We have researched into many successful examples of individuals deploying DCS – Dividend Capture Strategy. However, let’s take a look at one deployed by a company instead.
This company is formed by 3 individuals. They decided to invest a total of about $400,000 over a period of 3 years and “self-fund” their regular investment plan over a period of 10 years.
As a company, they are looking at high liquidity, moveable and transferable assets and easy & low operation.
High Liquidity of Investment Plan
The above graph reflects both 20% projected dividend (Green) and actual dividend received (Red) from 27 Nov 2019 till 08 Jun 2023. The company received $316,252.23 instead of the projected $259,333.32. This graph reflected the high liquidity of the the investment via Dividend Capture Strategy for the the company.
From Nov 2019 till Jun 2023, there wasn’t a SINGLE DAY when the account value (Investment Cash Value + Cash Equivalent) fall below the invested capital of $400,000. During this period of time, the economy underwent the precedented Covid 19 Pandemic and the Russian-Ukraine War.
Increasing Insurance Coverage for Shareholders
With no additional invested capital, all the shareholders are enjoying an increasing insurance coverage through the investment via the regular investment linked plans bought by the company. Therefore through this arrangement, all the shareholders will get back more than capital invested in event of death or terminal illness.
The above shareholders only invested $310,000, $60,000 and $30,000 respectively. Their insurance coverages are expected to grow at the above rate till Year 10 based on their current investment plan.
Financial Reports from 2021 – 2023
In the last 3 company financial reports, they showed the increasing assets, increasing revenue and increasing gross profit of the company.
Moveable and Transferable Feature of the Investment
Both the investment portfolio and the insurance feature of the regular investment plan can be easily transferred from the company to any individual. It can likewise be transferred from any individual to another individual. This investment is highly transferable.
Easy and Low Operation Cost
Currently this company do not have any overhead except registered office address (virtual office) cost, book-keeping and ACRA and IRAS annual reporting & registration cost. Last but not least a nominal ($10) monthly banking charges.