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Friday, 4 September 2015

Difference between ex-date and record date

In case the company declares dividends, ex-date and record dates are also declared.
Ex-date is the last date of the transactions which are eligible for getting the dividends. Record date is usually 3 days ahead of ex-date.

Example - If company declares the dividend with record date as 5-october-2015, it means all share holders who own the stock on that particular date would be eligible to receive the dividend. People who buy the stock on or before ex-dividend date will get the dividend. If ex-dividend date is 2-Oct then if some one buys the stock on 3-october would not get the dividend.


What do you think on this topic? Please express your opinion or ask any question through comment below. You can write to me at reply2sagar@gmail.com

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