
IvyDB Implied Dividend
Anticipated Dividends Implied by the Options Market
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
Gold’s Bullish Sentiment Seen Easing as Record Rally Stumbles
Gold has outperformed major asset classes this month, but shifts in options positioning suggest caution ahead. In a recent Bloomberg piece, Garrett DeSimone, head quant at OptionMetrics, notes that “from the options market perspective, upside and downside weights are pretty ...
Read moreFrom policy ambiguity to price volatility: the hidden cost of indecision
In August 2022, Olympic Steel shifted from an inconsistent short-term debt strategy to a clearly conservative policy, leading to a 22% stock increase and a nearly 50% drop in volatility of volatility (VOV). New research by Dr. Adam Harper of ...
Read moreTariffs are causing stock-market panic and leading investors into riskier options trading.
Tariff uncertainty is driving record options trading, with 0DTE trades making up 54% of S&P 500 options activity. “It’s definitely possible” that these trades impact volatility, says Garrett DeSimone, Head Quant at OptionMetrics, “but much of this news coincides with ...
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Discover how you can use IvyDB Implied Dividend for dividend forecasting and investment strategies, today.