The Aussie share market is not having a great start to the week. In late morning trade, the S&P/ASX 200 Index (ASX: XJO) is sliding by around 0.7%. But the Australia and New Zealand Banking Group Ltd (ASX: ANZ) share price is faring considerably worse.
At the time of writing, the company's shares are down 3.33% to $25.87.
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Shareholders lock in the ANZ interim dividend
With the earning seasons wrapped up for some of the major banks, ANZ is trading ex-dividend.
This comes after the banking giant released its half-year scorecard on 4 May, reporting growth across key financial metrics.
The board opted to slightly increase its upcoming interim dividend by 2.9% over the prior corresponding period.
Typically, one business day before the record date, the ex-dividend date, is when investors must have purchased shares. If the investor does not buy ANZ shares before this date, the dividend will go to the seller.
When can shareholders expect to be paid?
For those eligible for ANZ's interim dividend, shareholders will receive a payment of 72 cents per share on 1 July. The dividend is fully franked at a corporate tax rate of 30%, which means investors will receive tax credits from this.
In addition, investors can elect for the dividend reinvestment plan (DRP), which will add a portion of shares to their portfolio instead. This will be based on a 10-day volume-weighted average price from 13 May to 26 May.
There is no DRP discount rate and the last election date for shareholders to opt in is 11 May.
Under the company's capital management framework, there is typically a 60% to 65% targeted dividend payout ratio.
ANZ share price summary
Since the beginning of 2022, ANZ shares have lost 6% on the back of weakened investor sentiment. The ASX 200 Index is also down around 4% over the same timeframe.
ANZ shares reached a 52-week low of $24.65 in March, before sharply rebounding in the weeks following.
Based on today's price, ANZ commands a market capitalisation of roughly $72.2 billion, and has a trailing dividend yield of 5.5%.
