As we move throughout the month of June, a number of ASX shares have their ex-dividend date coming up.
An explanation for the ex-dividend date is when investors must have purchased a company's shares. Let's say you buy XYZ shares on or after the ex-dividend date, then the upcoming dividend will go to the seller.
Below, we take a look at the three small-cap shares that are trading ex-dividend next week.
Which ASX shares are going ex-dividend?
KMD Brands Ltd (ASX: KMD) shares will trade ex-dividend next Tuesday for the adventure retailer's NZ$0.03 cents (A$0.027) per share fully franked dividend. This will be paid to eligible shareholders on 30 June. The KMD Brands share price closed down 3.67% at $1.05 on Friday.
Plato Income Maximiser Ltd (ASX: PL8) shares are set to trade without the rights to the investment company's $0.0055 cent per share fully franked dividend on Wednesday. Shareholders will have to wait until 30 June for their paycheck. Plato shares closed 1.25% higher on Friday at $1.215.
Tower Ltd (ASX: TWR) shares will also trade ex-dividend next Wednesday for the New Zealand-based insurer's NZ$0.025 cents (AS0.023) per share unfranked interim dividend. Eligible Tower shareholders can expect to be paid this dividend on 30 June. The Tower share price closed in the green on Friday, up 1.67% to 61 cents.
It is worth noting that, commonly, the share price of a company drops on the ex-dividend date by the amount of the dividend that is paid to shareholders.
Foolish Takeaway
To qualify for any of these dividends you need to make sure you are on the share registry before the ex-dividend date. Again, this is either Tuesday or Wednesday, depending on which ASX share you buy.
It's worth noting that if you sell on or after the ex-dividend date, you will still qualify for the dividend.
