What is Record Date ?

A Record Date is a Date on which the ownership of the shares are recorded newly after declaring dividend.

When a company's Board of Directors propose dividend, they also declar a date for AGM and another for Record date. On the record date the shares of the company remained suspend (no trade occured on this date).

If you have the shares of this company on record date to your account then you will be eligible of getting dividend declared by the company. Bacause on this date CDBL register the new ownership of the shares.

For Example : has If you have 20 shares of CONFIDENCE CEMENT in your BO account on the record date declared by the board of directors of CONFIDENCE CEMENT then you will get the dividend approved in the AGM.



You may have interest about the followings
What is Authorized Capital ?
What is Public Limited Company ?
What is Profit ?
What is Dividend ?