Ex-Date

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Ex-Date

1. See: Ex-dividend date.

2. The date on which the new price of a stock is listed following a stock split. A stock split reduces the price per share, and tickers on exchanges reflect this on and after the ex-date.
References in periodicals archive ?
We find that for both taxable and nontaxable samples, small investors sell before the ex date and buy from the ex date, suggesting that small investors prefer low-priced stocks.
The nuisance hypothesis considers the transaction cost associated with odd-lot trading, the price effect hypothesis considers the price drop on the ex date, and the tax hypothesis emphasizes the income tax liability of the dividend.
Previous research has offered several explanations for the ex date phenomena.
Therefore, small investors who will end up with an odd lot after the distribution have an incentive either to sell before the ex date or to buy afterwards.
Hypothesis 1: For both nontaxable and taxable samples, the order imbalance for small investors will be negative before the ex date and/or be positive on the ex date and afterwards.
One attribute of a stock dividend is that the stock price on the ex date will drop significantly: a stock dividend with a 20% distribution rate prompts the price to drop 16.
Hypothesis 2: For both nontaxable and taxable samples, the order imbalance from noise traders or investors who are subject to a wealth constraint will be negative before the ex date, and positive on the ex date and afterwards.