Q: I have just sold my Transcontinental shares at a nice profit to avoid receiving the didvidend. I am thinking of buying them back after they go ex-dividend tomorrow. What do you think of that strategy. Thanks.
5i Research Answer:
If an investor was comfortable before we would be comfortable now. Such trading would not be recommend in a taxable account, reallty. The stock is up 36% in a year and if taxable we would just keep the dividends. It is an OK company, not exciting but cash flow is decent and we would view it as relatively lower risk vs similar-sized companies in other sectors.