I have a substantial allocation of a single stock, which I want to reduce my position in. In May they are paying record high dividends so I will keep them until that time, it's not a very volatile stock and a big diversified company so I believe the risk is small to the best of my knowledge. It's not because they are paying record high dividends that I want to defer selling, but the gain from selling the stock now is less than the dividend payout.
Looking at past years' general meeting minutes, there is a statement that says the Group's shares will be listed on the stock exchange exclusive of dividends as from <insert date here>. My question is: is this a statement that just records the fact that you are no longer eligible for dividends for the previous year after that date? Looking at historical share prices for this stock for 2014, there is absolutely no movement in the stock price either just before or just after the dividend dates (dividends are about 3% of share price), should the stock price normally drop around this period?
Hope the question makes sense.
Best Regards