What are dividends, and how/when do I get them?
What are dividends?
In simple terms, dividends are payments made by a company to its shareholders. These are usually a distribution of profits.
Some investors have the perception that dividends come with each investment choice they make, which is not necessarily the case. There are various online resources available to view which companies are currently scheduled to pay dividends to shareholders. One of these is Sharenet, who publishes a market calendar here. Select the drop down option and then select “Dividends-LTD” (this is the last day to trade date to be eligible for the dividend) or “Dividends-PAY” (payment date for eligible shareholders).
Now that you have invested in a dividend-paying company, how will you know when you’ve received dividends?
When dividends are distributed on EasyEquities, funds are paid into the investors’ available funds. Thereafter, investors can reinvest the funds, let them accrue interest, or withdraw them into their bank accounts.
Dividends payments into your account will look like the below:
Should you wish to see what dividends have been paid to you over a period of time, the most efficient way is to run a report over the date range required, download the report to Microsoft Excel, and then sort/filter to get all the line items that are dividend related. See this FAQ article here on how to run a report.