If a REIT's price drops by the dividend amount on the ex-date, where is the actual gain?

Hey everyone,
I’m trying to wrap my head around the core mechanics of REIT distributions, and I keep hitting a conceptual wall regarding total return vs. cash flow.
On the ex-dividend date, a stock’s price drops by roughly the exact amount of the dividend. So on Day 1, your total portfolio value (Share Price + Cash Received) remains unchanged—it feels like money is simply being shifted from equity into cash rather than "earned."
Two specific questions I can't reconcile:

  1. **What actually drives long-term price recovery?** If every payout pulls down the share price, what forces it back up over time? Is it purely organic FFO/rental growth, or is long-term appreciation mostly dictated by cap rates and interest rate cycles?
  2. **How does compounding work if payouts are net-neutral?** If a dividend payout is theoretically zero-sum at the moment it happens, how does reinvesting those payouts compound into real, extra wealth over decades? Where does the *new* economic value originate?

So if the dividend yield is 7 percent a year, it just means that you will get 7 percent of what you put in back as cash, and everything else will stay the same. And maybe if you’re luck you can seek back for higher?!

Would appreciate any insights on how to properly conceptualize the gap between short-term price adjustments and long-term wealth creation. Thanks!

reddit.com
u/chaichaichai- — 10 hours ago

If a REIT's price drops by the dividend amount on the ex-date, where is the actual gain?

Hey everyone,
I’m trying to wrap my head around the core mechanics of REIT distributions, and I keep hitting a conceptual wall regarding total return vs. cash flow.
On the ex-dividend date, a stock’s price drops by roughly the exact amount of the dividend. So on Day 1, your total portfolio value (Share Price + Cash Received) remains unchanged—it feels like money is simply being shifted from equity into cash rather than "earned."
Two specific questions I can't reconcile:

  1. **What actually drives long-term price recovery?** If every payout pulls down the share price, what forces it back up over time? Is it purely organic FFO/rental growth, or is long-term appreciation mostly dictated by cap rates and interest rate cycles?
  2. **How does compounding work if payouts are net-neutral?** If a dividend payout is theoretically zero-sum at the moment it happens, how does reinvesting those payouts compound into real, extra wealth over decades? Where does the *new* economic value originate?

So if the dividend yield is 7 percent a year, it just means that you will get 7 percent of what you put in back as cash, and everything else will stay the same. And maybe if you’re luck you can seek back for higher?!

Would appreciate any insights on how to properly conceptualize the gap between short-term price adjustments and long-term wealth creation. Thanks!

reddit.com
u/chaichaichai- — 10 hours ago

SCS Found term over just got MP posting

Hello, I am from school 3 SCS, just got my posting today and it was MP. Would like to know what to expect? I kinda feel bad for not getting infantry cause I wanted to go guards and Brunei and experience those tough times and improve and get fit, are the combat fitness dreams over?

What is life like over there? I heard the RD is strict but it defo cannot be more strict than the stupidly unreasonably BMT standard right? Also what about welfare and postings after that?

Lastly why do we go MP, is it because our performance is not gootd enough or we are not enough fit enough? Also im a PR

reddit.com
u/chaichaichai- — 21 days ago

Posting for pr in scs this batch

hi everyone, finishing SCS Found Term soon and wondering about pro term posting outcomes.
I’m a PR and was hoping to get insights from seniors/NSmen:

How does being a PR affect security clearance and pro term postings? Are certain vocations or overseas deployments (e.g., Ex Starlight) off-limits?

Where do PR cadets usually get posted for Pro Term?

reddit.com
u/chaichaichai- — 24 days ago

Question about calling hotline

I’m in SCS FOND TERM and my section is quite mean to me. Most of them cannot control their anger when I fight back. It’s ending in one more week after this but I don’t want to deal with it anymore. If I call the hotline is it anonymous and what will happen?

reddit.com
u/chaichaichai- — 1 month ago

What happens in scs question

If we chaokeng in scs what happens to your posting. This is found term. In bmt those who chaokeng their lives got better. So if they chaokeng now in scs is there a lesser chance they go infantry. Also how to go MP or anything other than non infantry in scs bruh. Also what are the vetos in scs found term. What can you not miss. Is section live firing a requirement? If people miss that then is there a lower chance of going infantry?

reddit.com
u/chaichaichai- — 1 month ago

Why is the SAF gear so trash

y is the SAF gear so uncomfortable. The gloves they give us like I didn’t even know they were gloves. It has to be the lowest quality I’ve ever seen. It doesn’t even cover your hands. Not even elastic or flexible. And the cut to trash. The worst part of also the guards and helmet. The guards are so damn useless. Anytime you leopard crawl or whatever they always just go off and you end up getting abrasions on your elbow. Who decided to chose this supplier bruh. The whole thing is elastic and my elastic got stretched out in like 2 months of minimal use cause we always got scolded why our knee guards become heel guards. No matter how much you tighten them they come off. Some more the helmet also damn annoying. The slips to hold in the strap tightened are so bad. We sweat a little and the straps get wet then it starts coming lose. So hard to focus on training and using gun when you have to keep keep keep adjusting your helmet and remove from your eyes. Also why do they think we have Hercules shoulder. In SCS our SBO 1 is LBS AND CAGE AND FIELDPACK AND RIFLE. in total that’s like 4 straps on a shoulder. So 8 total. It’s so uncomfortable and there are so many hooks and whatever it always gets stuck. The most difficult part is to just put everything on and off. The field pack also so damn weird to use. It’s so difficult to close and most of our gear breaks so Easley. Please fix bruh

reddit.com
u/chaichaichai- — 1 month ago

Peoples lives, habits, and what they talk about is all based on what their social media algorithms promote to them. No one is themselves anymore. It’s so sad. You can’t even blame the algorithms cause they are just neural networks.

reddit.com
u/chaichaichai- — 1 month ago

How do electromagnetic waves work?

Hello, I have had this question for a long time. I have always had gadgets around me and the way that they send data wirelessly is very intriguing to me but I dont understand how. How is it possible for waves to carry so much data and also know exactly what device the data they are carrying belongs to. So from the cell tower, how do the data packets know which phone they are supposed to go to? Does it go to all phones and they filter it out or what? Also, what actually is the difference between cellular data and Wifi? In my house, mobile data is almost always stronger, which I dont understand because the cell tower is so far away but my wifi router which is more expensive then a normal plan, is so much weaker and slower, its only faster when im very close to it in the living room. Also how do these antennas even make the waves, tbh Im gonna make a question next on electricity but I don't understand how our phones can make such strong signals with antennas so small cause 30 years ago antennas were so big and now they are just these lines on our phones. If someone could give me a great explanation for what electricity is that would also be great, cause I dont know what it is, it has no weight, we can only see sparks of it but it is so important, I have heard that its electrons or something but I asked around and I know its not electrons, but I know its something to do with moving electrons. Thank you.

reddit.com
u/chaichaichai- — 1 month ago

How do electromagnetic waves work?

Hello, I have had this question for a long time. I have always had gadgets around me and the way that they send data wirelessly is very intriguing to me but I dont understand how. How is it possible for waves to carry so much data and also know exactly what device the data they are carrying belongs to. So from the cell tower, how do the data packets know which phone they are supposed to go to? Does it go to all phones and they filter it out or what? Also, what actually is the difference between cellular data and Wifi? In my house, mobile data is almost always stronger, which I dont understand because the cell tower is so far away but my wifi router which is more expensive then a normal plan, is so much weaker and slower, its only faster when im very close to it in the living room. Also how do these antennas even make the waves, tbh Im gonna make a question next on electricity but I don't understand how our phones can make such strong signals with antennas so small cause 30 years ago antennas were so big and now they are just these lines on our phones. If someone could give me a great explanation for what electricity is that would also be great, cause I dont know what it is, it has no weight, we can only see sparks of it but it is so important, I have heard that its electrons or something but I asked around and I know its not electrons, but I know its something to do with moving electrons. Thank you.

reddit.com
u/chaichaichai- — 1 month ago