Question

Scotia bank recently decleared a regular quarterly dividend of $0.50,payable on 12 November,to holders of records on 1 November .28October is the ex-date.which date would be the last day an investor purchasing Scotia's shares would receive the quarterly dividend?

Answer 1

Dividend record date: The date on which the company prepares the final list of investors / shareholders to receive the final payment of dividend is known as dividend record date

Payable date: November 12

Record date: November 1

Ex dividend / Ex date: October 28

Generally, a share would become ex-dividend two business days before the record date. Thus, the last day an investor would purchase Scotia's shares in order to receive quarterly dividend is 28 October

In other words, if an investor buys a share / stock before the ex-dividend date, he is entitled to receive the upcoming dividend payment. If an investor buys a share / stock on or after the ex-dividend date, he is not eligible to receive the latest declared dividend. Generally, a stock that has become stock dividend is marked "x" in newspapers on that particular date,