Hi all. I have a UK dividend pie, stocks from the UK that all pay a dividend. When the dividend is paid, will it be to the pie and distributed to the set weight, or to the stock that paid it?
Hope the question makes sense.
Appreciate any replies
Hi @investorsf
Dividends are initially paid into the cash portion of your PIE until you reinvest it.
It depends if you have DRIP setup or if you do a manual investment.
This help article explains it all but if you want some further clarification just shout.
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Hi KRR13
Thanks for the reply. I understand the auto reinvestment to a degree. I am thinking the dividend that a company pays is auto invested to all companies in the pie and not just to the one that paid it. once the minimum investment amount is reached.
Yes that’s right. Dividends will accumulate as cash and then when you meet the minimum threshold will invest based on your pie’s target weighting. Or if you add further cash to achieve your minimum threshold you could choose to manually invest and allocate the funds to your pies segments as you choose.