The declaration/announcement date is the date on which the board of directors, or leading party of any said company announces and approves the payment of the dividend. This includes the size of the dividend being issued as well as outlines the record date and payment date.

Also known as a reinvestment date, is an investment term involving the timing of payment of dividends on stocks of corporations, trusts, and other financial holdings, both publicly and privately held. YOU MUST BUY STOCKS BEFORE THE EX DIVIDEND DATE TO RECEIVE THE CURRENT DIVIDENDS! In contrast to the record date the ex-dividend date represents the cutoff date for share ownership pertaining to the current dividend payment process.

The record date finalizes the transfer of the stocks ownership. The new buyer is now the owner on record and eligible for dividends.

This is the actual day in which the company will pay its eligible shareholders. Traditionally it is less than a month from the ex-dividend date.

A person who owns any share in a company.

 A mutual fund is a professionally managed investment fund that pools money from a multitude of investors and shareholders to purchase securities in a series of diversified holdings. Mutual funds only trade once a day after the market closes.

Financial instruments that hold value and can be traded between parties. A security is a broad term referring to stocks, bonds, mutual funds, exchange traded funds, and certain types of investments that are bought and sold.

An exchange-traded fund is a collection of securities that trades on an exchange just like a stock does.

A holding company is a company whose primary purpose is holding securities of other companies.

A bond is defined as a loan taken out by a company. Instead of going to a bank, the company will go to its investors to sell bonds for capital. In exchange for this capital, the company will pay an interest rate based on a percentage of the bond's value. Traditionally annual.

Capital raised by a business or corporation through the issuance or subscription of shares.

Contract between two parties, such as a company and an employee, that gives the owner of the option the right (but not the obligation) to purchase or sell stocks at an agreed upon price. Also known as the “grant price” this allows employees to buy into the business they work for traditionally for a limited amount of time for that price. It can also be offered to anyone by the company.

Companies that own or finance income-producing real estate across a range of property sectors. (apartments, investments, etc). 

       5a.   Real Estate investment trusts are one of the few companies that traditionally pay dividends monthly. These REIT’s (as they are commonly called) are used often as common investments as they compound faster.

Every company, limited partnership, mutual fund, real estate investment fund, etc all have a unique symbol or acronym that they are represented with on the market.

Wealth in the form of money or assets owned by a person, company, or an organization with the particular purpose of starting a company or investing.

A sum of money paid to an employee or company upon completion of a task. Many companies will apply a commission to most sales as an employee incentive or a way to make profit.

Quite simply there is a small fee to buy and sell stocks or shares in most cases. Many tools can be utilized with little to no transaction costs.

The average dividend will pay somewhere between 2% to 5% of the total cost of the share if brokers are involved as a commission, we at www.tradingfordividends.com are not brokers and do not charge commission. Also using systems like td ameritrade are essential commission free. They charge for some things though such as options trading as well as OTC (Over-the-counter) stocks. They also have no deposit minimum, trading minimums, or hidden fees. These sites are a great way to learn these skills with minimal risk until you feel comfortable.

Money you can afford to lose, or more specifically. Personal financial capital or cash allocated or assigned to a risky portfolio of assets or certain liabilities to help absorb shortfalls in net asset value.

Over-the-counter securities are stocks that are not listed on the major exchange and are instead traded through a private broker dealer network. As we are not brokers we do not deal with OTC trades.

Profit from a sale of an investment, or profit developed when an asset is sold for more than the price it was purchased for.

Losses during a sale of an investment, or losses incurred when an asset is sold for less then the price it was purchased for.

Are investments made with the intent of keeping them for less than three years. In terms of Dividend Capture, short term investments are typically less than 20 days.

Digital currency, an alternative form of payment created using encryption algorithms. These transactions are verified and maintained by a decentralized system using cryptography. Rather than a centralized authority. They are an outlet for personal wealth that are beyond restriction and confiscation. They function as both currency and a virtual accounting system.

Investments that an individual intends to hold for a term of more than three years.

To sell a stock before an expected fall, rebuying it at the predicted lower price. Therefore making profit at the higher price.