Exchange Traded Funds (ETFs) are essentially managed investments that are bought and sold on a stock exchange. ETFs are traded in the same way you buy shares on the Australian Securities Exchange (ASX). They can be a simple and low-cost way to get investment returns and provide a diversified investment in one simple transaction. How […]
Archives for July 2018
Why Do Share Prices Drop After a Dividend Payment?
Share prices often drop by the amount the dividends are paid. Why does this happen? The answer is quite logical; when the company pays out the dividend, the value of the company is reduced by the amount of the total payout. In other words, the amount paid out in dividends no longer belongs to the […]