There is no doubt that in Spain there are other sources of reference beyond the selective index of Spanish equities, the Ibex 35. Specifically, the Ibex 35 Dividends, which is where the securities that distribute this bonus to shareholders are listed and which are integrated within the selective of national equities. It is an index of recent creation, since it has developed with the beginning of this century and it can be very interesting to channel the operations of small and medium investors due to the special characteristics that come together in their financial assets.
With its launch, investors have a new channel to regularly follow the evolution of the values that pay dividends to investors. As a reference source to direct your strategies in the investment sector. Both from the individual point of view of the securities themselves and if they are integrated into the investment portfolio of investment funds. In any case, it is one of the indices less known by small and medium investors. In many situations, without having any reference to your own existence.
The Ibex 35 Dividends is a highly useful indicator for investors that incorporates the variation in prices of securities. Like the profitability generated by the distribution of dividends offered by the securities every year in a timely and guaranteed manner. With interests that oscillate between 3% and 8% and that it is constituted in a very peculiar way of constituting a portfolio of fixed income within the variable. Well above the profitability offered at the moment by the various banking products. Among them, fixed-term deposits, high-income accounts or other savings programs that barely provide an interest of 1%.
Ibex 35 Dividends: how does it work?
This new benchmark index in national equities is characterized by the fact that it has the following same components, calculation and adjustment criteria than the one that refers to the national selection. With the only variant that it only incorporates the securities that distribute dividends among its shareholders. In this way, it is formed as an innovative channel that is available to all investors and from where they can make their investments with a very well defined parameter and that in a certain way is aimed at an investor profile that wants investment security above other technical considerations.
It includes companies such as Endesa, BBVA, Banco Santander, ACS, Iberdrola or Mediaset to give just a few examples. With differentials that vary substantially depending on the remuneration policy of these companies. The main contribution provided by this special stock index is that the investor will have an index where they are grouped all values that are listed on the national selective. Not like until a few years ago where there was no reference for companies that distributed dividends.
New source of analysis
As a consequence of the appearance of this stock index of Spanish equities, it will be possible to analyze more easily the profitability offered by the companies through this payment. As well as the evolution of all the securities that meet these characteristics and, finally, the other payments with which they reward their shareholders. It is, in short, a new model to check the evolution of all the securities that distribute dividends without having to go to each of them individually. As happened at other times with small and medium investors.
On the contrary, they have some limitations such as the fact of excluding another series of securities that also pay dividends regularly, but are not included in the Ibex 35. As for example, in companies such as Logista, Atresmedia, OHL, Ebro NH Hoteles. On the other hand, there are also other factors that link to this index of the stock market to companies that distribute dividends, but in a discontinuous and irregular shape. And that are not present in the Ibex 35 Dividends. Not surprisingly, the only requirements are two, on the one hand to distribute a dividend as is quite logical. And on the other hand, belonging to the selective index of national equities.
Periodicity of charges
Dividends have the months of December and July their peak to be received by small and medium investors. It should be noted, on the other hand, that many of these companies make up to four annual payments each year, one for each quarter. Although also the payment periods can be annual or bimonthly, depending on the policy developed by each of the listed companies. It is also a reference source to verify the real evolution of these proposals aimed at making savings profitable. In a precise way and without taking into account other valuations in the stock market.
On the other hand, it must be remembered that to collect dividends it is necessary to take positions in these values four or five days in advance. Not like before, in which it will be enough to open the positions the day before the payment was made. While on the contrary, to dispose of the positions can be done the same day after formalizing this charge on account. A strategy that undoubtedly many small and medium investors turn to in order to provide themselves with liquidity in their savings account. Beyond other strategic considerations.
Base of many mutual funds
The Ibex 35 Dividends may have other applications in investments developed by users. One of the most common is that it usually integrates a good part of the investment fund portfolios based on equities. As with other indices of the old continent with similar characteristics. So that in this way, you do not have to contract the securities individually. On the other hand, it will generate that the investment is fully diversified, even with other financial assets from fixed income or from alternative investment models (real estate management, raw materials, precious metals, etc.)
At the moment there are already several investment funds that are based on the Ibex 35 Dividends. Either partially or jointly and that can be adapted to any kind of strategy for the management of available capital. In addition, and in a very curious way, do not forget that through these investment funds you can be in a position to receive a regular dividend during all the years in which you are positioned in this financial product. In this way, you will have a fixed and guaranteed income in all financial years and regardless of the evolution of your securities in the financial markets.
Advantages of this stock index
The benefits that this national equity index can bring you are many, as you will see below. One of the most tangible is that you will have a remuneration even if you lose money in investment. On the other hand, it is a sector where the most important listed companies in the country are integrated and with a very high volume of negotiation. In other words, they stand out for their great strength with respect to the liquidity provided by their shares.
Another of his most relevant contributions is that which has to do with his income statement, since they are the ones presented by the best ratios in his management. Not in vain, no speculative values not even incipient lines of business. They are companies that are well established in their management and therefore their risks are significantly less than in the rest. Offering greater security to investors.
Selection of warrants
Another of the investment models that have emerged in recent years is the one whose reference source is another variable income product, warrants. It is a very special format that bases its strategy on incorporating a mechanism, that if during its life the price of the underlying asset touches or exceeds at any time certain predetermined levels, lower or higher, maturity originates in advance. It is somewhat more complex, as on the other hand it is logical to think in the case of an investment product of these characteristics. And that requires greater learning to operate with it in a much more efficient way and above all with greater guarantees of success.
It is a highly sophisticated product that is traded on the Spanish stock market in accordance with the operating rules for the trading segment of warrants, certificates and other products with similar characteristics. During the contracting of these products, the lower or upper barrier will determine the interruption of the negotiation of this class of financial products due to early expiration and their definitive withdrawal at the close of the trading session. It is intended for a much more specific investor profile where the desire to achieve a high return prevails over operations carried out in the financial markets.