quick question about DIVIDENDS

L

lsudaytrade

I have a SHORT Position with SLB.

SLB had ex-div 6/2/03 of 0.19 and div date of 7/3/03

So if i had open a 500 SHORT position on SLB on 6/2 i now owe 500x0.19 worth of DIV to be paid july 3rd?? :confused:
 
Quote from lsudaytrade:

I have a SHORT Position with SLB.

SLB had ex-div 6/2/03 of 0.19 and div date of 7/3/03

So if i had open a 500 SHORT position on SLB on 6/2 i now owe 500x0.19 worth of DIV to be paid july 3rd?? :confused:
More...

You would only pay the dividend if you were short overnight from 6-1 to 6-2. Looks like you shorted on the ex. div day (6-2)....so you shorted when it was trading "without dividend" & you DO NOT OWE a short sale dividend payment.
 
sorry for the confusing post, but your explanation was adequate.

I had SHORT 500 SLB on Mon 6/2, thus going from your explanation I do not owe any short dividend.

Thanks a bunch! that was a huge sigh of relief.

Good Luck trading :)
 
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