Ex Dividend

Ex dividend is a term that signifies when a declared dividend belongs to the seller rather than buyer of shares. A stock trades ex dividend on or after the ex-dividend date. For investors to receive the upcoming dividend, they already must own or must have purchased the stock prior to the ex-dividend date. Ex-dividend specifically means “without dividend.” The investors who buy shares are entitled to receive a declared dividend, when the stock is quoted as ex dividend.

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