An ex-dividend date is a day when the share is trading without the dividend value in it. The share price is called the ex-dividend share price on the ex-dividend date and after that. On the ex-dividend date and onward the shareholders will not receive the dividend as it has been declared.
At the time of dividend declaration, the board decides a date called record date. To be entitled for receiving cash dividends a person has to be a shareholder in the company’s record. After the ex-dividend date the dividend will only be paid to a person who was a shareholder on the record date.
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