IvyDB Implied Dividend
Anticipated Dividends Implied by the Options Market
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Greater Predictive Power
IvyDB Implied Dividend uses a superior methodology and more accurate model to predict dividend yields with the options market valuation of future dividends over time, versus historical, backward-looking data, used by other providers. IvyDB Implied Dividend’s numerical approach, incorporating binomial tree models to price risk-neutral dividend yields, offers greater accuracy in determining dividends for US options, over put-call parity, which can be prone to systematic bias as a result of the American-style exercise feature.
Benefits of IvyDB Implied Dividend
- Gain important insights on dividend forecasts with forward-looking dividend projections for US optionable single-name securities
- Assess dividend risk premium trades and pricing dividends into the future
- Proxy for dividend uncertainty in the market against analyst and other dividend forecast expectations
- Gauge signals in portfolio selection, such as in identifying stocks with a positive implied dividend yield
- Assess cross-sectional comparisons across groups (sectors, market cap, etc.)
- Backtest investment strategies
- Intuitive and easy to use; no options expertise required
The Latest News & Events
Retail Trading Surge: Opportunity or Risk?
A recent Reuters analysis explores the implications of the SEC’s move to ease day-trading restrictions, a change expected to further expand retail participation in equity markets. Data from OptionMetrics highlights a critical pattern: periods of elevated retail trading activity have ...
Read moreOptionMetrics Data Reveals Persistent Tail Risk in Oil Markets
Recent analysis powered by OptionMetrics data reveals how oil options markets are continuing to price in meaningful geopolitical risk, even following the US-Iran ceasefire. By extracting implied probabilities from Brent crude options, OptionMetrics’ models show that while markets quickly repriced ...
Read moreRecord 0DTE Options Volumes Signal Shifting Market Dynamics
Volatility continues to reshape options markets. New data shows 0DTE S&P 500 options volumes reaching record highs, as institutional investors increasingly turn to ultra-short-dated instruments for tactical hedging amid ongoing geopolitical uncertainty. In the latest IFR report, Garrett DeSimone, Head ...
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Discover how you can use IvyDB Implied Dividend for dividend forecasting and investment strategies, today.