What is Dividend Notification?
A dividend notification is a formal process that corporations follow as part of the preparation for record date of a stock dividend. The notification is provided to the Uniform Practice Department of NASDAQ; this allows the stock market to set what is known as the ex-dividend date associated with the dividend. Currently, companies are required to report this information no later than ten days before the actual record date for the stock dividend. Providing the dividend notification at least ten days before the record date is key to making sure that any transactions involving the security associated with the dividend are completed in a timely manner. By issuing a formal notice to NASDAQ, it is possible for the stock market to set the ex-dividend date, publish the date and thus provide all investors with transactions pending the opportunity to complete them before the record date arrives. The dividend notification is a mechanism that is in the best interests of all investors with transact
Related Questions
- Do I have to notify NASDAQ Corporate Data Operations about a dividend if I provide notice of the dividend announcement through the Electronic Disclosure System?
- Are companies that list American Depositary Receipts on NASDAQ required to report the declaration of a dividend?
- What is Dividend Notification?
