XM’s dividend adjustment on stocks

Individual stocks will be affected by dividend adjustments.

When a company pays dividends to shareholders, it means that the value of the company is reduced through the dividends.

This will be reflected on the ex-dividend date (that is, the company’s opening day after the value of the dividend is deducted), when the market opens for trading, the company’s stock price will fall.

If you own dividend-paying stocks, you can get the dividends after-tax deduction on the ex-dividend date.

The dividend tax rate is as follows:

• Germany: 25%
• United Kingdom: 0% (tax exemption for dividends)
• United States: 30%

The formula for earning dividends for long positions is as follows:

Dividend adjustment = dividends distributed x stock position size x (1—tax rate)

U.S.: 30% ( According to U.S. regulations, individuals are required to pay up to 30% withholding tax rate. However, given that the U.S. has signed tax treaties with certain countries/regions, you will be entitled to a higher rate if certain conditions are met. Low withholding tax rate. XM requires you to provide the necessary documents, namely the W-8BEN form, so that it can be adjusted to the corresponding tax rate according to your jurisdiction and situation. )