Dividends on OTC market in New York

Dividends on OTC market in New York

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L'Supreemo · External communityPost link
External question — Personal Finance Stack Exchange Author: L'Supreemo Original post: https://money.stackexchange.com/questions/161700 License: CC BY-SA 4.0 — https://creativecommons.org/licenses/by-sa/4.0/ Adaptation: HTML converted to plain text; contact email addresses removed. A stock trades on the Bors exchange in Oslo, which is now closed for the day. Tomorrow is ex-div for that stock. The same company trades OTC in New York, which is still open, and is the same company under a different symbol If I buy it OTC in New York today, do I get the dividend? Thank you!
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D Stanley · External communityPost link
External answer — Personal Finance Stack Exchange Author: D Stanley Original post: https://money.stackexchange.com/a/161703 License: CC BY-SA 4.0 — https://creativecommons.org/licenses/by-sa/4.0/ Adaptation: HTML converted to plain text; contact email addresses removed. Most likely you will not get the dividend because trading in Oslo will not resume until the ex-div date (typically, dividends go to the owners of record before market close on the day before the ex-div date). In any case, you will get one of two things - the stock at the price before the dividend and the rights to the dividend, or you'll get no dividend, but get the stock at a similar price minus the dividend. You won't get the stock at the lower post-dividend price AND the dividend (no free lunch). For example, if the stock is trading at 100 and announces a dividend of 5, one option is you pay 100 for the stock today, the value of the stock will drop to 95 on the ex-div date, and you'll eventually get a dividend of 5. Or, you'll pay 95 for the stock and not get a dividend. Either way you'll end up with 95 less cash than before and a stock worth 95 (per share, of course). (I'm intentionally ignoring "normal" market fluctuations, just focusing on the effect of the dividend)
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Quoted from Forex.com.bd-Editorial External question — Personal Finance Stack Exchange Author: L'Supreemo Source score (net votes, not local likes): 2 Original post: https://money.stackexchange.com/questions/161700 License: CC BY-SA 4.0 — https://creativecommons.org/licenses/by-sa/4.0/ Adaptation: HTML converted to plain text; contact email addresses removed. A stock trades on the Bors exchange in Oslo, which is now closed for the day. Tomorrow is ex-div for that stock. The same company trades OTC in New York, which is still open, and is the same company under a different symbol If I buy it OTC in New York today, do I get the dividend? Thank you!

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