A dividend is a distribution of a company’s profits to its shareholders. Dividends typically get paid out on a regular basis. Our self-directed trading accounts support dividend stocks as long as they meet our eligibility criteria.
Dividend payment eligibility
The two important dates to pay attention to with looking at dividend payment eligibility are the Record Date and Pay Date:
- The Record Date is the day the company checks its records to identify its shareholders
- The Pay Date is the day the dividend is paid out to shareholders
To qualify for the dividend payment, shares you purchase must settle in your account before or on the Record Date. Since all orders take two business days to settle, make sure you buy any shares 2-3 business days before the Record Date.
View your recent dividend payments
Dividends are paid directly to your cash balance in Canadian Dollars. To view your recent dividend payments, follow these steps:
- Sign into the Wealthsimple app on your mobile device
- Tap the Profile icon at the bottom of the screen
- Choose the Activity menu item
- Select Filter in the top right-hand corner
- Scroll down to Activity Type and choose the Dividends menu item
- Select Done and you will see all of your dividend payments, along with when you received them, and the amount earned
- Log into my.wealthsimple.com and sign in to your Stocks, ETFs & Crypto profile
- Select the Activity from the top menu bar
- Under Filters, scroll down to Activity Type and choose the Dividends menu item
- You will see all of your dividend payments, along with when you received them, and the amount earned
- All cash dividends are paid out on their payment date, although there may be a delay before we post the proceeds in your account. This can happen if our clearing broker needs extra time to send us the funds.
- Dividends from U.S.-listed companies are paid into the account where the shares were held on the dividend Record Date.
- Dividends paid out by U.S corporations into a TFSA or Personal account include a 15% non-resident withholding tax.
Dividend Reinvestment Programs (DRIP)
For information on Dividend Reinvestments, check out this article.
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