Exchange Currency

synthetic dividend

Strategy for generating dividend-like payments from a non-dividend-paying stock position, by writing a call option covered by an equivalent position owned by the investor. The premiums generated by writing successive covered call options amount to periodic payments similar to dividends.

Related information about synthetic dividend:
  1. Synthetic Dividend Definition | Investopedia
    A type of incoming cash flow that an investor creates with certain financial securities to produce a dividend-like payment stream that resembles the periodic cash ...
     
  2. Creating A Synthetic Dividend For Stingy Cash Rich Companies ...
    Jan 11, 2012 ... Investors love stocks that pay dividends ... and rightly so. Dividends have accounted for over 40% of the total annual return of the S&P 500 ...
     
  3. 3 (Synthetic) Dividend Stocks For Any Portfolio - Seeking Alpha
    3 (Synthetic) Dividend Stocks For Any Portfolio. October 5, 2011 by: Simon Monger | includes: CMG, FFIV, PPO. Chipotle Mexican Grill Inc. (CMG), F5 Networks ...
     
  4. Synthetic Dividend Definition - What is Synthetic Dividend?
    What is Synthetic Dividend? Find out right now with a helpful definition and links related to Synthetic Dividend.
     
  5. What is synthetic dividend? definition and meaning
    Definition of synthetic dividend: Strategy for generating dividend-like payments from a non-dividend-paying stock position, by writing a call option covered by an ...
     
  6. A Synthetic Dividend
    Nov 19, 2007 ... A Synthetic Dividend. Your clients may use bonds to meet current and future income needs. While bonds pay steady income, using them ...
     
  7. Dividend Strips and the Term Structure of Equity - Tepper School of ...
    synthetic dividend strips, which shed light on the pricing of risks at different ... We show that the return moments of synthetic dividend strips can be significantly ...
     
  8. Dividend Strips and the Term Structure of Equity Risk Premia: A ...
    We show that using synthetic dividend strips to infer the term structure of equity ... correlation, about -30% at a monthly frequency, of the synthetic dividend ...