![]() Furthermore, for stock splits, the record date comes before the ex date, whereas for cash dividends, the record date comes after the ex date. With stock splits, however, people who purchase shares after the record date (but before the ex date) are entitled to the stock split. With cash dividends, people who become shareholders of record after the record date are not entitled to the dividends. Judging by the Apple FAQ, the way the record date works for stock splits is completely different from the way the record date works for cash dividends. Following the split, you will receive (or your brokerage account will be credited with) the additional shares resulting from the stock split. If you buy shares on or after the Record Date but before the Ex Date, you will purchase the shares at the pre-split price and will receive (or your brokerage account will be credited with) the shares purchased. What happens if I buy or sell shares on or after the Record Date and before the Ex Date? However, further down in the FAQ, there is an explanation that seems to contradict the definition of the record date given above: The Ex Date – Augthe date determined by Nasdaq when Apple common shares will trade at the new split-adjusted price. The Split Date – Augshareholders are due split shares after the close of business on this date. The Record Date – Augdetermines which shareholders are entitled to receive additional shares due to the split. In the case of the Tesla split, the record date is August 21, the split date is August 28 (Friday), and the ex date is August 31 (Monday).Īpple's Investor Relations FAQ provides definitions of these dates: Trading will begin on a stock split-adjusted basis on August 31, 2020. ![]() Examples:Įach Apple shareholder of record at the close of business on Augwill receive three additional shares for every share held on the record date, and trading will begin on a split-adjusted basis on August 31, 2020.Įach stockholder of record on Augwill receive a dividend of four additional shares of common stock for each then-held share, to be distributed after close of trading on August 28, 2020. ![]() Stock split announcements usually mention a few dates - record date ("date of record"), split date ("distribution date", "pay date", or "payment date"), ex date ("ex-split date"). ![]()
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