Good Morning Mr. Iking,
Hope your day is going well.
Thank you so much for always taking time out of your busy schedule to train us.
Please, I bought BETAGLAS shares for the first time. I bought at a high price around #500 naira per share and I want to sell it before the qualification date on 3rd June to still make profit and still get the dividends. If I sell my shares in the month of May anytime the price is a little bit high, will I still get my Dividends? I have already filled the e-dividend mandate form.
What I have in mind is to buy the shares back at lower price when the dividends has already been paid.
Please, help me to understand, I don’t want to make mistakes.
No—if you sell in May, you will NOT receive the dividend. To qualify, you must still own the shares on the qualification (record) date. Let’s break it down using your case. 📌 Key rule (NGX dividend mechanics) For a stock like Beta Glass Plc: Qualification (Record) Date: 3rd June You must be a registRead more
No—if you sell in May, you will NOT receive the dividend.
See lessTo qualify, you must still own the shares on the qualification (record) date.
Let’s break it down using your case.
📌 Key rule (NGX dividend mechanics)
For a stock like Beta Glass Plc:
Qualification (Record) Date: 3rd June
You must be a registered shareholder on that date
👉 That means:
You must still hold the shares at market close on June 3
🧠 What happens if you sell in May?
If you:
Sell anytime in May
👉 You are out of the register before June 3
Result:
❌ No dividend
❌ You only keep your capital gain/loss
⚠️ Important concept: Ex-Dividend Date
In practice, there’s something called the ex-dividend date (usually ~1–2 business days before qualification date due to settlement cycle).
Simplified rule for Nigeria:
If you sell BEFORE the ex-dividend date → ❌ No dividend
If you sell ON or AFTER ex-dividend date → ✅ You still get dividend
👉 But many brokers don’t clearly show this, so safest approach is:
Hold till qualification date passes
📉 About your strategy (sell high, buy back lower)
What you’re thinking is called a dividend capture strategy.
Here’s the reality:
1. Price adjustment happens
After qualification:
Stock price usually drops by ≈ dividend amount
👉 This is called price adjustment
So:
You may not “cheat the system” easily
2. Risk involved
Price may not drop enough for you to buy cheaper
Or price may even continue rising
3. Fees matter
Selling + buying again = extra brokerage cost
👉 With small capital, this reduces profit
✅ What you should do (based on your situation)
You bought at ₦500 (high entry)
Option A — Safer approach
Hold till after qualification date
Collect dividend
Then reassess price
Option B — If your goal is capital gain only
Sell when price rises above your cost
Forget dividend
❗ Critical mistake to avoid
Don’t sell before qualification date expecting dividend — it won’t come.
Even if:
You filled e-dividend ✔
Registrar has your details ✔
👉 If you don’t hold the shares → no dividend
🎯 Clean timeline example
Action
Outcome
Sell in May
❌ No dividend
Sell before ex-date
❌ No dividend
Sell after ex-date
✅ Dividend
Hold till June 3
✅ Dividend
🧭 Straight advice for you
With your experience level:
Don’t overcomplicate with timing strategies yet
Focus on:
Buying quality stocks
Holding through dividend cycles
Learning market behavior