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Ex div - record date settlement date

Discussion in 'Shares' started by handyandy, 6th Nov, 2008.

  1. handyandy

    handyandy Well-Known Member

    6th Jun, 2006
    Sydney Nsw
    Hi Guys

    I am just trying to clarify the exact meaning of these and other relevant date/terms associated with the payment of dividends.

    Obviously Ex div date is the day that the the shares goes ex dividend but is this date the inclusive or is it the day after? My understanding at this point is that the ex div date is the first day on which the share trades ex dividend. Yes or no?

    To ensure that you receive the dividend you need to have purchased the actual share some days prior to the ex div date to allow for settlement. Is this correct? ie you are not registered as the owner until the day of settlement. T+3 or whatever it is these days.

    Record date - now this is the one that really leaves me wondering. Is it relevant or not?

    It seems to me that as long as you have settled prior to the ex div date then the record date is of no relevance as on the share register I will have been recorded as the owner of the share on the day prior to the ex div date. This should be the case even if on the ex div day I were to sell all shares?


    PS the other question - what length of time do you need to own shares to be able to use the imputation credit?
  2. AsxBroker

    AsxBroker Well-Known Member

    8th Sep, 2007
    Sydney, NSW
    Hi Handy,

    So many great questions.

    Takes me back to my scrip/corporate actions days...ahhh the memories...
    See below for answers...

    45 days...

    Hope this helps...