FAQ
Dividents
What are dividends?
Dividends represent the portion of a company's profit paid out to shareholders, and this is determined by the board of directors of a company. They are usually given as a monetary amount per share or as a percentage of the share price, known as the dividend yield.
If you're trading stock CFDs, you don’t own the actual shares, but your positions can still be impacted by corporate actions like dividends.
In these cases, dividend adjustments are applied to CFD positions to account for the price movement that typically occurs on the ex-dividend date.
Long positions receive a positive adjustment credited to the account.
Short positions receive a negative adjustment debited from the account.
These adjustments are not dividends in the traditional sense, but they help ensure your trading account reflects the impact of the corporate action.