NASDAQ Announces Ex-Dividend Date Changes For T+2 Settlement
Client Memorandum

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For most securities transactions, on September 5, 2017 the settlement cycle will shorten from three business days to two business days after the trade date, or T+2, as we discussed in a prior client memo. With the upcoming move to a T+2 settlement cycle, NASDAQ companies paying dividends in September or later should pay close attention to changes to the ex-dividend date when selecting record dates and preparing related announcements.

An ex-dividend date, or "ex-date," is the date prior to which an investor must purchase a security to be entitled to receive a previously declared dividend. NASDAQ recently announced that, in order to avoid investor confusion about proper settlement, no NASDAQ-listed securities will have an ex-date of September 5, 2017.