IndexIQ Expected Dividend Income Per Share
Dividend payment represents part of IndexIQ's profit that is distributed to its stockholders. It is considered income for that tax year rather than a capital gain. In other words, a dividend is a prize given to shareholders for investing in IndexIQ. IndexIQ's board of directors can pay out dividends at a planned frequency, such as monthly or quarterly.
IndexIQ Past Distributions to stockholders
A dividend is the distribution of a portion of IndexIQ earnings, decided and managed by the IndexIQs board of directors and paid to a class of its shareholders. Note, announcements of dividend payouts are generally accompanied by a proportional increase or decrease in a company's stock price. IndexIQ dividend payments follow a chronological order of events, and the associated dates are important to determine the shareholders who qualify for receiving the dividend payment.
The market value of IndexIQ is measured differently than its book value, which is the value of IndexIQ that is recorded on the company's balance sheet. Investors also form their own opinion of IndexIQ's value that differs from its market value or its book value, called intrinsic value, which is IndexIQ's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because IndexIQ's market value can be influenced by many factors that don't directly affect IndexIQ's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between IndexIQ's value and its price as these two are different measures arrived at by different means. Investors typically determine if IndexIQ is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, IndexIQ's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.