VUSXX is pegged at $1 and provides semi taxable dividends once a month. Looking here, it seems that anyone holding “shares” on the record date, which seems to be the last day of every month, gets the dividend on the payable date, which is the day after.
What’s stopping people from “buying” VUSXX 2 days before the month ends, and “selling” it the day after the dividends are paid?
More details on VUSXX here: https://investor.vanguard.com/investment-products/mutual-funds/profile/vusxx#distributions
Submitted December 17, 2022 at 02:39AM by Gnoamie https://ift.tt/7VRYnAG
