However, today I noticed a stock newsletter is recommending OMF, OneMain Holdings. The letter says that a special dividend of $2.50 will be paid in March to shareholders of record on Feb 26. But...the newsletter didn't release this recommendation until the weekend of Feb 28.
There's been all this talk here about how if you get a dividend, you're breaking even because the share value is going to go down by the same amount. The gain is allegedly illusory. Now imagine you buy this stock and hold it in March when shareholders of record are collecting that nice dividend but you are not.
This guy is a quant, and I'm sure he has a team of quants churning out these recommendations each month. He primarily picks, well, stocks that he thinks are going to go up
although this particular pick is from a dividend section of his newsletter. Special dividend aside, the regular yield is over 3%.It's not my thing, as I like stocks that pay a modest dividend and raise it slowly over decades. I'm just curious. The newsletter has been around a long time.