dividend
Say it: DIV-ih-dend /ˈdɪvɪdɛnd/ · noun
What “dividend” means
Company profits paid to people who own its shares.
More precisely: A share of a company's profits paid out to its shareholders.
Example: “The company pays a dividend twice a year.”
When to use it
In investing discussions, when talking about money a company distributes to the people who own its shares.
Similar words
payout, distribution, return
Where it comes from
From Latin dividendum, "thing to be divided."
Quick check
You own shares in a supermarket, which sends you part of its profits while you keep those shares. That's…
a refund or a dividend?
Show the answer
a dividend
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