Sometimes there are some more English letters in the front of the stock, with xr or xd. Investors should not panic at this time. These two letters represent the ex-rights of stocks, as well as the meaning of ex-dividend stocks. So what is the specific ex-dividend and ex-dividend date? Is the ex-dividend date good or bad? This article will give you a brief explanation.

Stock ex-dividend

What does ex-rights and ex-dividend mean?

Ex-rights and ex-dividends means that a listed company distributes stock dividends to shareholders, that is, when the company’s surplus is converted into capital increase, or the stock price is ex-right (XR), XR is the abbreviation of EXCLUDE (removal) RIGHT (right). When a listed company distributes its surplus to shareholders in cash, the stock price will go ex-dividend (XD). XD is the abbreviation for EXCLUDE (except) DIVIDEND (interest). Shareholders who purchased the company’s stock on the ex-right and ex-dividend date are not entitled to this dividend distribution or allotment.

The shares purchased on the NEEQ corporate share transfer registration date are entitled to rights, and those sold are not entitled to rights. Basis: After the “National SME Share Transfer System Stock Transfer Rules (Trial)” was formally implemented, the delivery mode changed from “T+1 full non-guaranteed delivery” to “T+1 full secured delivery”.

Ex-rights and ex-dividend dates are good or bad

Ex-rights and ex-dividend dates are not good or bad, because the essence of stock ex-dividends is to adjust the stock price according to the dividends, bonus shares, etc., without considering the rise and fall, before and after the adjustment, the total assets of the stock holders will not occur. Variety.

For example, if you get 10 for 10, the stock price is 20 yuan on the registration day. If the stock price is 10 yuan after ex-rights and ex-dividends, the stock price has dropped by half and the stock has doubled. The total assets remain unchanged, which is just a digital change.

Of course, when the stock market is relatively good, a large proportion of dividends and stocks are a hype subject that is highly respected by the market, which will cause stock prices to be speculated. From this point of view, stocks with a large proportion of dividends are better, but the speculation is carried out in advance. Yes, it is true that the exemption of power and interest will continue. Whether it can continue or not has to be looked at in detail and cannot be generalized.

The ex-dividend date is the trading day following the equity registration date. On the ex-dividend and ex-dividend date of stocks, the stock exchange must calculate the ex-dividend and ex-dividend price of the stock as a reference for stockholders to open on the ex-dividend and ex-dividend date. Its meaning is the date when stock dividends are distributed to shareholders.

Now everyone should know what ex-rights and ex-dividends mean! Generally, when these two businesses are conducted, the personal interests of investors and the interests of stocks will not be affected by some markets, because investors are assigned to listed companies as usual, and part of the dividends given to investors, so the fluctuations in the market will not be affected. The interests of investors. However, when listed companies are ex-rights and ex-dividends, investors still have to grasp the market conditions before investing.