My Dividend Capture Strategy Results (It WORKED!)

I'm sharing my dividend capture strategy results & breaking them down to figure out if it's an effective investing strategy. My verdict? It's not for me - but I think it has its place for those who enjoy actively trading.
00:00 - Intro
1:11 - My Dividend Capture Strategy
2:52 - What I Learned from Dividend Capture (& What I Did Wrong)
4:32 - Analyzing My Dividend Capture Strategy Results
6:39 - Was the Dividend Capture Strategy Worth It?
8:16 - Dividend Capture Day-By-Day Recap (Every Trade I Made)
Subscribe to the channel: bit.ly/2SfWumJ
•••••••••
LINKS & RESOURCES
Benzinga Ex-Dividend Calendar:
www.benzinga.com/calendar/div...
Dividend Capture Strategy Explained:
• The Dividend Capture S...
Learn about the MANY benefits of a Roth IRA (GREAT for dividend capture):
• Roth IRA Investing Exp...
Get started with investing on Robinhood or M1 Finance:
Robinhood: join.robinhood.com/tylerm27 (Get a free stock up to $500!)
M1 Finance: m1.finance/apNm3hKCZsWC (Get $10 free!)
Interested in camera stuff? Here's the equipment I use to shoot my videos:
amzn.to/3jE8Ktp
•••••••••
I committed to the dividend capture strategy on Robinhood for one month, and to my surprise, I closed out this experiment with an impressive 15% return! Starting with $100, I managed to capture a total of $14.25 of dividends and actually grow my portfolio to $100.75.
I started with figuring out a dividend capture strategy that I thought would secure me dividends with minimal risk of price drops on the ex-dividend dates. This is a strategy I outlined in my previous video explaining dividend capture - my steps for selecting stocks included:
• Finding the highest market cap stocks on a given day (I figured more market cap = higher trading volume, less price volatility and thereby less selling at a loss)
• Analyzing the selected stocks' prices on previous ex-dividend dates (I figured if a stock held its value on a previous ex-dividend date, it might do it again)
As it turns out, these strategies didn't really work for me. Some of my biggest losses were large cap stocks like Starbucks and Clorox - having a huge market cap didn't protect them from ex-dividend price drops at all.
Furthermore, selecting these stocks often meant I was chasing SMALLER dividends. This made each dividend capture less worthwhile, and left me with greater risk of selling at a net loss.
Lastly, examining prior ex-dividend dates did not help. I think there's just too many variables to be able to predict whether a stock will go up, down or sideways when it goes ex-dividend.
But, I still made pretty impressive returns - so how is this possible when I went wrong in so many places? I compared my returns to the S&P500 to get more perspective.
During the period I was following the dividend capture strategy, the S&P500 gained 10%. I actually outperformed the market with this strategy, but I think it was more luck than anything. Interestingly, my biggest profits came from the days where the S&P500 was mostly stagnant - so maybe there's something to using this strategy during periods of slow or no growth.
Ultimately, the dividend capture strategy felt like too much day trading and not enough actual strategy. I think I could be successful again, but a lot of it relies on the markets, the stocks you pick and the time of day you buy and sell each stock.
As a "buy and hold" investor, the dividend capture strategy didn't quite click with me. I'd rather dollar-cost-average into my favorite stocks and funds then try to jump in and out of dividend stocks at the perfect time each day. But, if you're someone who enjoys doing the research and being active in the markets, then maybe the dividend capture strategy is a good fit for you!
What're your thoughts on the #DividendCapture strategy? Are you more or less interested in trying it after watching this video? Let me know your thoughts in the comments!
#DividendIncome
#DividendInvesting
•••••••••
DISCLAIMER: NOT FINANCIAL ADVICE.
The content in this video should not be used as the basis for any investment decision, as it is for entertainment purposes only. Additionally, some of the links contained in this description are affiliate links. I may earn a commission via Amazon, M1 Finance or Robinhood should you choose to purchase or sign up at the links provided.

Пікірлер: 177

  • @ValueForInvestors
    @ValueForInvestors2 жыл бұрын

    💰 Get started investing on M1 Finance w/ a $1,000 deposit and get a $30 bonus: m1finance.8bxp97.net/tyler

  • @jsunproter1940
    @jsunproter1940 Жыл бұрын

    This has been one of my core swing trading strategies I've been using for more than 15 years now. That being said it does require more time than most can give to it. I combine it with either options or use it in sync with another price action trading strategy which just mainly uses support/demand levels. Works amazingly well. Win rate is very high. Your ideas about trying to find common patterns in behavior based on different variables is exactly what i do. Since historically on the ex div day there is increased selling pressure. This does not mean the day will end up red but definitely higher than usual and the higher the payout generally there is a correlation with larger selling pressure. Coming from another angle you could 1)look at shorting opp on the day prior to the ex div date or 3) looking for a long position on the ex day. Using it as a pullback for better price entry if your bullish.

  • @jsunproter1940

    @jsunproter1940

    Жыл бұрын

    Looks like you did extremely well in Nov. I'm curious to know 2 years later if your still using this strategy or if you decided to stop using it and why? As you mentioned part of it is buying in a bull market. I still using it in bear markets like this year 2022 and it still works very well. Key is finding stocks that are still in an uptrend. Im sure you know the ones from this year im referring to

  • @barcatv1914

    @barcatv1914

    Жыл бұрын

    Im very curious can u elaborate more in detaisl the frequency u buy (every day?) wich stocks are better and if etf's are better also ur favorites etc

  • @darknessfierce4209
    @darknessfierce4209 Жыл бұрын

    Thank you for this video. Great job showing how to dividend capture, it has given me a new found strategy. Some comments I saw were critical, the video is true to title your dividend strategy free education - awesome

  • @robertsmith6408
    @robertsmith6408 Жыл бұрын

    I know you have to buy before market close the day before Ex div day. But can you sell on ex divendend day or have to wait to market close at ex div day.

  • @Scottieguru
    @Scottieguru3 жыл бұрын

    Rather than sticking with Large cap stocks; try capturing dividends from stocks that have low Beta volatility.

  • @ValueForInvestors

    @ValueForInvestors

    3 жыл бұрын

    I like that idea, thanks Scottie!

  • @Scottieguru

    @Scottieguru

    3 жыл бұрын

    @@ValueForInvestors ya, you mentioned Clorox and P&G. They have low beta scores so it isn't a panacea but I have really enjoyed your insights. Cheers to you Tyler.

  • @bccsivxx-xxivvii

    @bccsivxx-xxivvii

    3 жыл бұрын

    Also, if you have the capital to buy 100 shares, buy before the ex date and sell an OTM covered call with the next expiration date. OTM so there's little chance it can go ITM and get exercised.

  • @MultiGoodriddance

    @MultiGoodriddance

    3 жыл бұрын

    @@bccsivxx-xxivvii interesting, what's your thought process behind this idea? Collect dividend + covered call premium? Within same month ?

  • @bccsivxx-xxivvii

    @bccsivxx-xxivvii

    3 жыл бұрын

    @@MultiGoodriddance right, really buy 2 or 3 days before the ex date. Sell an OTM call for the next expiration date after the ex date. if the price drops around the ex date, which many do, the call premium will help make up that loss. If it doesn't, the premium is a bonus. If it hits the strike and they take you out, oh well, move on to the next one. You were gonna sell after the ex date anyway. You made money from the dividend, the call premium, and the increase in the stock price. If the price drops more than the premium, and/or more than the dividend (worst case scenario), be prepared to hold it for another week or so until it rebounds, and maybe sell another call on it, collect another premium. Also, you probably know this but you can buy the stock first, 100 shares, and sell the call anytime later. Doesn't have to be done at the same time, say if you think it may go up a little. You don't have to select the Covered Call option on the broker's site. Buy the 100 shares like normal, then sell a call whenever, separately. I only mention this last part because I've seen comments online where folks seem to think the combination trade is the only option.

  • @LowJackAP
    @LowJackAP3 жыл бұрын

    awesome video! I had this idea before even hearing about the dividend capture strategy and thought it could be something to look into. I love that you showed the charts of the stocks you bought before and after, which shows a really good picture of what to expect.

  • @ValueForInvestors

    @ValueForInvestors

    3 жыл бұрын

    Thanks Adam! Glad you appreciated the charts, I figured not too many viewers would make it that far. 😂

  • @jeffreytp1
    @jeffreytp13 жыл бұрын

    what was the criteria for stock selection, as each day there are numerous stocks going ex-dividend. Did you just select the highest yielding for that day? Hiw about selecting the stock with the highest aveage volume?

  • @ValueForInvestors

    @ValueForInvestors

    3 жыл бұрын

    It was a blend of both dividend yield & volume/market cap. I wanted it to be worth my while with yield, but I also wanted a stock that I expected to trade with high liquidity on the ex-dividend date.

  • @user-bh4wk1dg3e
    @user-bh4wk1dg3e9 ай бұрын

    Really enjoyed it. Would be interested to see a similar experiment with a budget of 100 dollars per trading day. Ie 2k for the 20 trading days in the month. That way you would have the flexibility of staying in for a while if you needed to. Could you try that?

  • @Luckytrashsc2
    @Luckytrashsc23 жыл бұрын

    Broker fees (and some bad luck) can easily break this strategy. I just took your numbers and re-simulated them with a 0.5% broker fee per trade, and ended the month of november 2020 at $84.06 (excluding dividends), which is -16% instead of the $100.73 you ended up with. If you then re-include dividends with taxes, you end up with $95.1, which is a final -4.9%. So with taxes and a 0.5% broker fee, this strat yields -4.9% instead of +15%. So in conclusion, it might only be worthwhile if your broker fees are non-existent or very very low (which isn't the case where I am, in EU). Just a FYI.

  • @ValueForInvestors

    @ValueForInvestors

    3 жыл бұрын

    Good point, you definitely don’t want to be paying fees on these trades! That’ll make it very hard to stay profitable.

  • @Luckytrashsc2

    @Luckytrashsc2

    3 жыл бұрын

    @@ValueForInvestors Another important point when I was analyzing your data: your single trade on the 13th with PSX turned the whole thing in your favor. It gave you +7.19% in a single trade, which is quite unusual to say the least. I know you mentioned that in your video but I don't think you ran the full numbers to reach this conclusion. Had this PSX trade turned into a lesser profit (say: +1% instead of +7.19%) you'd have ended the month with a balance of $94.93 in your account. Add the dividends and you'd have ended at about $106 total, or +6% for the strategy (still with no broker fees). That's significantly worse than the S&P 500. I've analyzed a ton of stocks which pay dividends, and I must say that a+7% share profit right at the ex-dividend date is extreeeeemely lucky: you can't count on it, especially not once per month.

  • @user-bh4wk1dg3e

    @user-bh4wk1dg3e

    9 ай бұрын

    Very interesting. You were more successful in the second half of the month. Is that because you had learnt lessons?

  • @corydehning5671
    @corydehning56713 жыл бұрын

    So having done this strategy for about 6 years now I've found it can be super scary because of well the reasons you said the stock can drop significantly right when you plan to sell. I've had to modify a bit by A. don't be super aggressive B. Trade limits not market prices. C. don't be scared to hold for a few Weeks and set your stop losses so you still have time to play ball with the kids. I keep about 50% of my portfolio on a hold pattern to get a dividend at least once a week. Then I play with about 25% trying to capture whatever extra I can and if I notice something not preforming well and need to hold I can utilize a portion of my last 25% to even out missed days. Doing it this way I'm happy to see 3 payments a week. And have enjoyed high return year of 32% and low return year of 17%.

  • @ValueForInvestors

    @ValueForInvestors

    3 жыл бұрын

    Thanks for the comment! Sounds like you’ve got a great system for making dividend captures work for you. 👏🏼

  • @corydehning5671

    @corydehning5671

    3 жыл бұрын

    Wasn't a particularly fun process to learn lol but it works well done video by the way.

  • @gabiwon

    @gabiwon

    2 жыл бұрын

    @@corydehning5671 is there any particular sort of yield percentage that you target? I find that stocks with between 3% to 4.5% tend to recover quicker after ex dividend date. Great video Tyler

  • @jankiej3395
    @jankiej33957 ай бұрын

    so 3p.m is closing of the market. in robinhood i can sell after hours at 3:01p.m would that get me out of the stock before it dropped because of the dividend payout ? or does the price drop instantly after closing.

  • @Rich72James

    @Rich72James

    6 ай бұрын

    Would be interested to know about this also

  • @ericperez1052
    @ericperez10529 ай бұрын

    Great video for exploring q dividend capture strategy

  • @davidcooper3317
    @davidcooper33173 жыл бұрын

    I have had a go it this and had some good returns in around MLP stocks and providing you don't too many in one month it is possible to work out a strategy on the ex dividend dates.. I just looked at the ex date for April and may for certain stocks and found by going back 2 years(ie April 19 and April 20) there was a two day variance.

  • @ValueForInvestors

    @ValueForInvestors

    3 жыл бұрын

    Nice! MLPs have the higher dividends and then you don’t have to worry about tracking return of capital.

  • @TopRetroCommercials
    @TopRetroCommercials Жыл бұрын

    im going to try to do it with qyld and jepi both high dividend etf they barely drop on ex date. What do you think?

  • @tonyromano8337

    @tonyromano8337

    15 күн бұрын

    Results ??

  • @gabakusa
    @gabakusa Жыл бұрын

    please make a video step by step how to see the ex dividend to put the $$ and get the dividend and get out later

  • @NeverSaid-
    @NeverSaid-3 жыл бұрын

    Try this again and maybe hedge by selling debit spread puts at the same time. You'll get the dividend and profit on the market losses around the ex dividend date.

  • @ValueForInvestors

    @ValueForInvestors

    3 жыл бұрын

    I've gotten that suggestion a few times now! Might have to give it a go. 🙂

  • @angelchristinem
    @angelchristinem Жыл бұрын

    good job. you did great with your strategy.

  • @TradingWithCJ
    @TradingWithCJ3 жыл бұрын

    Great job man!! Keep it up, thats an easy money strategy haha

  • @ValueForInvestors

    @ValueForInvestors

    3 жыл бұрын

    Thanks CJ! It went well the first time around, but I'm not sure I'll keep doing it on a daily basis after all the effort it took 😂

  • @collectionservicecorp2345

    @collectionservicecorp2345

    3 жыл бұрын

    You also need to exercise patience not so fast

  • @collectionservicecorp2345

    @collectionservicecorp2345

    3 жыл бұрын

    You Gotta put in more work but it's well worth it bye the end off month

  • @collectionservicecorp2345

    @collectionservicecorp2345

    3 жыл бұрын

    Been using that strategy but I don't take any losses always gains. Always remember ❤ the 5 PPPPP when Trading Proper Preparation Prevents Poor Performance

  • @VoiAhoyTV
    @VoiAhoyTV Жыл бұрын

    I’m going to start buying stocks a day after the ex date and hold till it goes up and wait for the next ex date to cash in on the dividends. Then wait for the price to go back and sell then repeat.

  • @ValueForInvestors

    @ValueForInvestors

    Жыл бұрын

    Nice let me know how that works for you!

  • @ShihabPersonalFinance
    @ShihabPersonalFinance3 жыл бұрын

    Will you continue with it? I thought of doing it with a covered call so I have a lower entry.

  • @ValueForInvestors

    @ValueForInvestors

    3 жыл бұрын

    No, I found it to be too time-consuming, and I don’t feel strongly that I’ll be able to repeat my success. I would like to explore dividend capture + options, but haven’t gotten around to it it! The covered call strategy sounds interesting.

  • @ShihabPersonalFinance

    @ShihabPersonalFinance

    3 жыл бұрын

    @@ValueForInvestors i have a video on this the problem with it though is you have to hold until Friday if you have a beginning of the week ex dividend date plus you need to buy 100 shares, selling an otm put on ex dividend date could also work since the dividend amount is baked in the put but if stock drops too much then you end up buying the put for a loss, maybe I should paper trade it for a month

  • @ShihabPersonalFinance

    @ShihabPersonalFinance

    3 жыл бұрын

    Here is the video kzread.info/dash/bejne/mXeolcqAo9fMhtI.html

  • @ValueForInvestors

    @ValueForInvestors

    3 жыл бұрын

    @@ShihabPersonalFinance Thanks for sharing! That's an awesome idea, definitely cuts back on the downside risk. It may even create extra profit in the event that the stock rises, which is another benefit!

  • @haydn9364
    @haydn93643 жыл бұрын

    I’ve got a question if a stock has a 12% yield for example and it’s monthly what does that mean does it mean you will only get 1% on each month?

  • @ValueForInvestors

    @ValueForInvestors

    3 жыл бұрын

    Yes, that is correct! The dividend yield is an ANNUAL figure. So it'll tell you how much of a dividend is paid every year. You have to look deeper to figure out how much is paid with each dividend - quarterly dividend stocks will pay 1/4 of the annual yield with each distribution, while monthly dividend stocks will pay 1/12 of the annual yield with each distribution.

  • @Torontogal777
    @Torontogal7772 жыл бұрын

    Very well articulated! Thanks for the video.

  • @ValueForInvestors

    @ValueForInvestors

    2 жыл бұрын

    Thank you for the comment!

  • @user-bh4wk1dg3e
    @user-bh4wk1dg3e9 ай бұрын

    In the UK it is perfectly possible to use trading 212 platform for this and they have an isa option which has no charge. So the only charge you have is 0.5 per cent stamp duty. No tax at all. So that positively affects the return. If there not another platform in usa that can use the tax free bubble you have but no trading charges?

  • @Rich72James

    @Rich72James

    6 ай бұрын

    Actually if I buy US stocks through 212, I don't have stamp duty tax. I just pay FX fee which is very low, 15p per £100 invested

  • @WB6SVS
    @WB6SVS Жыл бұрын

    Good video. I wasn't able to watch 'till the end, but did you consider taxes? I believe dividends are taxed as ordinary income unless you've owned the stock for more than one year. This applies to "qualified dividends", too. Someone will correct me on this.

  • @ValueForInvestors

    @ValueForInvestors

    Жыл бұрын

    Yes, I considered taxes both in this video and in my previous video breaking down the ins & outs of the dividend capture strategy: kzread.info/dash/bejne/aIqDlrWvgLmaiaQ.html

  • @alexandredesinor106
    @alexandredesinor1063 жыл бұрын

    Hey Tyler, this is interesting. I was taught that Dividend Capture is usually an exit strategy for a position you already plan to sell. But, I like how you use it as the investing strategy though.

  • @ValueForInvestors

    @ValueForInvestors

    3 жыл бұрын

    Thanks for the comment! I never thought about it as an exit strategy. But it makes sense if you’re planning on selling a dividend stock anyway - might as well hold long enough to get one last dividend!

  • @JacksonWelch
    @JacksonWelch3 жыл бұрын

    This channel needs way more subs!

  • @ValueForInvestors

    @ValueForInvestors

    3 жыл бұрын

    Thanks Jackson!

  • @faiqfaiyaz8974
    @faiqfaiyaz89743 жыл бұрын

    This didn't take in to account the brokerage fees correct? so per-trade, to be profitable, i would imagine the initial balance would need to be close to $10,000 to get similar % returns? or go for higher yields and do it maybe 2-4 time per month rather then everyday ?

  • @ValueForInvestors

    @ValueForInvestors

    3 жыл бұрын

    Correct! But I did this on Robinhood, where there aren’t any fees for trading. So everything shown in the video is accurate. 🙂

  • @faiqfaiyaz8974

    @faiqfaiyaz8974

    3 жыл бұрын

    @@ValueForInvestors Thanks. iam going to try this out for april. ill post the results here afterwards.

  • @haydn9364

    @haydn9364

    3 жыл бұрын

    @@faiqfaiyaz8974 so how was it

  • @faiqfaiyaz8974

    @faiqfaiyaz8974

    3 жыл бұрын

    @@haydn9364 I was able to mimic the result to some extent, got a 10.5% return on $1000 for 2 consecutive months... but its very stressful to see the prices drop post Ex date

  • @thomasthumim7630
    @thomasthumim76303 жыл бұрын

    To get the best out of capture dividend its wise to buy the stock 1 or two weeks before ex dividend because news always artificially inflates the stock value.

  • @ValueForInvestors

    @ValueForInvestors

    3 жыл бұрын

    Thanks for the comment Thomas! I think you're right, buying a little bit earlier gives you more time to capture the rise in price of the stock (or avoid overpaying). But, then you're limited to fewer dividend captures. If this can ensure better returns, fewer dividend captures might not matter though!

  • @thomasthumim7630

    @thomasthumim7630

    3 жыл бұрын

    to be honest there are two types of gains to be made from a stock. 1. Stock appreciation 📈 2. Dividends $$ Example let's say I buy 1000 share of a stock (cheap as possible) and I want to make $500 Then I can sell at positive .25 cents per share appreciation +.25 dividend for a total of .50 cents per share profit. Or Let's say I want to make $1000 per week then I need to buy the cheapest stock possible with 1000 share of a stock Then I can sell at positive .50 cents per share appreciation +.50 cents per share dividend for a total of $1 per share profit. (50/50 rule). For a total of $ 1000.00

  • @KampstaalDraad
    @KampstaalDraad2 жыл бұрын

    I wonder if one would make more by buying ex dividend and selling at pre dividend day price.

  • @ValueForInvestors

    @ValueForInvestors

    2 жыл бұрын

    I was wondering the same thing! Could be worth testing. 😁

  • @mjerez6029
    @mjerez60293 жыл бұрын

    Hi Tyler, what about short selling the stock while applying this strategy? obviously not recommended in a bullish stock! Amazing work by the way. By far the smartest and detailed reviews!

  • @ValueForInvestors

    @ValueForInvestors

    3 жыл бұрын

    That’s a technique I discussed briefly when I covered the dividend capture strategy a few weeks ago! I don’t have any experience with making those kinds of trades yet, though, so I just wanted to do the traditional approach. But I agree - if you can work it into the strategy, I think you can really expand your options and boost your returns!! Thanks so much for the comment! 😁🍻

  • @mdc8223
    @mdc8223Ай бұрын

    Thank you very much for your effort recording it!!

  • @micco6020
    @micco60203 жыл бұрын

    Are you going to try this with 60 day holds? For the tax

  • @ValueForInvestors

    @ValueForInvestors

    3 жыл бұрын

    Nope. Then I think it becomes more short-term investing and less about the dividend. If I wanted tax-efficient dividends I’d just hold a stock (or do this in a tax-advantaged account).

  • @w.s8676
    @w.s86763 жыл бұрын

    I bought XLE last friday at 3:45 pm which was the day before the ex dividend date and when the market closed put in a sell order for the same price I bought it for and it sold like ten minutes into the market open and captured the the .53 per share dividend$$$ and only owned the stock for at most 35 mins

  • @ValueForInvestors

    @ValueForInvestors

    3 жыл бұрын

    Nice! Hopefully there wasn't too much post- or pre-market action that changed the share price. 😃

  • @tocadadj2951

    @tocadadj2951

    2 жыл бұрын

    To clarify, you bought on Friday before market close and then 15 min later after market closes you sell it? I thought you needed to be in the stock on the date of the ex dividend ?

  • @GamRNightwing
    @GamRNightwing3 жыл бұрын

    I’m gonna try this in the upcoming week on Robinhood. I found 3 averaging 1.5% in dividends. I’ve done it before on Coca Cola and made like $107 or 1.98% I think at the time so I know it’s doable. If it doesn’t go well I’m thinking I try it for one week a month for a year just to minimize that risk, I’m also a buy and hold kinda investor. I’m also thinking maybe try this dividend capture strategy only when u suspect the market will crash? I was convinced it’ll crash a little amidst this stimulus news. Great video dude

  • @ValueForInvestors

    @ValueForInvestors

    3 жыл бұрын

    Good luck with your dividend captures! Like you say, it's doable, but definitely hard to predict the times where it will be most effective. I like your idea of doing it just one week per month... I think it would be great to identify a handful of stocks that are solid for dividend captures, then just target them exclusively throughout the year (but with more aggressive positions). Maybe this is something I'll look into next. Thanks for the comment! 🍻

  • @haydn9364

    @haydn9364

    3 жыл бұрын

    How was the strategy for you

  • @jdu2584
    @jdu25843 жыл бұрын

    I notice you sell at random times on the ex-div date. Sometimes the stock was up but by the time you get up 😀, it’s already down. I think this could be a big variable in the overall return. I wonder if you could place a limit sell (assume you do another experiment with more money to buy whole shares) as you buy the stock before the ex-date, you would get more consistent results? Let’s say you study the historical prices and place a limit sell (stop win) or stop sell (stop loss) based on those.

  • @ValueForInvestors

    @ValueForInvestors

    3 жыл бұрын

    Yes, I totally agree! Selling at random times was tough, because like I said, I felt trapped into watching the charts each morning (not something I typically enjoy doing). I think the ability to set some sell orders would definitely help your returns by minimizing losses.

  • @PatPauloMMA
    @PatPauloMMA2 жыл бұрын

    I wish I could invest in a channel. I would invest in this channel for sure. I see six figure subscribers in this channel’s future.

  • @ValueForInvestors

    @ValueForInvestors

    2 жыл бұрын

    Thanks Patrick! 🙌

  • @USARMY3450
    @USARMY34507 ай бұрын

    Thank you

  • @tedc1928
    @tedc19282 жыл бұрын

    How did you trade everyday without getting a pattern valuation? Isn't it 3 trades per week is allow?

  • @ValueForInvestors

    @ValueForInvestors

    2 жыл бұрын

    Not sure, just traded on Robinhood. No issues for me 🤷🏼‍♂️

  • @Jry088

    @Jry088

    Жыл бұрын

    As long as you're not buying and selling on the same day. He bought and sold on different days.

  • @heisrisen560
    @heisrisen560 Жыл бұрын

    Dividend capture can work BUT you can’t hope to sell the very next day on most stocks because they have a “recover time” I’ve seen stocks recover in a few days to a few weeks it takes patience, not to be harsh but it was a dumb move to sell Clorox that quickly as it swings quite a bit 😇 if you would of held for a lil bit you could of made your money back and then some remember there’s no free lunch Or perfect strategy remember this isn’t day trading 😉

  • @eugenemcmurray567
    @eugenemcmurray5673 жыл бұрын

    How about adding a near-term ATM-covered call to this strategy? Buy your shares immediately write the call, have the additional downside hedge.

  • @ValueForInvestors

    @ValueForInvestors

    3 жыл бұрын

    That's a great idea, and it could also generate more income with each capture! The only issue is the upfront cost - I did this with $100, and it would take much more to buy 100 shares of every stock I was capturing dividends with.

  • @shanedavison7473
    @shanedavison74732 жыл бұрын

    Most brokers make you wait 3 days for the sale of stock to clear before you can buy another stock. How did you get around that problem?

  • @ValueForInvestors

    @ValueForInvestors

    2 жыл бұрын

    Idk, I just sold 🤷🏼‍♂️

  • @passivedividendsoptions

    @passivedividendsoptions

    Жыл бұрын

    Margin accounts

  • @krism8327
    @krism83273 жыл бұрын

    Amazing video and great video format.

  • @ValueForInvestors

    @ValueForInvestors

    3 жыл бұрын

    Thanks so much Kris! 🍻

  • @thomasvasili8171
    @thomasvasili81713 жыл бұрын

    great video! you obviously put so much effort to this!

  • @ValueForInvestors

    @ValueForInvestors

    3 жыл бұрын

    Thanks Thomas! 😃

  • @t3fLoN77
    @t3fLoN773 жыл бұрын

    Based on your chart (compared to SPX) it looks like you got better as the month went on. It seems that your trade performance effects the entire aggregate process (IE: if you blow a trade early in the process it will negatively impact all subsequent trades since you’ll be entering with less money). You should do the same experiment but start with fresh $100 entries every day (regardless of the previous days performance) and then just let each trade profit accumulate based on a fresh $100 entry. Then the dividend capture profits will be based on each trade, not so much one bad trade (esp early on) hurting the whole process.

  • @ValueForInvestors

    @ValueForInvestors

    3 жыл бұрын

    That's a really interesting idea! The trade performance was definitely a huge factor here, which made it tough to accurately judge the efficacy of the strategy. I'll keep this in mind if I give it another go. 😃

  • @CIAragDe
    @CIAragDe Жыл бұрын

    Can you do this in your Roth IRA?

  • @buckeye200175
    @buckeye2001752 жыл бұрын

    Tracy companies with historical rising dividends and in upside twenty day average charts

  • @Rs-qc8mq
    @Rs-qc8mq2 жыл бұрын

    You didnt adjust the returns for sp500

  • @shadowpig60
    @shadowpig603 жыл бұрын

    I'm thinking of doing this, but instead of trying to get a dividend daily, but instead having a list of daily ex div days and taking the div, then waiting for the stock it go back up in price so missing a few days potentially but once it stabilizes sell out. Cause most do restablize with in a week or two, I think it'd make dividend returns lower but not as much lost on the stocks in general

  • @ValueForInvestors

    @ValueForInvestors

    3 жыл бұрын

    That's an interesting idea! I could see how that might limit your losses. You just have to be comfortable holding the stock for a few weeks - and at that point, hopefully you've gotten a pretty large dividend to make up for the time you have to wait for the price to recover.

  • @haydn9364

    @haydn9364

    3 жыл бұрын

    How was it

  • @shadowpig60

    @shadowpig60

    3 жыл бұрын

    @@haydn9364 I only did a total of 5 buys with 500 dollars but twice I sold the stock immediately for profit while twice I had to sit with it for more then two weeks, while others just a few days to go even. It was okay but risk is there plus taxes

  • @haydn9364

    @haydn9364

    3 жыл бұрын

    @@shadowpig60 how much yield % did you go for?

  • @shadowpig60

    @shadowpig60

    3 жыл бұрын

    @@haydn9364 I played it safe picking long dividend history not yield so I'd say on average 2% dividend aristocrats were the quickest sales

  • @TreesOnTheBeach
    @TreesOnTheBeach2 жыл бұрын

    This can work well with special dividends. I just got a $7100 dividend from MCFE. I did sell at a $1900 loss, but it was still $5200 profit. Not bad for a week.

  • @ValueForInvestors

    @ValueForInvestors

    2 жыл бұрын

    That sounds awesome! Special dividends are a great opportunity for this. 🔥

  • @feyungco
    @feyungco Жыл бұрын

    are you still using the strategy?

  • @AshAnwar
    @AshAnwar3 жыл бұрын

    Wonder how well this would perform over the course of the year, especially if you have invested $1,000 or $10,000.

  • @ValueForInvestors

    @ValueForInvestors

    3 жыл бұрын

    Difficult to say, I think 🤔 I had some lucky and unlucky days. I think more lucky than not - I imagine my returns would be a little lower over longer periods. But, the percentages would be the same no matter how much you invest 🤷🏼‍♂️

  • @Flintsnake
    @Flintsnake2 жыл бұрын

    What does people think about the fact that you only go for stocks where the dividend would be 1% for your trade value.

  • @ValueForInvestors

    @ValueForInvestors

    2 жыл бұрын

    Yeah, I could've gone more aggressive with the dividend yield, but I wanted to make sure there was plenty of trade volume to offload the shares the next day! There are a lot of interesting ways to play this strategy.

  • @milliern
    @milliern3 жыл бұрын

    Great video. I really appreciate the empirical data and analysis of your breakdown. I think it is generally correct, consistent with the papers you highlighted in your previous video. However, I think there is one major thing you didn't account for, which is that your will have compounded dividend increase over the course of the 12 months, prior to the time that taxes will be due. Additionally, the compounding for the first year actually runs through to approximately when you do your taxes in the first year, so you get a few extra months of compounded growth before taxes, unless I'm missing something. I'm assuming you rolled over dividends into your next dividend reinvestment, so I imagine there's already a statistically significant growth over the index, even if we are talking about very thin value. But like you said, it's a lot of work to get fractions of a percentage point over the market.

  • @ValueForInvestors

    @ValueForInvestors

    3 жыл бұрын

    Great point David! If you can compound this strategy throughout the year, you can definitely squeeze out a few more dollars. I think I only received one or two dividends over the course of this experiment... most of them dropped in my account the following month. Maybe this deserves a longer trial. 😃

  • @victormcleod3516
    @victormcleod351611 ай бұрын

    Ok here it is, I need everyone to take $110,000, perform a cash secured put option via TSLY with a strike price of $13.00. Seems way more advantageous to trade options on this stock rather than owning it. I was about to buy 5500 shares until I did the math on options.

  • @Mr.Matt.Hutchinson
    @Mr.Matt.Hutchinson2 жыл бұрын

    Kind of a newbie here, but since you were working with a base of $100 that you were rolling over to each stock, if you used, say $500, your gains would have been even higher, correct? I guess that's kind of obvious? 🤔

  • @ValueForInvestors

    @ValueForInvestors

    2 жыл бұрын

    You have the right idea! The percentages would've been the same - dividend yield %, gain/loss %... so while the dollar value changes, the percent returns would've been constant regardless of how much money I used.

  • @inquirer1016
    @inquirer10162 ай бұрын

    That only works if the stock recovers quickly after ex dividend drop. Don’t count on it though.

  • @FrontlineFilament
    @FrontlineFilament3 жыл бұрын

    how'd you do it everyday with only a hundred dollars? you have to hold stock through the ex day and that's a 2 day period... and if you trade faster somehow you'll get hit with pdt restrictions on robinhood and locked out with less than 25k. Explain...

  • @ValueForInvestors

    @ValueForInvestors

    3 жыл бұрын

    Nope, you can sell on the ex date and still get the dividend. So I’d buy the day before, secure the dividend by holding the stock at market close, then sell the next morning on the ex date. After the sale went through I’d buy the next stock. I’m not sure what restrictions you’re referring to - this didn’t qualify as day trading and I didn’t run into any other issues. 🤷🏼‍♂️

  • @GoingGreenMom
    @GoingGreenMom3 жыл бұрын

    Slow it down to 3 or 4 per month with higher yields and you will probably feel better about it.

  • @ValueForInvestors

    @ValueForInvestors

    3 жыл бұрын

    I think you’re right! Daily dividend captures were a little draining. 😅

  • @GoingGreenMom

    @GoingGreenMom

    3 жыл бұрын

    @@ValueForInvestors lol. Daily seems crazy to me! I don't typically sell at a loss, but have probably 5 or 6 monthly payers that cover roughly beginning, middle, and end of the month. All ETFs. I just cycle the funds through each one. Sometimes it helps to split the money half between 2 if maybe they aren't as high a volume, or if one is going down instead of up that week for some reason. The ones I really like I try to get in as soon as I can, even a week or so out, they steadily go up, cover the drop from the dividends, and I can still sell the next day without a loss. Otherwise it might take several days to get back up..... I just set limit orders at my buy price or a little over until they execute.

  • @jeffreytp1

    @jeffreytp1

    3 жыл бұрын

    @@GoingGreenMom that's great. What ETF's are you using?

  • @GoingGreenMom

    @GoingGreenMom

    3 жыл бұрын

    @@jeffreytp1 They have changed since then, so not sure exactly which ones I was using at the time. My basic strategy has been to build a watchlist of ones I think might work. I don't go under 5%, but am mainly looking for long term trajectory going up and to the right, monthly pay, then go through the list based on the next dates I can get into and have a few days.... And I'm wanting the last month of charts to be either up, or short term dipped and heading back up. And I do use CEFs as well as ETFs.

  • @ScriptedHearts
    @ScriptedHearts3 жыл бұрын

    Thank you for giving me something to think about & possibly even execute 😉

  • @ValueForInvestors

    @ValueForInvestors

    3 жыл бұрын

    Nice, glad I could help! Best of luck if you give it a try. 😀

  • @kevinlue4756
    @kevinlue47563 жыл бұрын

    One of the first things you learn about dividend stocks is the price drops on the dividend ex date by the price of the dividend. Its just how the math works. The rest of the market does not stop on that day, so stocks still go up or down. You would achieve the same random results by arbitrarily picking any other day to buy the stock and sell it the next day.

  • @ValueForInvestors

    @ValueForInvestors

    3 жыл бұрын

    But I proved that this isn’t the case - in most of my dividend captures, the stock DIDN’T drop by the price of the dividend. I agree that there is still some unpredictability involved, which is why this is a tough strategy to do consistently.

  • @kevinlue4756

    @kevinlue4756

    3 жыл бұрын

    @@ValueForInvestors I do like this experiment and that you were brave enough to try it. I think it's drops early in opening, but there are still many other factors and people trading during the rest of the market hours.

  • @kuladoma3
    @kuladoma32 жыл бұрын

    I am using Gab and Usoi Ryld Qyld CLM CRF PDI NLY using the swing trade and dividend capture working very well for me. It all depends on when I buy at the low price few days before EX div date. My cash account is little over 50000 now I started with 40000 May 1, 2022. Also, I stick with high volume ETF and also using Chase and TDA for my accounts. I hate robin hood they seem crappy i used it for 2 months just hated it.

  • @whitedwarf29
    @whitedwarf292 жыл бұрын

    like what you did here only difference is that i would have split my $$ in 3rds .. ex.. 33 on xyz and on the day i wanted to sell i would have put in a limit sell and just ride it out till the share price broke even and while thats happening i would have put up my next 33 and repeated the process. hopefully all three parts would not have been incumbered at the same time . I have found that alot of stocks recover if not the next day, maybe just a few days later. lastly i would have only got into trades where i could buy full shares so that getting out would be easier.

  • @ValueForInvestors

    @ValueForInvestors

    2 жыл бұрын

    I like that idea! So many ways to go about this. If I wasn’t impatient I probably could’ve eliminated most of my losses.

  • @denisk3269
    @denisk32693 жыл бұрын

    Thanks for the video. You are so cute :)

  • @ValueForInvestors

    @ValueForInvestors

    3 жыл бұрын

    Thanks for the comment! 😃

  • @Corney-wj9pj
    @Corney-wj9pj2 жыл бұрын

    Im not active doing this right now but ive been researching combining put options to offset price drop. Also as a squeeze trader i was thinking adding a stop loss equal to 90% of the dividend profit right before close the day before ex dividend. That way if the stock drops you still capture 10% of the dividend profit worst case but if earnings are good you can capture share profit. What do you think? Also great videos!

  • @ValueForInvestors

    @ValueForInvestors

    2 жыл бұрын

    A stop loss sounds like a good way to eliminate any big losses during the process. I’ve also been really interested in the idea of combining options with dividend capture to play off the expected price drop. Eventually I’d like to experiment with that more, but there are a lot of moving parts and I want to make sure I get it right!

  • @jsunproter1940

    @jsunproter1940

    Жыл бұрын

    Test it and see if it works

  • @DestroyerDunnski
    @DestroyerDunnski2 жыл бұрын

    0.69 shares of Johnson's. Nice.

  • @ValueForInvestors

    @ValueForInvestors

    2 жыл бұрын

    😂

  • @darthtrader4762
    @darthtrader47623 жыл бұрын

    That 33.09c sale has nothing to do with volume. It's slippage. That's why you should always use a traditional broker when using bigger money

  • @collectionservicecorp2345
    @collectionservicecorp23453 жыл бұрын

    You are doing it all wrong buy Good video. Number 1 nevertheless use all your Profolo u should used only 2% off the one hundred dollar and DCA all lost so you don't loose money Number 2 stock picks are not paying Highest dividend for November only one stock you bought in November that i bought Number 3 never cut lost for less money 💰 you are earning in the next Trad

  • @collectionservicecorp2345

    @collectionservicecorp2345

    3 жыл бұрын

    I meant still Good Video it take time to make

  • @ValueForInvestors

    @ValueForInvestors

    3 жыл бұрын

    $100 wasn’t all of my portfolio, just the amount I decided to use for this strategy. I agree that I wouldn’t put a whole portfolio on this strategy. I discussed at the beginning why I didn’t aim for the highest possible dividends. How did your dividend capture go by chasing the highest dividends of the day? I agree with your last point, too, which I also discussed in the video. Ordinarily I would hold a stock for several days or weeks if it were at a loss. But, I wanted to test an aggressive dividend capture, so I committed to buying/selling everyday. There are certainly other ways of doing it, that’s just how I chose to test it! Thanks for leaving a comment!

  • @sshumkaer
    @sshumkaer3 жыл бұрын

    First thing you did wrong was only using 100 dollars. 2nd low yield. Had you been aiming for 50 to 100 dollar returns you would feel much differently. As the high payouts off set taxes and depreciation. I still say if you have little money this is one of the best ways to grow some serious cash in short time. Than move it into AT&T or Realty Income. Than start the process over, before you know it your less than 1k has grown to 10k, than to 50k and now thing's are rolling. Living that shitty job seems more likely

  • @ValueForInvestors

    @ValueForInvestors

    3 жыл бұрын

    Whether I used $100 or $1million, the results would've been the same percentage-wise. Same goes for taxes. So I don't know if that is the right argument. 🤔

  • @haydn9364

    @haydn9364

    3 жыл бұрын

    How was the strategy for you?

  • @tonywiggins3059
    @tonywiggins30592 жыл бұрын

    Might try $100 over 3 months with covered call ETF's. Some pay monthly and you could be in and out of the ETF 3 times in a quarter. $SLVO and $QYLD would be two EFT's to check back data on to see if the ETF price drops on the ex-dividend date.

  • @ValueForInvestors

    @ValueForInvestors

    2 жыл бұрын

    That sounds awesome Tony, good luck! 👏🏼

  • @Dean-rs2nt
    @Dean-rs2nt Жыл бұрын

    These stocks wherd waaay to highly priced for you to be doing this.. you should have been using stocks that cost 10 dollars or less

  • @davidjames1684
    @davidjames16843 жыл бұрын

    This video could have been so much shorter. Just show us day by day which dividend stock you bought and sold (entry and exit prices, # of shares, and dividend captured). Also, 1 month is not really conclusive because it is not enough of a sample. 3 months of doing this would be a better average.

  • @ValueForInvestors

    @ValueForInvestors

    3 жыл бұрын

    I did that. Excuse me for providing as much information as possible. 😂 I agree that 1 month is a poor sample - I mentioned this and all the other things that make studying the dividend capture strategy difficult. I appreciate critical comments when they’re constructive but you’re not really providing much value here.

  • @davidjames1684

    @davidjames1684

    3 жыл бұрын

    @@ValueForInvestors You are reading off stuff that is already up on the screen so it that for the benefit of blind people?

  • @aladdin8372
    @aladdin83722 жыл бұрын

    cant believe you have 13k followers with that kind of video you dont even understand what is a dividend and you try to explain it to your channel if a stock is 100$ and you own it the day of the ex dividend date if the dividend yield is 4% at the beggin of the market 1% will be detached from the stock price so the day stock price will start at 99$ but everyone who owned will now have 1$ on the pay date now if the stock raise from 99$ to 101$ that just mean the market moved the stock.

  • @ValueForInvestors

    @ValueForInvestors

    2 жыл бұрын

    I can’t believe you don’t understand 🤦🏼‍♂️ 😂 markets are inefficient. The success of dividend capture strategies prove it. I broke it down in a previous video but you’re clearly just here to troll

  • @aladdin8372

    @aladdin8372

    2 жыл бұрын

    @@ValueForInvestors keep learning others your strategy you sadly have no idee how bad you are. You clearly need to learn how dividend work im not going to argument a 30 years old boy who is happy because he gain 15$ on bull market... lol 15$ Go see channel Everything Money and try to understand how dividend work cause you are pretty pathetic lol.

  • @TA-uj7ez
    @TA-uj7ez2 жыл бұрын

    Bad video. In 2020 all stocks were low and were rising each day. In a UP trend all strategies work. This doesnt mean ur strategy is good. No offence.

  • @ValueForInvestors

    @ValueForInvestors

    2 жыл бұрын

    I didn't say the strategy was good - I specifically mentioned that I probably got lucky doing this during a rising month. Bad comment.

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