In stock investment, there are two special dates that are often mentioned that many individual investors do not really understand and understand. Those are the Exemption Date and the Last Registration Date. These are the two timelines that investors need to pay attention to the most. The reason for these two dates is that because shares are bought and sold on a regular basis in the market, the issuer must identify the existing shareholders. Please refer to the information What is the ex-rights date, What is the last registration date?

What is the ex-dividend date?

This is the trading day on which investors, when buying shares, will not be entitled to shareholders’ benefits such as the right to receive dividends, the right to buy additional shares or the right to attend the General Meeting of Shareholders…

Exempt transaction date

Example: The ex-dividend date is the date, if you buy shares on or after that date, you will not be entitled to the dividend of that distribution. On the ex-dividend date, the stock’s price will drop by an amount equal to the value of the dividend. Those who receive dividends will be compensated by the same amount of dividends during the announced dividend payment period.

Viewing: What is ex-rights date

What is the last registration date

?The last registration date (also known as the closing date of the list) is the closing date for the list of shareholders owning securities to exercise shareholder rights.

At the closing date of the list, if the investor is on the list of securities owners, they will receive their rights such as the right to attend the General Meeting of Shareholders, the right to receive dividends, the right to buy additional shares, etc.

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Last registration date

Meaning of ex-dividend date and last registration date

First of all, it is necessary to clarify the understanding of rights. The right should be understood more broadly, not only the right to receive dividends, but also the right to buy additional shares issued at a preferential rate or price, the right to vote, the right to contribute opinions on business activities. of the company. Specifically, these rights will be clearly stated in the notice of that company.

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Thus, the ex-rights date on which the investor buys securities will not receive the above rights. According to regulations, the Securities Depository Center will close the list of shareholders of the issuer. T+3 payment term transactions, that is, transactions with a payment term of “3 days”, here understood as “3 working days” (excluding Saturdays, Sundays and public holidays) ), buy shares 2 days before the registration date of ownership that is not listed in the shareholder book because the transaction has not been paid, will not be entitled to the right. Then, the date T+3, T+2, T+1 is announced as the ex-rights date.

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Depending on the purpose of the lockout, the investor will be notified of the stock price adjustment corresponding to the right to buy shares. If the right to pay the dividend is locked, the investor will also be notified of the dividend paid. Accompanied with the ex-dividend date, there is a final registration date to close the list of shareholders. Understood from this date and earlier, investors who make transactions are still recorded in the list of shareholders to close their rights. “How long do shareholders hold shares to have the right to receive dividends?”. If the above provisions are applied, as long as a shareholder is listed on the list on the closing date, that shareholder will automatically enjoy the benefits, regardless of whether the shareholder has held the shares for a long time or just registered. before the closing date.

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Meaning ex-right date

Through the above article, hope you have more useful knowledge in investment trading. If you have any questions, please contact us as soon as possible. Good luck!