To receive dividends, we need to be aware of specific days. This is because the answers to dividend-related questions are provided on these particular days.
1.Announcement Date (or Declaration Date):
The Announcement Date or Declaration Date is when a company's Board of Directors decides and announces how much dividend they will give to their shareholders and when. This is an important day because it provides answers to the following questions:
• How much dividend will we receive?
• When will the dividend be available?
• Who will be eligible to receive the dividend?
2. Record Date:
The Record Date is the most crucial day to know about when it comes to dividends. This is because on this day, we can only receive the dividend from a company if we hold the company's shares in our Demat Account (a type of electronic securities account).
The company determines the eligibility for dividend payment on this day based on the ownership of shares.
3.Ex Dividend Date:
If we buy shares of a company after the Ex Dividend Date, we will not receive the dividend that the company will provide. However, if we purchase shares on or before this date, we still have the opportunity to receive dividends.
Typically, the Ex Dividend Date occurs two days before the Record Date.
These three days are the most important days in relation to dividends.
Besides these, there are a few more days to be aware of in the context of dividends.
I encourage you to explore and learn about them on your own..

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