Upcoming ex-distribution date: 1 Oct 2024
Upcoming record date: 2 Oct 2024
Upcoming payment date: 16 Oct 2024
ETFs, such as BetaShares Western Asset Australian Bond Fund (Managed Fund) (BNDS), pay distributions instead of dividends. The difference is that dividends are declared by companies from part of the profits made during any given year and the company’s management decide the amount of earnings retained verses how much to pay out to investors. An ETF, like BetaShares Western Asset Australian Bond Fund (Managed Fund) (BNDS), must pay out all realised income. This is a combination of any dividends received plus capital gains realised from the buying and selling of underlying holdings within BetaShares Western Asset Australian Bond Fund (Managed Fund) (BNDS).
A distribution has three key dates:
Ex-distribution date: Date the distribution value leaves the ETF. This will normally correspond with the ETF unit price dropping in value by the same amount as the distribution.
Record date: Date someone must be on the unit registry to receive the distribution.
Payment date date: Date the distribution is paid to the unit holder.