What happens when the underlying security pays a dividend?
All dividend payments in relation to CFDs occur on the ex-dividend date. If you hold a long position in a CFD on the close of business on the day prior to the ex-dividend date of the underlying security, you will receive an amount equal to the cash dividend on that security, excluding any franking credits. If you hold a short position in a CFD on the close of business on the day prior to the ex-dividend date, you must pay an amount equal to the cash dividend. In some circumstances you may also be required to pay the value of any franking credits applicable to the dividend. If a position has a Guaranteed Stop Loss (GSL) over the ex-dividend date of the underlying security, the GSL Level is adjusted down (for long and short positions) by the amount of the cash dividend.
