w00tw00t111
Reputation
Top tag
Next privilege 15 Rep.
Flag posts
 Feb 5 comment How to annualize dividends paid at varying intervals? Chloe, thanks for the answer- that works but only if there is 12months of history...which if this is a new investment there won't be. Feb 5 comment How to annualize dividends paid at varying intervals? jlowin, thanks for your answer - yes, for most (let's say 99%) of dividends your theory would be correct. However, on the instances where a special payment is made i.e. something in the portfolio is sold off and investor capital is returned, using the time since last dividend would greatly overstate the annualized dividend rate. The only thing I can think of would be to setup a trigger that if the standard deviation is (x) amount higher then the avg, alert me to see if this was a special payment. Jun 19 comment How to annualize dividends paid at varying intervals? Tal, thanks for your comment. I was afraid that would be the case. These calculations need to be automated (hence the reason for seeking a formula) and my "gut intuition" cannot come into play as to what frequency this payment is. If I understand correctly, there is not a formula to determine the correct annualized ROI without inputting the dividend frequency (thus dividend frequency must be known). Jun 13 comment How to annualize dividends paid at varying intervals? John, thanks for the comment. When I perform a mid-point Dietz return for the first dividend of the first investment I get a return of -67%. Formula used was (($10+($10+0.11)/2)-($10-($10+0.11)/2))/($10+($10+0.11)/2) Since there is no marketable value (so no ending value/closing value) the assumption was made that the original unit price is the ending value. Jun 13 awarded Student Jun 12 asked How to annualize dividends paid at varying intervals?