Understanding First Trust Inter Dur's Ex-Dividend Date

On February 22, 2021, First Trust Inter Dur FPF declared a dividend payable on March 15, 2021 to its shareholders. First Trust Inter Dur also announced that shareholders on the company's books on or before March 2, 2021 are entitled to the dividend. The stock will then go ex-dividend 1 business day(s) before the record date. The ex-dividend date for First Trust Inter Dur will be on March 1, 2021. The company's current dividend payout is at $0.13. That equates to a dividend yield of 6.35% at current price levels.

The Significance Of An Ex-Dividend Date

Ex-dividend dates signal when company shares cease to trade with their current dividend payouts. There is a small intermission period before companies announce new dividends. Usually, a company's ex-dividend date falls one business day before its record date. Investors should keep this in mind when purchasing stocks because buying them on or after ex-dividend dates does not qualify them to receive the declared payment. Newly declared dividends go to shareholders who have owned that stock before the ex-dividend date. Typically, companies will announce and implement new dividend yields on a quarterly basis.

First Trust Inter Dur's Dividend Payouts And Yields

Over the past year, First Trust Inter Dur has seen its dividend payouts remain the same and its yields trend downward. Last year on November 2, 2020 the company's payout sat at $0.13, which has returned to its value today. First Trust Inter Dur's dividend yield last year was 7.05%, which has since decreased by 0.7%.
Companies use dividend yields in different strategic ways. Some companies may opt to not give yields altogether to reinvest in themselves. Other companies may opt to increase or decrease their yield amounts to control how their shares circulate throughout the stock market.

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