August 22, 2010

When doing the Dingoes of the ASX strategy do you use the last reported dividend yield or the est. div yield?

By Planet Wealth

Topics: stock market | 1 Comment »

One Response to “When doing the Dingoes of the ASX strategy do you use the last reported dividend yield or the est. div yield?”

  1. zman492 Says:
    August 22nd, 2010 at 7:56 am

    Since the Dingoes is simply the Australian version of the DJIA Dogs, I would calculate the yield the same way. Here is how the Motley Fool tells you to calculate the yield for the dogs:

    "Take the latest declared dividend, multiply by 4 (to get the annual amount), and divide by the stock’s price. That’s your yield."

    http://www.fool.com/school/dowinvesting/dowinvesting.htm

    That obviously assumes there are four equal quarterly dividends per year. That assumption may be right for the DJIA 30 but not the ASX 50, but the principle still applies. Use the last declared dividend. It does not matter if that dividend has been paid yet or not.

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