What’s dividend selection?

Dividend selection is an option offered by a listed company to its shareholders during dividend distributions, allowing them to choose between receiving their dividends in cash or in the form of additional shares.

1.Dividend selection

• Concept: When a listed company distributes dividends, it may offer shareholders the option to receive their dividends in cash or additional shares. Shareholders who hold the listed company’s shares after settlement on the day before the ex-date are eligible to participate in dividend selection.
• How to participate: Go to the Longbridge App > Portfolio > More > Dividend Selection, and submit your application within the period announced by the exchange.
• Reinvestment price: During the initial stage of dividend selection, the reinvestment price may be displayed as “Pending”, depending on how the listed company handles the dividend distribution. The specific calculation date for this price is subject to the documents published by the listed company.

2.Process time

• Overall process time: The time generally follows the schedule published by the exchange and the listed company. Shareholders can make dividend selection from the start time to the deadline.
• Key time:

1. The day before the ex-date: Shareholder eligibility is determined after settlement on this day.
2. From the exchange-announced start time to the deadline: Shareholders can make dividend selection during this period.

This article is for reference only and does not constitute any investment advice.