Ex-Dividend

What Does Ex-Dividend Mean?
A classification of trading shares when a declared dividend belongs to the seller rather than the buyer. A stock will be given ex-dividend status if a person has been confirmed by the company to receive the dividend payment.

Investopedia explains Ex-Dividend
A stock trades ex-dividend on or after the ex-dividend date (ex-date). At this point, the person who owns the security on the ex-dividend date will be awarded the payment, regardless of who currently holds the stock. After the ex-date has been declared, the stock will usually drop in price by the amount of the expected dividend.

Filed Under: Active Trading, Stocks

Related Terms

Book Closure
Cum Dividend
Declaration Date
Dividend Rollover Plan
Ex-Date
Fugit
Holder of Record
Payment Date
Property Dividend
Record Date
More Related Terms

Related Links

Make Ex-Dividends Work For You - Find out how to keep your dividends out of the tax man's hands.
Dissecting Declarations, Ex-Dividends And Record Dates - Understanding the dates of the dividend payout process can be tricky. We clear up the confusion.
Dividend Facts You May Not Know - Discover the issues that complicate these payouts for investors.
How do I find dividend-paying stocks?
Conversion Arbitrage: Dividend Risk And Reward - This stock/options combination helps traders take advantage of market mispricing. Find out how.
If a company moves its dividend record date forward, does the ex-dividend date change too?
If I sell my shares before the ex-dividend date will I still get the dividend?
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