What is Record Date? Who Gets Dividend, Bonus, and Rights Benefits
Record date determines who is officially eligible for corporate action benefits.
The record date is the date on which a company checks its register of shareholders to determine who is eligible for a declared corporate action: dividend, bonus, rights issue, or stock split. Only shareholders whose names appear on the record date receive the benefit.
With T+1 settlement in India, you must buy shares at least one trading day before the record date for settlement to complete. If the record date is Friday, you must buy by Wednesday (allowing for any trading holidays).
How does record date differ from ex-date?
Record date is when the company checks ownership. Ex-date is the first day the stock trades without entitlement. With T+1 settlement, ex-date is typically one day before record date.
Does record date apply to all corporate actions?
Yes. Dividends, bonus shares, stock splits, rights issues, and buyback entitlements all use record dates to determine eligible shareholders.
Track record dates for all corporate actions on Stockk Equity and never miss an entitlement. Manage all your holdings from one Stockk demat account.
Investments in securities market are subject to market risks. This article is for educational purposes only and does not constitute investment advice. INDIRA SECURITIES PRIVATE LIMITED : SEBI REG. NO.: INZ000188930, NSE TMID: 12866, BSE TMID: 663, CDSL DPID: 17000, MCX TM ID: 56470, NCDEX TM ID: 01277, CDSL REG.NO.: IN-DP-90-2015, CIN:U67120MP1996PTC085111, RA SEBI REG. No.: INH000023269, IA SEBI REG No.: INA000021410. For any complaints pertaining to securities broking please write to [email protected], for DP related to [email protected].
Frequently Asked Questions
Can record dates change?
Companies can postpone record dates. Any change must be announced through exchanges. Use StockkAsk at stockk.trade/stockkask for the latest corporate action dates.
What if I hold shares in multiple demat accounts?
You receive benefits in each demat account based on shares held in that account on the record date.
Does record date affect F&O positions?
Derivatives are adjusted for corporate actions but the mechanism differs from cash market. Check exchange circulars for specific adjustments.
How far in advance is record date announced?
Typically 7 to 21 days before the record date. Companies must give adequate notice to shareholders.
Is there a difference between book closure and record date?
Book closure is a period during which share transfers are not processed. Record date is a single day. Modern practice favors record date. Some companies still use book closure.
Investments in securities market are subject to market risks. This article is for educational purposes only and does not constitute investment advice.
INDIRA SECURITIES PRIVATE LIMITED : SEBI REG. NO.: INZ000188930, NSE TMID: 12866, BSE TMID: 663, CDSL DPID: 17000, MCX TM ID: 56470, NCDEX TM ID: 01277, CDSL REG.NO.: IN-DP-90-2015, CIN:U67120MP1996PTC085111, RA SEBI REG. No.: INH000023269, IA SEBI REG No.: INA000021410
