ABF SG BOND ETF

Buy before Ex.

Assume you are a long term investor, you probably not gonna sell your shares? So short term share price fluctuation doesnt matter. And the only way you can get $$$ is by dividend, if u are not selling.

I believe you got other holdings in your portfolio? You can use the dividend recieved +monthly contribution to invest into others the following month.

Answered your comment from another thread, but I'll answer it here too for everyone's benefit.

In theory, when a dividend is paid out, the 'share price' of a stock will fall by the value of the dividend to reflect the value of the stock after the dividend is paid out. This is because new buyers after ex-div will not qualify for the dividend, hence they should not have to pay for that portion of the assets which they are not entitled to. As such, in theory, buying before or after the ex-div would be the same. If you buy before, the share price drops but you receive the dividend of that value. If you buy after, you got it 'cheaper' but you didn't get the dividend.

However, in reality, sometimes shares move lower than the value of the dividend issued and this may provide a buying opportunity (of course, context must be accounted for as well). Alternatively, shares may move down less than the value of the dividend and may even go up on ex-div, especially if there is certain stock specific news or market wide factors affecting it.​​​