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Disclaimer: Activities in the Egypt market are conducted through Thndr Securities Brokerage, which is a member firm of the Egyptian Stock Exchange and is authorized and regulated by the Financial Regulatory Authority . Registered in Egypt (no. 804)
When you buy shares in a company, you become one of its shareholders.
Some companies choose to share part of their profits with shareholders. This is called a dividend.
A dividend can be:
- Cash dividends (money paid to shareholders)
- Stock dividends (free shares added to your account)
Dividend Terms to Know
- Announcement Date: The company confirms it will distribute a dividend and announces the key dates.
- Record Date: On this date, the company reviews its shareholder records. If you hold the stock by the end of trading on this date, you are considered eligible for the dividend.
- Ex-Dividend Date: is the last date to qualify for the dividend. If you buy the shares on or after the ex-dividend date, you will not receive the dividend.
- Payment Date: This is when the company actually sends out the dividend.
Cash Dividends
Cash dividends are direct cash payments that a company gives to its shareholders.
- The company transfers a specific amount of money for each share you own.
- For example, if a company pays EGP 0.50 per share and you own 100 shares, you receive EGP 50.
- Cash dividends come from the company’s profits or retained earnings.
*You will receive an email if you are eligible for dividends.
How you receive your cash dividends depends on your custodian:
Thndr Custody
Your cash dividend is added directly to your Thndr wallet within 5 working days from the company’s payment date.
KFH Custody (previously AUB)
KFH requires shareholders to collect cash dividends in person. To collect your dividend:
- Visit one of KFH’s branches
- Bring your national ID
KFH distributes the dividend according to the company’s instructions and custody records.
Taxes
A government tax is deducted automatically:
- 5% for Egyptian investors
- 10% for foreign investors
Stock Dividends
Stock dividends are free shares the company gives to its existing shareholders.
- Instead of receiving cash, you receive additional shares in your account.
- Stock dividends (free shares) are added automatically to your Thndr account.
- No action is needed from your side
- Shares are added after the company completes its distribution process
- You will see the new shares in your portfolio once the transfer is finalized
