The table below lists Vanguard mutual funds and exchange-traded funds (ETFs) that will distribute quarterly income dividends in September 2013.
Each fund's per-share dividend rate will be posted on the vanguard.com distributions page on the fund's declaration date. (Typically, this information is posted during the evening of the declaration date, so you may wish to wait until the following day to check.) Once the distribution amount is posted, you can log on to your account and view dividends for funds you own. The record date, payable date, reinvestment date, and other fund dividend information will also be available.
Don't see your fund?
Not all mutual funds distribute dividends on a quarterly basis. Some dividends are issued monthly, semiannually, or annually. See our distributions page for a complete list of all scheduled distributions....
Following advice I've seen on the forum, I don't re-invest dividends automatically, and steer dividends and other cash to funds/ETFs that are below allocation.
Question: Is there a rule of thumb as to when one should invest cash flows or dividends with respect to quarterly dividend distributions? With cash flows - day before / day of / after? With dividends - day of / after? Or does it not really matter?
Following advice I've seen on the forum, I don't re-invest dividends automatically, and steer dividends and other cash to funds/ETFs that are below allocation.
Question: Is there a rule of thumb as to when one should invest cash flows or dividends with respect to quarterly dividend distributions? With cash flows - day before / day of / after? With dividends - day of / after? Or does it not really matter?
In an IRA, it does not matter when you invest with respect to distributions. In a taxable account, it is better to invest after the fund goes ex-dividend. This avoids getting a taxable distribution on holdings you just bought.
Jeff
jsl11 wrote:In an IRA, it does not matter when you invest with respect to distributions. In a taxable account, it is better to invest after the fund goes ex-dividend. This avoids getting a taxable distribution on holdings you just bought.
Jeff
Thank you. I wasn't as clear as I should have been. What I was also interested in understanding was a best practice for when to re-invest dividends. I've "turned off" the automatic re-investment option in my VG accounts and have the funds funneled to a MM account, the plan being to put the money towards lagging asset classes. The question, then, is when to do this.
You can do it the day the fund goes x-dividend - after the dividend has actually been paid, or a week or an month later. I usually wait until all of the dividends are actually in the MM account before deciding where they need to go.
But this year, all of the taxable dividends are likely to go to munis and international.
Dale
Last edited by Dale_G on Sat Sep 07, 2013 6:32 pm, edited 2 times in total.
Is the 19th the day of record for that set of funds? Meaning, I normally buy in a Roth the 20th of the month but if I'll get dividends for what I own the end of the 19th I'll buy a day early.
runner9 wrote:Is the 19th the day of record for that set of funds? Meaning, I normally buy in a Roth the 20th of the month but if I'll get dividends for what I own the end of the 19th I'll buy a day early.
When dividends are distributed, the value of the shares drops by the amount of the dividend. Therefore, in an IRA, it makes no difference. However, in a taxable account, you get to pay taxes on the dividend even though you had no real income.
Jeff
jsl11 wrote:In an IRA, it does not matter when you invest with respect to distributions. In a taxable account, it is better to invest after the fund goes ex-dividend. This avoids getting a taxable distribution on holdings you just bought.
Jeff
Thank you. I wasn't as clear as I should have been. What I was also interested in understanding was a best practice for when to re-invest dividends. I've "turned off" the automatic re-investment option in my VG accounts and have the funds funneled to a MM account, the plan being to put the money towards lagging asset classes. The question, then, is when to do this.
Thanks again jsl - I appreciate your response.
The time to do it is probably when you have scheduled rebalancing or when you have accumulated enough to purchase a larger number of shares
When you elect to not automatically reinvest dividends in a taxable account it is usually in order to avoid creating many small tax lots to keep track of and to avoid a wash sale when tax loss harvesting. There is an opportunity cost in not immediately reinvesting, but if you have the dividends routed to an interest bearing account that will help. This is what I do and then add to new money when rebalancing or purchasing new shares in order to buy in bigger lots. If you have a large taxable account, the dividend might exceed the amount that you wish to reinvest in the fund which is another reason not to automatically reinvest divedends. Check out the Wiki which explains this in detail.
InvestorNewb wrote:Any idea when the dividend rate will be posted on Vanguard's web site? I've been checking daily...
The Managed Payout funds have their quarterly distribution posted at this time. We will likely see the funds for 9/19 declaration update 9/18 night or 9/19 night. Vanguard does like to keep the posted information secret until we are just about right on top of the payout, but 9/19 still will likely NOT be the payout date. Just the date they tell us when the payout date (and how much) will be.
InvestorNewb wrote:Any idea when the dividend rate will be posted on Vanguard's web site? I've been checking daily...
The Managed Payout funds have their quarterly distribution posted at this time. We will likely see the funds for 9/19 declaration update 9/18 night or 9/19 night. Vanguard does like to keep the posted information secret until we are just about right on top of the payout, but 9/19 still will likely NOT be the payout date. Just the date they tell us when the payout date (and how much) will be.
Thanks!
My Portfolio: VTI [US], VXUS [Int'l], VNQ [REIT], VCN [Canada] (largest to smallest)
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Kalo
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abuss368 wrote:I believe it posts and updates over night. Tomorrow I would expect the data to be there.
As of a few minutes ago, VTSAX and VTIAX (the only two I checked) have listed their distributions in the appropriate tabs on the information pages.
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InvestorNewb wrote:If you buy more shares on or before the "record date", does that make you eligible to receive dividends for the recently purchased shares?
Overall not bad payouts. I would have liked to see Total International and International REITs pay out a little higher but as I understand it most international entities pay out at the end of the year....once and done.
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