# Does the XJO pay dividends?



## Woroni (14 April 2008)

So I play the XJO or AUSSIE200 under CFDs with CMC. I find that they charge debits if I hold a short position, and when I queried them, they say these debits are for corporate actions like dividends. Obviously, the index itself doesn't pay divs but the companies in the index might, so it seems to make sense.

My question is, do indices pay dividends? For the experienced traders here, is what I'm saying pretty normal? How about the SPI? Does that pay divs? Just curious.


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## rozella (14 April 2008)

If you want dividends from the XJO, then it is worth checking out STW



> PRINCIPAL ACTIVITY
> SPDR S&P/ASX 200 Fund (STW, formerly Street TRACKS S&P/ASX 200 Fund) is an
> investment fund that tracks one of the three chosen S&P/ASX Indexes. The
> responsible entity for the fund is State Street Global Advisers, Australia
> ...


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## Trembling Hand (14 April 2008)

Woroni said:


> My question is, do indices pay dividends? For the experienced traders here, is what I'm saying pretty normal? How about the SPI? Does that pay divs? Just curious.




It is normal for a CFD index.

With Futures fair value calculation will price in dividends up to expiry. So no you don't get or pay divs from a Fut.


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