3 ms·
dschobel, when you short a stock, YOU are responsible for paying the dividend to the person you borrowed it from, c.f. http://en.wikipedia.org/wiki/Short_%28fin
by BobbyH 17y ago
dschobel, when you short a stock, YOU are responsible for paying the dividend to the person you borrowed it from, c.f. http://en.wikipedia.org/wiki/Short_%28finance%29 http://en.wikipedia.org/wiki/Short_%28finance%29
That's why investors can't make an infinite amount of money by shorting stocks right prior to the dividend date...