Ex-Dividend date (SIE)

FINRA
1

According to the textbook the ex-dividend date is the same as the record date. Reason being that regular-way transactions settle after 1 business day.

When I reference other resources like YouTube lecture videos, most say the ex-dividend is actually a day before the record date and transactions settle after 2 business days. Is there a reason for this discrepancy or has FINRA recently changed their rules regarding that?

2

Hi @Elvira_Bailey,

Yes, the rules were changed in May 2024 when settlement was shortened to T+1. Under the new rule, the ex-dividend date is the same as the record date, since trades now settle in one business day. All of our materials are fully updated to reflect this change!

Please let us know if there’s anything else we can do to support you as you study.

Thank you,
Mataia