The ex-dividend date, also known as the reinvestment date, is an investment term involving the timing of payment of dividends on stocks of corporations, income trusts, and other financial holdings, both publicly and privately held.

What does ex-dividend date mean?

The ex-dividend date, or ex-date, marks the cutoff period in which you can purchase a stock to receive the upcoming dividend payment. If you own shares the day before the ex-dividend date, you receive the next dividend payment. If not you purchase the stock on the ex-date or after, the seller gets the dividend.

Will I get dividend if I buy on ex-date?

If you purchase a stock on its ex-dividend date or after, you will not receive the next dividend payment. Instead, the seller gets the dividend. If you purchase before the ex-dividend date, you get the dividend. ... At the same time, those who purchase before the ex-dividend date on Friday will receive the dividend.