Hi, I'm new to shorting stocks and want to be sure I understand correctly how to avoid having to pay out dividends. Am I correct the for stock ETFs I should not be holding the ETF on the dividend record date(s), and then I'll be safe from having to pay a dividend ever? Also, for bond funds, like TLT, then I'll want to not be ina short position on the days it pays out its yield? http://www.nasdaq.com/symbol/tlt/dividend-history
On TLT the Ex Dividend date of the last dividend payout was 4/1/16. If you were short TLT as of the close 3/31/16 the day before you would have been positioned on 4/1/16 at the open short and paid $27.00 per every 100 shares short. They debit your account later.