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Strategies & Market Trends : REITS - Buying 1 - 2 weeks before going ex-dividend -- Ignore unavailable to you. Want to Upgrade?

To: shasta23 who wrote (1840)	5/24/2000 11:41:00 PM
From: Richard Barron	Read Replies (2) \| Respond to of 2561

Stefan, First of all CWN is a pretty low quality REIT and was recently downgraded by S&P on it's debt if I call recently. It is scheduled to go ex-dividend on 6/5/2000, so the holders 3 business days earlier will collect the dividend. To see the morning that the holders will own the dividend, you can go to yahoo and look in the ex-dividend date (June 1). quote.yahoo.com Most likely the stock will trade down about 3/16 - 1/4 that day, since the 20-3/4 cent dividend is removed and the stock is worth less. Look at SIZ trade on 5/24 as it went ex-dividend and you will see that it traded 3-/16 to 5/16 below the 5/23 closing price. This is a normal sort of action. Anyone who bought this on 5/23, would essentially be even still. The theory is that CWN grew earnings, and 5 is as low as it has traded in the last few months, while the rest of the REITs are up 10-20% in general. So... even if it closes at 5-1/4 on 5/31 and opens at 5 on 6/1, it is likely to rebound 1/4 point or more rather quickly. Richard