History shows there is enough momentum leading into an ex-dividend date and beyond to extract profits. In this eBook Nick Radge, The Chartist, introduces a simple rule-based approach to capture these potential gains, as well as protect capital during a GFC-type bear market. This is a short, straight to the point, no-fluff eBook ideal for investors wanting to take advantage of dividends. The strategy is written for and tested on the ASX, the Australian stock market.

Nick Radge decided to revisit the dividend momentum research he had done back in 2005 on trading in and around dividends. Nick wanted to see if the findings he investigated back then were not only still available today, but also to see how they’d weathered the GFC in the interim.

Whilst the basis of this eBook is the Australian market, the concepts and methods apply to global markets as well.

Dividends in the Australian market are especially important to a large portion of investors, namely retirees, as some of the largest, safest and well respected companies pay very high dividends which are pursued with vigour. 

A dividend is a sum of money paid regularly by a company to its shareholders out of its profits or cash reserves. In Australia dividends are paid bi-annually whereas in the US most companies pay dividends quarterly. The consistent payment of dividends constitutes an income for many investors, although higher dividend paying stocks tend to have lower growth potential. Some investors like trading for dividends. The popularity of dividend yielding stock has grown since the GFC as western economies have decreased interest rates on term deposits and bonds to all-time low levels.

There are a number of dividend specific terms used in thsi eBook. They are explained in the book or you can view a Glossary of trading & stock markt terms here.