
Thanks. You got to the heart of what I was asking. Specifically, if a dividend was regular, could people buy and sell the stock for the purposes of capturing dividends.
I figured it was something like that, but it seems sort of archaic. You think with everything computerized these days, they could pro-rate the dividend payout depending on what percentage of the dividend period you held the stock...
Yes, stocks such as GE (for example) see large upticks in buys during the announced ownership period, then the stock sells off after the dividend announcement. Unless you are planning on buying millions of dollars of stock, I don't recommend this strategy.






