	25-Jun-12
SCHA	SCHA	Schwab U.S. Small-Cap ETF™	Schwab	18-Jun-12	22-Jun-12
SCHB	SCHB	Schwab U.S. Broad Market ETF™	Schwab	18-Jun-12	22-Jun-12
SCHF	SCHF	Schwab International Equity ETF™	Schwab	18-Jun-12	22-Jun-12
SCHG	SCHG	Schwab U.S. Large–Cap Growth ETF™	Schwab	18-Jun-12	22-Jun-12
SCHV	SCHV	Schwab U.S. Large-Cap Value ETF™	Schwab	18-Jun-12	22-Jun-12
SCHX	SCHX	Schwab U.S. Large-Cap ETF™	Schwab	18-Jun-12	22-Jun-12
SPY	SPY	SPY SPDR Trust S&P 500 Index	SPDR	15-Jun-12	31-Jul-12
XLE	XLE	Energy Select Sector SPDR Fund	SPDR Sector	15-Jun-12	27-Jun-12
XLF	XLF	Financial Select Sector SPDR Fund	SPDR Sector	15-Jun-12	27-Jun-12
XLI	XLI	Industrial Select Sector SPDR Fund	SPDR Sector	15-Jun-12	27-Jun-12
XLP	XLP	Consumer Staples Select Sector SPDR Fund	SPDR Sector	15-Jun-12	27-Jun-12
XLU	XLU	Utilities Select Sector SPDR Fund	SPDR Sector	15-Jun-12	27-Jun-12