Dividend Yield
yep to the 1st bit about 6% (but div% quotes in the media and stuff are often done using last paid div and current share price) so you need to make allowances for what the next div % might actually be (up or down).
The ex day is the cut-off for ownership to get the div.. if you buy on the ex day (or after that day) then you get nothing until the next divdend comes around (usually 6 months). On the ex day the share price will usually drop by about the same $$ as the dividend amount.
Also, the div often comes with a franking $$ amount of extra money is classed as part of you annual income…. additional to what is usually quoted in the 6% figure unless that 6% is specifically written as grossed up dividend………..that extra franking credit money goes to the tax office in your name (rather than into your bank account) and it gets sorted out at tax return time (you either get some back or pay extra depending on your tax % rate compared to the franking % rate)
Hope that answers some of those questions.
