Semi-stupid question. Why is the stock price decreased by the dividend amount on the ex-dividend date? E.g. A stock is $25, dividend payout is $1, on ex-dividend date the stock is adjusted to $24.
Doesn't this simply counters the benefit of the dividend? Does the company expect the market to pull the price back up or something?
Submitted December 12, 2017 at 01:47PM by Valachio http://ift.tt/2nTjJXw
