What is a dividend and how to calculate

Dividends are when a company’s earnings are distributed to its shareholders. Dividends can be issued as cash payments, shares of stock, or other equivalent property. Dividends can also be paid on share trades. If you trade a long position, your account will be credited and for short positions, your account will be debited.

The dividend is calculated as follows:

Number of CFDs x Gross points

Please note: Some exchanges require a withholding tax to be applied to dividend payouts. These are passed on to the client.