Every financier knows much about dividends, but for those whose work is not related to the economy and finance, this concept - an enigma.It is not superfluous to understand it as dividends - an additional source of income, but with some nuances.Suppose you have a successful company.Part of the profits earned in the current year, it aims at the development of the company, the remainder (dividend) gives to those who are entitled to it - shareholders.The value of income depends on the decisions taken at the shareholders' meetings.In Russia, many companies pay little dividends.However, large organizations tend to raise them, in that they even support public authorities.
Experience West
rich experience in this field have in other countries.For the first time financial indices started to count in the 90-ies of the XIX century.All the western stock is divided into two main groups:
- Organizations with "growth stocks."The bulk of the profits they have sent to you to develop the business, and no dividends were paid.The value of shares can go up very high.
- second type of enterprises, the profits of which go to dividends - "cash cows".The value of shares they practically do not grow.
Dividends - this is the share of profits that the company pays to its shareholders after will pay all fees.It should be noted that the receipt of income is often not the main purpose of the acquisition of shares.The main thing here - the ability to see the potential for growth.
How to get dividends?
deserved to become the owner of the income, having to hold the shares for a year, you can purchase them at the moment when the register will be closed.Such date shall be approved at a meeting of the Board of Directors.It usually falls on spring and summer are meeting.There are different ways in which can pay dividends.It:
- payment of a special brokerage account;
- transfers to current accounts in banks;
- cash payments;
- remittances.
Do not think that by buying shares on the day before the record date, and then selling them at once, you can get huge dividends.This is not true.The fact that this period of market value of shares is decreased by an amount which is proportional to the premium paid for them.
rate payments
size and order of payment of dividends shall be established by the Shareholders Meeting.This can occur quarterly, 6 or 12 months.For example, this summer, many large organizations distributed income from the part of the profit earned for the last, 2012.Accordingly, the dividend payment will be made by 2013 in the next year.
new rules
In 2014, there will be significant changes.Here are some of them:
- Income shares will be distributed under the new rules.Dividends must be paid even if the Company reduces its share capital.
- Previously, the order of payments shall be set by yourself, now it will be allowed only when non-cash payments.Dividends on the new amendments will have to be translated by post or transfer to a bank account.
There are other changes whose purpose - to improve the relationship between companies and shareholders.
So, now you know that the amount of the dividend depends on the profit earned by the organization.If you have a desire to acquire the shares of any company to get a good income, first carefully read everything related to its activities.Note the prospect of its development, the stability of the market.
