Dividends

When dividend payments occur, Key to Markets makes an adjustment to your MT4/MT5 account: a credit if you have a long position, a debit if you have a short position. Key to Markets may or may not inform you about dividend details in advance, as you are supposed to be informed about such market events as stock splits, macroeconomic releases and so on.

In order to know the exact amounts of dividends that are periodically paid on individual shares, we encourage all clients to check this information on the official websites of the various stock exchanges where the securities are traded (e.g. NYSE, Nasdaq, etc.), which constantly release this information.

Below you can find a sample link where you can find this information:

Nasdaq Dividends.

Another way to find out the exact amount is to check the ‘investors’ or ‘investor relations’ section of the companies’ official websites.

Obviously, the ex-dividend on individual shares also has an impact on the price of the indices of which those shares are part, so we also make adjustments to your MT4/MT5 account following the same principles as above. In this regard, the calculation of the amount you receive/pay on the particular index when one or more shares of that index pay dividends depends on various factors, including the type of index (whether it is capitalisation- or price-weighted, etc.). Please CLICK HERE to get a general idea of the calculation that is performed to determine the amount in points of dividends on two indices (SP500 and DJ30).