What is an ex dividend date?

Answer 1

The ex-dividend date is the date on which a stock no longer trades with it's most recent dividend. Stocks purchased on the ex-dividend date will not settle in time for the record date (date in which you must be an owner of stock on the company's books). Because of this you would not receive the dividend that is soon to be paid out. Stocks are usually noted with an x before their symbol on this date and the quoted price will typically be lower due to the fact that the stock is no longer trading with the dividend.