Note that a few industries, such asreal estate investment trusts (REITs)andmaster limited partnerships (MLPs), do not use earnings or free cash flow to calculate their payout ratios. They rely instead on industry-specific metrics likeadjusted funds from operations (AFFO)and distributable cash flow...
When it actually distributes the dividend shares to stockholders, the company shifts the value of the dividend from the common stock dividend distributable account to its paid-in capital accounts. No money has actually changed hands, and the total value of stockholders' equity hasn't changed. The...
You can use the TDS Calculator to calculate the tax deducted at source on dividend income earned through mutual funds. Taxation on Mutual Fund Capital Gains The tax on mutual fund capital gains depends on the type of mutual fund scheme you are invested in and how long you have held the uni...
Capital reductions are done for a variety of reasons. These include creating distributable reserves, so as to pay dividends in the future, returning surplus capital back to shareholders, when going through a de-merger, simplifying the capital structure to be more efficient, and reducing or eliminat...
Stock screeners tend to get the stats on these firms dead wrong. The solution? We must calculate these numbers ourselves. It’s a bit of work, sure, but it’s also how we bag big dividends that most investors don’t even know about. ...