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3 Important Dates Related to Stock Dividends
Improve Your Investment Knowledge
2 min readSep 15, 2022
Everything has a time and date, like the time for sunrise and the days for different seasons. We need to know, understand and follow these times and days. In the investment world, there are also times and days that are very important for your investment. Everyone should understand these three dates and if you will or have to invest your money in the stock market, especially if you want to receive a cash dividend.
The three critical dates are the date of declaration, ex-dividend date (date of record), and date of payment.
- Date of declaration: You may know what it is for from the word declaration. It means that companies will announce the plan and date for ex-dividend, date of payment, and the amount of dividend they plan to pay shareholders. It is essential information to know so that you know how much and when you will receive your stock dividend. The announcement is always made by the board of directors in the company, and you can find it on the company website or just google search. As an options trader, if you own the stock and sell a call to protect your investment, you want to exercise on that day so that you can receive the dividend.
- The ex-dividend date (date of record): Ex-dividend date is the day when the company will record…