dividend
B2Formal (in financial contexts), Neutral (in extended/metaphorical use)
Definition
Meaning
A sum of money paid regularly (typically annually) by a company to its shareholders out of its profits.
A benefit or advantage gained from something; a bonus or reward. In mathematics, a number to be divided by another number.
Linguistics
Semantic Notes
Primarily a countable noun. The financial sense is dominant. The metaphorical sense ('reap dividends') implies a positive return on effort or investment.
Dialectal Variation
British vs American Usage
Differences
No significant differences in core meaning or usage. Spelling and pronunciation follow standard BrE/AmE patterns.
Connotations
Identical in both varieties. Strongly associated with corporate finance and investment.
Frequency
Equally frequent in both varieties due to global financial terminology.
Vocabulary
Collocations
Grammar
Valency Patterns
N + pay + dividendN + declare + dividendN + receive + dividenddividend + of + amountdividend + on + sharesVocabulary
Synonyms
Strong
Neutral
Weak
Vocabulary
Antonyms
Phrases
Idioms & Phrases
- “reap the dividends”
- “pay dividends”
Usage
Context Usage
Business
The board voted to increase the dividend by 5p per share.
Academic
The dividend discount model is a key method for equity valuation.
Everyday
All that studying really paid dividends when she aced the exam.
Technical
The ex-dividend date is the first day the stock trades without the right to the declared dividend.
Examples
By CEFR Level
- The company pays a dividend every year.
- Shareholders were pleased with the large dividend.
- Investors often choose stocks for their reliable dividend income.
- The firm's conservative dividend policy reflects its focus on long-term capital growth over short-term shareholder returns.
Learning
Memory Aids
Mnemonic
Think of DIVIDEND as the money that is DIVIDED among the owners (shareholders) of a company.
Conceptual Metaphor
INVESTMENT IS A SEED (planting effort/time/money now yields a dividend/harvest later).
Watch out
Common Pitfalls
Translation Traps (for Russian speakers)
- Avoid confusing with 'дивиденды' (dividends) and 'дивиденд' (dividend) in mathematics, which are direct cognates and correct. The trap is in the metaphorical use: 'to pay dividends' translates idiomatically, not literally.
Common Mistakes
- Using as a verb (e.g., 'The company will dividend the profit' - INCORRECT). Confusing 'dividend' with 'divident' (misspelling).
Practice
Quiz
In the sentence 'His hard work paid dividends,' what does 'paid dividends' mean?
FAQ
Frequently Asked Questions
Primarily, yes, in finance. However, it is commonly used metaphorically to mean any beneficial result ('peace paid dividends').
No, 'dividend' is solely a noun. The related verb is 'to divide'.
A dividend is a share of a company's profits paid to shareholders (owners). Interest is a charge for borrowed money, paid to lenders or depositors.
It refers to a stock that is trading without the value of its next dividend payment. Buyers of an ex-dividend stock will not receive the upcoming dividend.
Collections
Part of a collection
Business Vocabulary
B1 · 50 words · Fundamental language of commerce and trade.
Economics Terms
B2 · 50 words · Key vocabulary for economics and financial systems.