Yes, we pay out any dividends that you are eligible to receive.
How do I know if I’m eligible for a dividend?
You’ll usually need to own the relative stock or instrument on or before a specified date, known as the “ex-dividend” date. This date is announced by the company usually a few weeks before the dividend payment date. If you purchased the stock after this date, you won’t be eligible. You’ll be able keep track of upcoming dividend payment dates in the Lightyear app by checking the Investment Calendar.
When will I receive my dividend?
We normally receive dividends within one business day of the payment date and allocate them as quickly as possible to your account. You don’t need to do anything, it will automatically be credited and you’ll receive a notification as well as a record in your activity feed.
Do you pay dividends for applicable fractional shares?
Yes we do, rounded to the nearest cent. You’ll receive the relative percentage proportionate to the amount of the share you hold, e.g if you hold 0.5 of a dividend paying share, you’ll receive 0.5 of the dividend amount.
Dividends are usually subject to regional withholding tax which is automatically deducted. We display the relative tax rate and deducted amounts to you in the dividend activity.
For eligible non-US taxpayers, we have submitted the relative W-8 BEN form to reduce your dividend withholding tax rate from 30 to 15% for any US dividends you receive.