The dividend record date occurs two days after the ex-dividend date. The dividend record date is the date that a corporation uses to determine who is to receive the dividend checks. Since it takes three days for a shareholder’s information to make onto the corporations books, an investor must own a dividend paying stock one day before the ex-dividend date, which is three days before the dividend record date.
The dividend record date is also referred to as the date of record.
Related Terms: Dividend Declaration Date – Ex-Dividend Date – Dividend Payment Date – Dividend