ex-dividend

ex-dividend definition - business

ex-dividend

Used to refer to a stock no longer carrying the right to the next dividend payment because the settlement date occurs after the record date. If, for example, a common stock goes ex-dividend on May 31, an investor purchasing the stock on or after that date will not receive the next dividend check. Compare cum dividend.

The American Heritage® Dictionary of Business Terms Copyright © 2009 by Houghton Mifflin Harcourt Publishing Company. Published by Houghton Mifflin Harcourt Publishing Company. All rights reserved.

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