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Anonymous

21 Feb 2023

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Stocks

Would you choose scrip dividends or cash dividends?

Hi, everyone~

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In what circumstances you would choose scrip dividends over cash dividends? Currently having a choice to choose but the script dividednds i would receive probably is just like 2 (calculated it will be 2.9 ++, i guess they will just give me 2? correct me if i am wrong) ...is a very small amount. is it worth it? cause i know that its hard to sell odd lots

Discussion (11)

What are your thoughts?

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For me, it depends. If I am holding it for long term, then scrip. Otherwise, cash.

It depends. To share, will choose scrip dividends if I have intent to keep the stock for long term e.g. blue chip with attractive annual dividend yields. Otherwise, just take the cash dividends to avoid odd lots sale.

Buying odd lots from the market to add up to 100 shares for ease of subsequent sale, could be a possible option but definitely not a desirable one. The bids may not be in your favour and the brokerages for accumulating the shares could add up.

Take cash.

Not worth the eforts for odd lots.

Cash. Accumulation I would go for accumulation ETF instead. I also have flexibility on what price I want to enter

Here are some information to help you decide which option may be more suitable for you.

Scrip divid...

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