Is there some sort of rule preventing this? On a pure US tax basis, companies that use excess cash to buy back shares instead of pay dividends are strictly better for the shareholders.
The shareholders can decide when they sell and take the hit. Also in the past dividend tax rates have been higher than long term capital gains (now they are the same).
Shareholders that want the steady cash can sell a small portion of stock and maintain their percentage.
Submitted August 20, 2017 at 09:50PM by FinndBors http://ift.tt/2wvckQD
