Property Dividend

  

A “property dividend” is just like a normal dividend, but instead of getting paid in cash, we get paid in shares or some other physical asset, like real estate or company product.

Property dividends aren’t super common, but seriously, how cool would it be to own a bunch of stock in a car company, and then, instead of receiving a cash dividend one year, they just send us a brand new car? Pretty cool indeed. Of course, we’d have to pay taxes on the fair market value of that car, just like we would on any other dividend, but still. Brand new car.

Find other enlightening terms in Shmoop Finance Genius Bar(f)