View Full Version : Need help with this dividend report(Vanguard fund)

08-17-2005, 04:13 PM
Vanguard Dividend information (http://flagship3.vanguard.com/VGApp/hnw/FundsDistributions?FundId=0040&FundIntExt=INT)

I was wondering if anyone can explain to me how to read this on the Vanguard 500 index fund. Also regarding dividends I was reading something in All About Index Funds and they suggest something along the lines of lumping your dividens together and then investing in one lump sum. It says something about its a tax pain to automatically reinvest the dividens. Any info on this would be help full too.

08-17-2005, 09:31 PM

James Boston
08-17-2005, 09:39 PM
Be more specific.

Otherwise, I'll try.

Most Recent Distribution = dividend paid per share
Record Date = when it happened
Reinvest Date = when it will buy you more shares
Payable Date = when you will get the money if you've chosen not to reinvest
Reinvest Price = share price used if you're reinvesting

08-18-2005, 03:29 AM
something about its a tax pain to automatically reinvest the dividens

[/ QUOTE ]

Its not so much a pain, if you know how to use a spreadsheet. Basically from a tax perspective, you need to know how many shares and what price you bought shares at, when you sell and thus have to pay capital gains tax.

If you are buying and holding funds for the long term, you should reinvest dividends.

If you are buying stocks, you might want to be a bit more selective on when you choose to add to your stock positions, and in that case I recommend against reinvesting dividends.