The Korea Securities Depository noted on the 20th that to receive dividends from listed companies with a December settlement of account, one must purchase the company's stock by the 26th of this month.
To be eligible for dividends from listed companies with a December settlement of account, one typically must hold the stock as of December 31 of this year. However, when purchasing stock, settlement occurs two business days after the transaction, so the holding will not be reflected in the shareholder's securities account until then.
Since the 31st is a market holiday, the last day to hold shares for this year will be the 26th, which is two business days before the 30th. If one buys shares on the 27th, settlement will be made on January 2 of next year, and stock ownership will not be recognized as of the end of this year.
For holders of physical stock certificates, they must electronically register them with a securities company account or complete a name transfer by the 31st to be recognized for dividends. If the physical stock is not subject to electronic registration, they must find an agent for the name transfer by the 31st or visit a securities branch to deposit the certificates by the 27th.
A representative from the Korea Securities Depository said, "There are cases where a company changes its articles of incorporation and sets the settlement dividend record date to a day other than December 31. In this case, it is necessary to check the record date through public notice and purchase the stock two business days in advance."