<div data-page-id="TEXWdD6ymoXCMdxa4uPupZQSs1c" data-lark-html-role="root" data-docx-has-block-data="false"><h2 class="heading-2 ace-line old-record-id-YtINdraInojdHoxrIJZuezh7srd"><strong>Key Takeaways</strong></h2><ul start="1" class="list-bullet1"><li class="ace-line ace-line old-record-id-KcaVdyIjOoJuPJxrjRVudSJtslb" data-list="bullet"><div><span style="font-size: 16px;">Corporate actions are events initiated by listed companies that affect the company or shareholder's rights.</span></div></li><li class="ace-line ace-line old-record-id-Z7j2duH8Mo33oBxdp7juJSeRsNe" data-list="bullet"><div><span style="font-size: 16px;">Stock splits and reverse splits adjust share prices and the number of shares outstanding without changing shareholder's total ownership value.</span></div></li><li class="ace-line ace-line old-record-id-RKqldl9XmovHKpxNVU8upuAUsof" data-list="bullet"><div><span style="font-size: 16px;">Rights issues and private placements are common fundraising methods, but they differ in eligibility and transferability.</span></div></li><li class="ace-line ace-line old-record-id-Qc68djihWoCwEUxU9QVub2xUsZf" data-list="bullet"><div><span style="font-size: 16px;">Bonus shares are a form of stock dividend in which companies distribute additional shares to shareholders.</span></div></li><li class="ace-line ace-line old-record-id-FLxsdkJ5nopUtMxc45wuXSHRsgd" data-list="bullet"><div><span style="font-size: 16px;">Shareholder meetings are the highest decision-making body of a company and are responsible for approving major corporate matters.</span></div></li></ul><div class="ace-line ace-line old-record-id-YeuhdzBx0oucMBxQQqUuUFwcsCb"><span style="font-size: 16px;"><br></span></div><h2 class="heading-2 ace-line old-record-id-M08mdRpgtoRqRsxp5Axu69I6skb"><strong>1. What Are Corporate Actions?</strong></h2><div class="ace-line ace-line old-record-id-NvsmdkMZOoXgQlxHt8buztPNssh"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-X1dmdn486o4czHxo9Quub0U2shb"><span style="font-size: 16px;">1.1 Definition of corporate actions</span></h3><div class="ace-line ace-line old-record-id-UGvodEWf9ojzihxq3RRuyHTmsve"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-CBladU1vUo8MKGxvygWuvAifs7d"><span style="font-size: 16px;">Corporate actions refer to events initiated by listed companies that affect the company or its shareholders. These actions include dividend distributions, stock splits, and rights issues that directly affect shareholder interests, as well as changes such as company names, ticker symbols, or registered addresses that generally have a smaller impact on shareholders.</span></div><div class="ace-line ace-line old-record-id-Fd2Qd9EYcomnRBxc30Wu3Jmwsyg"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-NFNUdKrWtokWllxUd6tueKuwsBf"><span style="font-size: 16px;">For investors following global financial markets through MEXC, it is important to pay attention to the key dates associated with corporate actions that may affect shareholder's rights.</span></div><div class="ace-line ace-line old-record-id-J7zrdV1Oaokcztx5DHjuvuhxsPd"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-UijbdoqrBonY9UxkVtruwcsisPf"><span style="font-size: 16px;">1.2 Key corporate action dates</span></h3><div class="ace-line ace-line old-record-id-AcyfdApWFo1cJ9xyGtRul0Ids3f"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-TU4MdMq57om1jpxy0cTuBHQYsDb"><span style="font-size: 16px;">Corporate actions in the US stock market generally follow a standard timeline:</span></div><div class="ace-line ace-line old-record-id-Qi6KdTdGZoYDqTxi0nnuu6BFszh"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-OBupdALQUoghpDxrKIMuj94Gs8g"><span style="font-size: 16px;"><strong>Announcement Date:</strong> The date on which a company officially announces a corporate action. Details of the action and its timeline are disclosed so investors can determine whether they wish to hold the stock and participate.</span></div><div class="ace-line ace-line old-record-id-GjqldgLZ0oWYdCxzzqbu4LTxsOd"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-LRFmdv8KToMkW3x1pjIuPW7qsdg"><span style="font-size: 16px;"><strong>Ex-Date:</strong> The key date used to determine eligibility. Investors who hold the stock at the close of trading on the business day before the ex-date are generally entitled to participate in the corporate action. For cash dividends, the dividend amount is typically reflected in the stock price adjustment when trading begins on the ex-date.</span></div><div class="ace-line ace-line old-record-id-Ikv2dUMNKo58EHxto5fuHDocsEh"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-S4nvd2yVroPjPax8Yisu7uJds2b"><span style="font-size: 16px;"><strong>Record Date:</strong> Commonly used for dividends and bonus share distributions, the record date is typically set after the ex-date. On this date, the company reviews its shareholder register to determine who is eligible to receive the distribution.</span></div><div class="ace-line ace-line old-record-id-Mbged6NtfoA6JcxEjfrujLY3soc"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-FoEXdKeUVoW80RxIW9Xu5cOBsRh"><span style="font-size: 16px;"><strong>Payment Date:</strong> The date on which shareholders actually receive the dividend payment or additional shares. The relevant entitlement is credited to the investor's account on this date.</span></div><div class="ace-line ace-line old-record-id-UQlyd7gnNotOwYxej17un1Y4sob"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-J6PSdk7mco8JZ1xvPq1uMiSVsZg"><span style="font-size: 16px;">*BTN- <strong>Trade RealStocks</strong>&amp;BTNURL=<span style="color:rgb(100,37,208)"><u><a data-lark-is-custom="true" href="https://www.mexc.com/trade-stocks">https://www.mexc.com/trade-stocks</a></u></span>*</span></div><div class="ace-line ace-line old-record-id-HDJud4Oezo8UiGxS1VxuzF5Rs6g"><span style="font-size: 16px;"><br></span></div><h2 class="heading-2 ace-line old-record-id-QGNydxLsKo2XgzxYLLhuhuNCsEb"><strong>2. What Are Stock Splits and Reverse Splits?</strong></h2><div class="ace-line ace-line old-record-id-EDKqdGFcdoLhxBx4i1Xu1BflsUg"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-ElT9dmYhaoeZ4uxQavJuJNNssag"><span style="font-size: 16px;">2.1 What is a stock split?</span></h3><div class="ace-line ace-line old-record-id-LjEkdwZEmoMt63xSpNUuNgxdsBb"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-B8Dhdm9QloY7vyxsXnVu9Rd6s0r"><span style="font-size: 16px;">A stock split occurs when a company divides existing shares into a larger number of shares. Companies typically conduct stock splits when the share price has risen significantly, with the goal of improving affordability and liquidity.</span></div><div class="ace-line ace-line old-record-id-VsQrdSz58oj0VDxFD7Rut6vHsN3"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-RSQmdh7EWoAtUUxBaiQuWFKBsGc"><span style="font-size: 16px;">For example, in a 2-for-1 stock split, a stock trading at $200 per share with 200,000 shares outstanding would become a stock trading at approximately $100 per share with 400,000 shares outstanding.</span></div><div class="ace-line ace-line old-record-id-I038dxYAmo6b3nxqmCYulpbhsf4"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-LdAedTwWAosdOUxnozquGdfks9c"><span style="font-size: 16px;">A stock split does not change shareholder ownership value or the company's total market capitalization. The number of shares held increases proportionally, while the value of each share decreases accordingly.</span></div><div class="ace-line ace-line old-record-id-M2NKdu6VJoAOSZxb9Frumf1xsSh"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-VfqQd6mTqox8i0x8ouvuyOGgsdg"><span style="font-size: 16px;">2.2 What is a reverse split?</span></h3><div class="ace-line ace-line old-record-id-Z6Kcd545woiL5Gxzni8ueov0sYb"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-Qr8wdWke8oRXLkxvbGXuxZjtsFe"><span style="font-size: 16px;">A reverse split, also known as a reverse stock split, combines multiple shares into a smaller number of shares. Companies typically use reverse splits when the share price has fallen too low and they wish to meet exchange listing requirements or improve market perception.</span></div><div class="ace-line ace-line old-record-id-QSGqdkHuWoXLULxXIGxuSjBcsbb"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-CfzMdcYhwol29GxOzTLuk28eswc"><span style="font-size: 16px;">For example, in a 1-for-4 reverse split, a stock trading at $10 per share with 100,000 shares outstanding would become a stock trading at approximately $40 per share with 25,000 shares outstanding.</span></div><div class="ace-line ace-line old-record-id-CcC5dfHryouVK5xpAyAu38NXstd"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-J0UEdDjMDoMvuuxKFrnulw40svf"><span style="font-size: 16px;">Like a stock split, a reverse split does not change shareholder ownership value or the company's total market capitalization. Only the share price and the number of shares outstanding are adjusted. MEXC reminds investors to pay attention to changes in their holdings when a company announces a reverse split.</span></div><div class="ace-line ace-line old-record-id-MIjad5mlCoLxLYxPMmfufedgsdg"><span style="font-size: 16px;"><br></span></div><h2 class="heading-2 ace-line old-record-id-VhmrdzyJuogVBZxwj1Fu41uDs8d"><strong>3. What Are Rights Issues and Private Placements?</strong></h2><div class="ace-line ace-line old-record-id-A387dsstcoCoq8xMil1uTa6qsHb"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-VqfIdPmxBoJVm0xSYv7usaSesJg"><span style="font-size: 16px;">3.1 What is a rights issue?</span></h3><div class="ace-line ace-line old-record-id-LPgSdu1APofaLAx6Zj3uGRQPs7g"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-K5vhdWytqoQUNJxwN0FunVIKsAe"><span style="font-size: 16px;">A rights issue is a fundraising method in which a company offers new shares to existing shareholders. Eligible shareholders receive rights that allow them to subscribe for additional shares based on their current ownership.</span></div><div class="ace-line ace-line old-record-id-IL8idXTS9oie9nxmnPGuqVJIsqd"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-DDPgdkTwgo7sijxvwH3uSYuks4e"><span style="font-size: 16px;">Rights are typically offered at a discount to the market price to encourage participation. In the US stock market, rights can generally be transferred or sold, allowing shareholders who do not wish to subscribe to monetize the rights instead.</span></div><div class="ace-line ace-line old-record-id-JBZ6dfPtaoeJ89xgbk3uhTIOsdh"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-BOaTdFXjroQypzxzbAlug6a1szd"><span style="font-size: 16px;">3.2 What is a private placement?</span></h3><div class="ace-line ace-line old-record-id-O3Y1ddIRPowsqixikBLuaAPEsAM"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-Rzv4ddIvooo3FdxrFa8uzGLTsRd"><span style="font-size: 16px;">A private placement is a fundraising method in which a company issues shares to selected individuals or institutional investors. The shares are often offered at a discount to the market price to attract participation from those investors.</span></div><div class="ace-line ace-line old-record-id-OY0lddclioOVr4xoqkHuEsLdsNh"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-QoqqdnRNaoYoqRxjzU1u85BUsm5"><span style="font-size: 16px;">3.3 Key differences between rights issues and private placements</span></h3><div class="ace-line ace-line old-record-id-W2xBdcz5po0POcx02BNuFrqLsBb"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-PePcdOiSioeThkxh3tJub0oXseg"><span style="font-size: 16px;">A rights issue is offered to all existing shareholders, who can choose whether to participate. Shareholders who do not exercise their rights may experience dilution of their ownership.</span></div><div class="ace-line ace-line old-record-id-Rfr0dGsOKowR6dxdVw5uvJRgsMg"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-C2MBdjUQhoDVCXxeL39uacBUsyb"><span style="font-size: 16px;">A private placement is offered only to selected investors. Existing shareholders who are not included in the placement may experience dilution without having the opportunity to participate.</span></div><div class="ace-line ace-line old-record-id-MVnud6CpMoCtb3x4ureuhltnsyS"><span style="font-size: 16px;"><br></span></div><h2 class="heading-2 ace-line old-record-id-Ti6Gdsxvoo3doXxgcmLuJFDwsBj"><strong>4. What Are Bonus Shares?</strong></h2><div class="ace-line ace-line old-record-id-WTpSdMrgQo15JKxySbnu3sRqscb"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-XkUEdcyAXocPZwxQkKIuklqJsAg"><span style="font-size: 16px;">4.1 Definition of bonus shares</span></h3><div class="ace-line ace-line old-record-id-EheGdffQGo1shRxydWquZx3QsQe"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-HczsdRClUoQBs2xH3d4uDN6psEf"><span style="font-size: 16px;">Bonus shares are additional shares distributed to shareholders based on their existing ownership or according to the company's articles of association. Instead of distributing profits as cash dividends, the company converts part of its profits into share capital and issues additional shares to shareholders.</span></div><div class="ace-line ace-line old-record-id-KsUtdJtQboAkcLxxwrquP0n9sjZ"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-Kyn2dVlPsoEOF2xDzApuhnNZsDd"><span style="font-size: 16px;">For a more detailed explanation, see <strong><a data-lark-is-custom="true" href="https://www.mexc.com/support/article/stock-dividends-explained-375847313854307328">US Stock Bonus Shares Explained: Understanding Stock Dividend Distribution in the US Market </a></strong>.</span></div><div class="ace-line ace-line old-record-id-ScbAdnVSZo8wCoxIvX3uPF5tscg"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-AgXGdc0NIoBfI3xb3cguKu4rsIc"><span style="font-size: 16px;">4.2 How bonus shares work</span></h3><div class="ace-line ace-line old-record-id-SraXduStaoNPkIxGDY9uOZOCshe"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-WPaRdboSsoqjhyxSimYucEBJsCb"><span style="font-size: 16px;">Like many corporate actions, bonus share distributions generally involve four key dates. On the announcement date, the company discloses the bonus ratio and distribution details. On the ex-date, the value of the bonus shares is reflected in the stock price adjustment.</span></div><div class="ace-line ace-line old-record-id-CXYxdIpLGo9IxvxtosEuv38VsHd"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-ACaydJcGTo0MOKxfhLbu4ooSsHV"><span style="font-size: 16px;">For example, assume a stock trades at $10 per share and an investor owns 1,000 shares. If the company announces a 1-for-1 bonus issue, the investor will hold 2,000 shares after the ex-date, while the share price adjusts to approximately $5 per share. The investor's total holding value remains $10,000.</span></div><div class="ace-line ace-line old-record-id-HTwsdxr6CoHIPZx2YFXuwGgTsEe"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-N2HZdeesGoCBf9xypQCutAQdskh"><span style="font-size: 16px;">On the record date, the company determines which shareholders are eligible to receive the bonus shares. The additional shares are then credited to eligible investors on the payment date.</span></div><div class="ace-line ace-line old-record-id-Jb65dfhVDoZzVqx11Gvu4NVds3f"><span style="font-size: 16px;"><br></span></div><h2 class="heading-2 ace-line old-record-id-ZbEzdEYZDotFd6xFG8IuQpdesJc"><strong>5. What Are Shareholder Meetings?</strong></h2><div class="ace-line ace-line old-record-id-BoCNd1mMEoUUN0xnFF9uMM4psHg"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-AIMKdrGuPovKJ5xeiLbu9QEus8d"><span style="font-size: 16px;">5.1 Definition and role of shareholder meetings</span></h3><div class="ace-line ace-line old-record-id-OeGVdwbxMoDFGZxlFtRua8CTsVh"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-Z10CdwPlqoHwEIxJj5quHq0psXb"><span style="font-size: 16px;">A shareholder meeting is the highest decision-making body of a company. It consists of all shareholders and is responsible for approving major corporate matters.</span></div><div class="ace-line ace-line old-record-id-TeXldWExzoEJdcxQWV5uOzwHsLd"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-GE2TdmEesoQVTTxFYAiunlEqs7c"><span style="font-size: 16px;">Shareholders have the authority to elect and remove directors and vote on important issues affecting the company's operations and governance. Major corporate decisions and key appointments generally require shareholder approval before taking effect.</span></div><div class="ace-line ace-line old-record-id-PN31dPNyEohOIHxvPT5uCUMQsJg"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-Hve1dihfIoxzbjx0ZMeuzPr9scf"><span style="font-size: 16px;">5.2 Types of shareholder meetings</span></h3><div class="ace-line ace-line old-record-id-WX8kdi0lnolZxKxJWb9uL1cRskW"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-Q04rdTFDwoxv5ixSxAwuv2ausHe"><span style="font-size: 16px;"><strong>Statutory Meeting:</strong> Applicable to certain companies following their establishment. The purpose is typically to review statutory reports and provide shareholders with an overview of the company's operations and business foundations.</span></div><div class="ace-line ace-line old-record-id-U6A0d5mvwoA5wPxjHFLusHCvsmg"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-DDyvdjxQno1ej4xnKEVuod7asDg"><span style="font-size: 16px;"><strong>Annual General Meeting (AGM):</strong> The regular shareholder meeting held once per year. Common agenda items include electing directors, amending corporate bylaws, approving dividend proposals, reviewing management reports, and discussing changes to company capital.</span></div><div class="ace-line ace-line old-record-id-NsX6dKD38odW2Txqhdau0wlksxh"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-H5gRdBr22o5mSdxmRK5uDpQYs7g"><span style="font-size: 16px;"><strong>Extraordinary General Meeting (EGM):</strong> Convened to address urgent or special matters that cannot wait until the next AGM. These meetings are typically called when significant developments affect the company or shareholder interests.</span></div><div class="ace-line ace-line old-record-id-QaK1dGLNloe0Dfxz5yPuA87nsPb"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-Ti0Sdiq15obQu2xRE7YuN6hKs0d"><span style="font-size: 16px;">MEXC reminds investors that shareholder meeting schedules vary by company and that investors should refer to official company announcements for the most up-to-date information.</span></div><div class="ace-line ace-line old-record-id-Jf73d64LpoIINCxKRAfuj9Jbsxh"><span style="font-size: 16px;"><br></span></div><h2 class="heading-2 ace-line old-record-id-H0JUdZfonoB2FYxpv5Zu2rVfsRb"><strong>6. How Corporate Actions Affect Your Holdings</strong></h2><div class="ace-line ace-line old-record-id-FTxGd3ktKoxZK6xaRHMugkogsOD"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-TpKadgiNBoK15txwsfYuQHx8sVe"><span style="font-size: 16px;">When a company conducts a stock split, reverse split, bonus issue, or similar corporate action, the number of shares held in an investor's account is adjusted automatically according to the announced ratio. While the number of shares changes, the investor's overall ownership value generally remains unchanged.</span></div><div class="ace-line ace-line old-record-id-M4szd31T7oWpEdxPV3KuztIRsyg"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-Jrb4dxBIxocZBpxeMXduzQ5OsRe"><span style="font-size: 16px;">Investors should also note that their cost basis per share is adjusted accordingly. After a stock split, the cost basis per share decreases proportionally. After a reverse split, the cost basis per share increases proportionally.</span></div><div class="ace-line ace-line old-record-id-K8iidlZTIoDulexee21uqEuEs6e"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-CTpndRsYAo07JMxpixBuS9LVs3d"><span style="font-size: 16px;">For cash distributions such as dividends, the payment is credited to the investor's account on the payment date and becomes a cash asset.</span></div><div class="ace-line ace-line old-record-id-FkaLdUsegojqTUx3JBVuCup2ssb"><span style="font-size: 16px;"><br></span></div><h2 class="heading-2 ace-line old-record-id-CUUudAKszoBaCyxJRxmuAAoKsWf"><strong>7. Corporate Actions FAQ</strong></h2><div class="ace-line ace-line old-record-id-UCp0d1A0wo6pQMxbvipuyGuasMe"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-SRN1d0u64ozusixx4wCubLWUsXf"><span style="font-size: 16px;">7.1 Will stock splits and reverse splits affect my total investment value?</span></h3><div class="ace-line ace-line old-record-id-BUnudjALzoVJnUxeI6PuCcGSsVf"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-QxPvdfR0HozFDgxzDfXuGftpsgd"><span style="font-size: 16px;">No. Stock splits and reverse splits only adjust the share price and the number of shares outstanding. Total shareholder ownership value and market capitalization remain unchanged.</span></div><div class="ace-line ace-line old-record-id-DFZGd6lduoKa07xKG3Tupl9ZsRe"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-HRTOdEenRoLp2exRUGFuLLRvsY7"><span style="font-size: 16px;">7.2 How do I know whether I am eligible for a corporate action?</span></h3><div class="ace-line ace-line old-record-id-XRpKdS7pEovRHNxHilmuNm46ssb"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-BTsZdacEAoVKIexpFjzu0lwOsvb"><span style="font-size: 16px;">The key date is the ex-date. Investors who hold the stock at the close of trading on the business day before the ex-date are generally eligible to participate.</span></div><div class="ace-line ace-line old-record-id-G6SudlvKMoPCyrxUqoQufmbisJe"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-JUltdaW7Iod6hwxr2LtutP2nsgg"><span style="font-size: 16px;">7.3 What can I do if I do not want to exercise my rights?</span></h3><div class="ace-line ace-line old-record-id-PSTldXpDkooIIHxZLdpuhCkFsBQ"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-X7C6di9l9oYz8RxsVyZuCrRtspe"><span style="font-size: 16px;">Rights can generally be sold or transferred in the market. Shareholders who do not wish to subscribe for new shares may choose to sell their rights or allow them to expire.</span></div><div class="ace-line ace-line old-record-id-XsuEdGejBoYZDdxfdnYuoZcgsjf"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-GJ1GddudQotefsxPKQCuu6bsspb"><span style="font-size: 16px;">7.4 What is the difference between bonus shares and cash dividends?</span></h3><div class="ace-line ace-line old-record-id-StjpdQ9rDoDgTzxoTNtuz9ZWsOd"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-NRY7dsEEqoDlRuxBZR5uJ5lgsZN"><span style="font-size: 16px;">Bonus shares distribute profits in the form of additional shares, while cash dividends distribute profits directly as cash.</span></div><div class="ace-line ace-line old-record-id-Af8fdfDEXo38zEx4EOxuiBNIsIe"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-N9kRdWGDbograQxYQUCuVN86ssh"><span style="font-size: 16px;">7.5 How do shareholder meeting decisions affect investors?</span></h3><div class="ace-line ace-line old-record-id-KYLtdvBVEo5PlUxJU7DuaTP7sAb"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-RkRXdVI7doqj0YxAXOguow1JsAf"><span style="font-size: 16px;">Shareholder meeting resolutions can affect dividend policies, major investments, management changes, and other important matters that influence shareholder interests and company strategy.</span></div><div class="ace-line ace-line old-record-id-SAIgdjH3tokAXExxZhJugmG7sHh"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-NRBVdTdUaoJrVTx3fGOujknWsUf"><span style="font-size: 16px;">7.6 How are the key corporate action dates related?</span></h3><div class="ace-line ace-line old-record-id-WJBIdphQBoPpI7xg4BZuMw47sad"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-XtuldNyPGoQi74xJk6Aub8qbs0g"><span style="font-size: 16px;">The typical sequence is announcement date, ex-date, record date, and payment date. The announcement date comes first, the payment date comes last, the ex-date determines eligibility, and the record date confirms the final list of eligible shareholders.</span></div><div class="ace-line ace-line old-record-id-HtPedn2ftoLAhUxuex5utBezs6g"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-ROhgdFQEgo8RHpxRaFzulmbosOg"><span style="font-size: 16px;">Recommended Reading:</span></h3><ul start="1" class="list-bullet1"><li class="ace-line ace-line old-record-id-C5L5dsPaKoOvvvx5NtBuP3X8sub" data-list="bullet"><div><a data-lark-is-custom="true" href="https://www.mexc.com/learn/article/17827791535795" style="font-size: 16px;">What Is RealStocks?</a></div></li><li class="ace-line ace-line old-record-id-Db52dTrWKoRP8yxDulpuGV2osP3" data-list="bullet"><div><a href="https://www.mexc.com/support/article/realstocks-trading-faq-382924861612411904" data-lark-is-custom="true" style="font-size: 16px;">RealStocks Trading FAQ</a></div></li><li class="ace-line ace-line old-record-id-YXeidAOVJoZpaAx8XANuR5avsYg" data-list="bullet"><div><a href="https://www.mexc.com/support/article/stock-dividends-explained-375847313854307328" data-lark-is-custom="true" style="font-size: 16px;">US Stock Bonus Shares Explained: Understanding Stock Dividend Distribution in the US Market </a></div></li><li class="ace-line ace-line old-record-id-OviGdhxF4osHB8xDx2AuwgyLsDb" data-list="bullet"><div><a href="https://www.mexc.com/support/article/how-are-stock-investment-gains-taxed-a-practical-guide-to-us-stock-tax-calculation-378076298801724416" data-lark-is-custom="true" style="font-size: 16px;">How Are Stock Investment Gains Taxed? A Practical Guide to U.S. Stock Tax Calculation </a></div></li><li class="ace-line ace-line old-record-id-UXD1d2SC5oM06Yx1PTvuxD7HsXg" data-list="bullet"><div><a href="https://www.mexc.com/support/article/us-stock-bonus-shares-explained-378075302369310720" data-lark-is-custom="true" style="font-size: 16px;">How to Open a US Stock Trading Account: A Beginner's Guide </a></div></li></ul><div class="ace-line ace-line old-record-id-Ik1wdVuGMooU09x6mjKuvws6sMg"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-NjBydM0KWoOwzMxGY9CuV2i2sth"><strong style="font-size: 16px;">Disclaimer:</strong></div><div class="ace-line ace-line old-record-id-Tf8EdmZteo45BgxMa4gu4B0Isje"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-ACYIdkjrZow99cx9HQxucqCtsig"><span style="font-size: 16px;">The information provided herein is for informational and educational purposes only and does not constitute financial, investment, tax, or legal advice. MEXC is not a registered investment advisor or broker-dealer. All investment strategies and investments involve risk of loss. Any content contained herein should not be relied upon as advice or construed as providing recommendations of any kind. Always conduct your own research and consult with a licensed financial professional before making any investment decisions.</span></div><div class="ace-line ace-line old-record-id-UW1Mdmy5toSrq9x4bTQufakdsNY"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-B4xrdDzbyo2UlXxOM87uJayhsne"><span style="font-size: 16px;">By participating in these investment activities, you risk losing ALL OR SUBSTANTIALLY ALL OF YOUR ASSETS. Please understand and evaluate the risk of trading and assess your risk tolerance carefully before conducting any trading or investment activities.</span></div></div>lg...

<div data-page-id="VbrMdZST4oNlicxpIU1u5RSNs9b" data-lark-html-role="root" data-docx-has-block-data="true"><h2 class="heading-2 ace-line old-record-id-S94fdzvJjo6Ix5xJfWlud2B9stb"><strong>Key Takeaways:</strong></h2><ul start="1" class="list-bullet1"><li class="ace-line ace-line old-record-id-Kqhbd9M00oiV44xREHeuUX3jswb" data-list="bullet"><div><span style="font-size: 16px;">US stock investment gains are subject to capital gains tax, with rates determined by holding period and income level.</span></div></li><li class="ace-line ace-line old-record-id-U2Y9dvRaioQAxXxlQRNuqJvxsbc" data-list="bullet"><div><span style="font-size: 16px;">Accurate calculation of cost basis directly affects taxable gains and final tax liability.</span></div></li><li class="ace-line ace-line old-record-id-MIXqdiuPXoTE32xvWRLuD6QTsJg" data-list="bullet"><div><span style="font-size: 16px;">Dividend income is also taxable, divided into qualified and non-qualified dividends.</span></div></li><li class="ace-line ace-line old-record-id-Y714dyrwwov23IxbaoHuHqE3sih" data-list="bullet"><div><span style="font-size: 16px;">Using tax strategies effectively can reduce investment tax burden and improve actual returns.</span></div></li></ul><div class="ace-line ace-line old-record-id-Pu4DdfqxAo5QeMxvG98u0SRdsIc"><span style="font-size: 16px;"><br></span></div><h2 class="heading-2 ace-line old-record-id-WRlodgX1lomjarxAVtsu86UOsQc"><strong>1. What Is US Stock Capital Gains Tax</strong></h2><div class="ace-line ace-line old-record-id-JqVAdU2vZoBWYnxU4NauIQERsQc"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-D08cdRxOLoTWsSx2c7iuXTmysyg"><span style="font-size: 16px;">Capital gains tax is the tax investors pay when they sell stocks or other capital assets for a profit. When you sell shares at a price higher than your purchase price, the difference constitutes a capital gain that must be reported and taxed.</span></div><div class="ace-line ace-line old-record-id-GuzAdq0cKoQCa3xf9K5uwSONsNb"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-X6pLdokBWoeH71xdkavuC9K5sZf"><span style="font-size: 16px;">Under the US tax system, capital gains fall into two categories: short-term and long-term. These two types carry significantly different tax rates that directly affect investors' actual returns. For users investing through compliant brokers partnered with MEXC, understanding these tax rules helps with better investment planning.</span></div><div class="ace-line ace-line old-record-id-Xdt9dMUpro4r16x5SkCuuAewsxh"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-YkzidexGhoOncNxesvjuuV6ssZc"><span style="font-size: 16px;">Capital gain formula: Capital Gain = Sale Price − (Purchase Cost + Transaction Fees)</span></div><div class="ace-line ace-line old-record-id-ZZKld8XKvo9X26xNSRwuCSUEsrc"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-ALaHdBdRjoR7jjxZDvguEWDWsNe"><span style="font-size: 16px;">*BTN- <strong>Trade RealStocks</strong>&amp;BTNURL=<span style="color:rgb(100,37,208)"><u><a data-lark-is-custom="true" href="https://www.mexc.com/trade-stocks">https://www.mexc.com/trade-stocks</a></u></span>*</span></div><div class="ace-line ace-line old-record-id-N0j9dPvs7o7pdxx2BB3uVl55sqh"><span style="font-size: 16px;"><br></span></div><h2 class="heading-2 ace-line old-record-id-ERCldoruFoHlCixyT08u9o1XsJf"><strong>2. Short-Term vs. Long-Term Capital Gains Tax Rates</strong></h2><div class="ace-line ace-line old-record-id-Z9eydBXXkoatH5x8t4WuSr86sFd"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-ON7tdU3jHonXMVxfI44uMBdusJd"><span style="font-size: 16px;">2.1 Short-Term Capital Gains Tax Rates</span></h3><div class="ace-line ace-line old-record-id-V17ZdFq2KoiiUSx9tLouk37msDf"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-Y9QIdOFVDojebnxqbBxup8ANsxh"><span style="font-size: 16px;">Investment gains on assets held for one year or less are classified as short-term capital gains. These are taxed at ordinary income rates, ranging from 10% to 37% depending on the investor's total taxable income and filing status.</span></div><div class="ace-line ace-line old-record-id-H5QcdB9VQoeo6ZxBHiMuhs8SsRc"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-UNbAdGmFtoT4u1xZ6mcuO8qisbe"><span style="font-size: 16px;">2025 Tax Year Short-Term Capital Gains Rates (Single Filers):</span></div><div><table class="ace-table" data-ace-table-col-widths="346;100" style="border:none;border-collapse:collapse;table-layout:fixed;width:500px;"><colgroup><col width="346"><col width="100"></colgroup><tbody><tr style="height:39px;"><td colspan="1" rowspan="1" style="border: 1px solid rgb(222, 224, 227); padding: 8px; vertical-align: middle; font-size: 10pt;"><div style="text-align:center" class="ace-line ace-line old-record-id-Q3pHdAbHRodub4xBa7XuQ75hsLe"><strong style="font-size: 16px;">Taxable Income</strong></div></td><td colspan="1" rowspan="1" style="border: 1px solid rgb(222, 224, 227); padding: 8px; vertical-align: middle; font-size: 10pt;"><div style="text-align:center" class="ace-line ace-line old-record-id-IUZLdTyrjoaq9AxzgbguIQgrshf"><strong style="font-size: 16px;">Rate</strong></div></td></tr><tr style="height:39px;"><td colspan="1" rowspan="1" style="border: 1px solid rgb(222, 224, 227); padding: 8px; vertical-align: middle; font-size: 10pt;"><div style="text-align:center" class="ace-line ace-line old-record-id-NQrndOhqfoqdBGx7lSPu6A3Wsnf"><span style="font-size: 16px;">$0 – $11,925</span></div></td><td colspan="1" rowspan="1" style="border: 1px solid rgb(222, 224, 227); padding: 8px; vertical-align: middle; font-size: 10pt;"><div style="text-align:center" class="ace-line ace-line old-record-id-G6axdrtPGoqpHHxis8Huae41s54"><span style="font-size: 16px;">10%</span></div></td></tr><tr style="height:39px;"><td colspan="1" rowspan="1" style="border: 1px solid rgb(222, 224, 227); padding: 8px; vertical-align: middle; font-size: 10pt;"><div style="text-align:center" class="ace-line ace-line old-record-id-QGHddVks5omiluxXHOKu0661sAh"><span style="font-size: 16px;">$11,926 – $48,475</span></div></td><td colspan="1" rowspan="1" style="border: 1px solid rgb(222, 224, 227); padding: 8px; vertical-align: middle; font-size: 10pt;"><div style="text-align:center" class="ace-line ace-line old-record-id-YCFpdjN4yoVThIxOcKhuGQyWsSb"><span style="font-size: 16px;">12%</span></div></td></tr><tr style="height:39px;"><td colspan="1" rowspan="1" style="border: 1px solid rgb(222, 224, 227); padding: 8px; vertical-align: middle; font-size: 10pt;"><div style="text-align:center" class="ace-line ace-line old-record-id-Znqjd9vTjoU0LtxgrS2u7IWksgd"><span style="font-size: 16px;">$48,476 – $103,350</span></div></td><td colspan="1" rowspan="1" style="border: 1px solid rgb(222, 224, 227); padding: 8px; vertical-align: middle; font-size: 10pt;"><div style="text-align:center" class="ace-line ace-line old-record-id-Z6e5d2EOuopBQtxmv5quDh5CsMf"><span style="font-size: 16px;">22%</span></div></td></tr><tr style="height:39px;"><td colspan="1" rowspan="1" style="border: 1px solid rgb(222, 224, 227); padding: 8px; vertical-align: middle; font-size: 10pt;"><div style="text-align:center" class="ace-line ace-line old-record-id-E0TjdxXPyoQ2Trx7iFpuaF8hsKg"><span style="font-size: 16px;">$103,351 – $197,300</span></div></td><td colspan="1" rowspan="1" style="border: 1px solid rgb(222, 224, 227); padding: 8px; vertical-align: middle; font-size: 10pt;"><div style="text-align:center" class="ace-line ace-line old-record-id-XOEhdPr5Tor5Rhxj7MZuMQ0NsSc"><span style="font-size: 16px;">24%</span></div></td></tr><tr style="height:39px;"><td colspan="1" rowspan="1" style="border: 1px solid rgb(222, 224, 227); padding: 8px; vertical-align: middle; font-size: 10pt;"><div style="text-align:center" class="ace-line ace-line old-record-id-Ye5VdNeTIoK1oMxmW6Uu91TdsVf"><span style="font-size: 16px;">$197,301 – $250,525</span></div></td><td colspan="1" rowspan="1" style="border: 1px solid rgb(222, 224, 227); padding: 8px; vertical-align: middle; font-size: 10pt;"><div style="text-align:center" class="ace-line ace-line old-record-id-GAFKdiVHworo8dxbBzyuAjUKsdd"><span style="font-size: 16px;">32%</span></div></td></tr><tr style="height:39px;"><td colspan="1" rowspan="1" style="border: 1px solid rgb(222, 224, 227); padding: 8px; vertical-align: middle; font-size: 10pt;"><div style="text-align:center" class="ace-line ace-line old-record-id-CFfpdQD6GouKqXxabOUuxu3JsCd"><span style="font-size: 16px;">$250,526 – $626,350</span></div></td><td colspan="1" rowspan="1" style="border: 1px solid rgb(222, 224, 227); padding: 8px; vertical-align: middle; font-size: 10pt;"><div style="text-align:center" class="ace-line ace-line old-record-id-QVhidYgYXoiUZHxGU1PuCK64sFt"><span style="font-size: 16px;">35%</span></div></td></tr><tr style="height:39px;"><td colspan="1" rowspan="1" style="border: 1px solid rgb(222, 224, 227); padding: 8px; vertical-align: middle; font-size: 10pt;"><div style="text-align:center" class="ace-line ace-line old-record-id-KwH9dSXYDozqBhxD2aBu5vltsqc"><span style="font-size: 16px;">Over $626,350</span></div></td><td colspan="1" rowspan="1" style="border: 1px solid rgb(222, 224, 227); padding: 8px; vertical-align: middle; font-size: 10pt;"><div style="text-align:center" class="ace-line ace-line old-record-id-JEMSdYj4JoxTJqxfUInuZGeTsxc"><span style="font-size: 16px;">37%</span></div></td></tr></tbody></table></div><div class="ace-line ace-line old-record-id-GwjsdoIgxoJHbqxY10SueoDxskc"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-Vwm4ddARZoKPvix1wv1uyqhDsHb"><span style="font-size: 16px;">2.2 Long-Term Capital Gains Tax Rates</span></h3><div class="ace-line ace-line old-record-id-P3NedbQNOoMfnFxoNNzuefBNsgb"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-Jtfsd704joVVMnxtd8Lus3YNsoe"><span style="font-size: 16px;">Gains on assets held for more than one year qualify for preferential long-term capital gains rates, which is a key mechanism in the US tax law designed to encourage long-term investing.</span></div><div class="ace-line ace-line old-record-id-AvqsdWJXPoBu5uxRwo5uuNZ3s3g"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-PG9wdzGrwoRdunxlUvMuoeKjsQf"><span style="font-size: 16px;">2025 Tax Year Long-Term Capital Gains Rates:</span></div><div class="ace-line ace-line old-record-id-Jfz5dBgrro0WtbxJOffudY26sqf"><span style="font-size: 16px;"><br></span></div><div><table class="ace-table" data-ace-table-col-widths="130;161;185;196" style="border:none;border-collapse:collapse;table-layout:fixed;width:500px;"><colgroup><col width="130"><col width="161"><col width="185"><col width="196"></colgroup><tbody><tr style="height:39px;"><td colspan="1" rowspan="1" style="border: 1px solid rgb(222, 224, 227); padding: 8px; vertical-align: middle; font-size: 10pt;"><div style="text-align:center" class="ace-line ace-line old-record-id-Qu7SdUtjao5EEhxCbWmufy5MsNe"><strong style="font-size: 16px;">Filing Status</strong></div></td><td colspan="1" rowspan="1" style="border: 1px solid rgb(222, 224, 227); padding: 8px; vertical-align: middle; font-size: 10pt;"><div style="text-align:center" class="ace-line ace-line old-record-id-EqFqd3DaFoiutAxpQOyukF8Dsxj"><strong style="font-size: 16px;">0% Rate</strong></div></td><td colspan="1" rowspan="1" style="border: 1px solid rgb(222, 224, 227); padding: 8px; vertical-align: middle; font-size: 10pt;"><div style="text-align:center" class="ace-line ace-line old-record-id-BBGbdnkKxofvj9xfDBhuehF7s80"><strong style="font-size: 16px;">15% Rate</strong></div></td><td colspan="1" rowspan="1" style="border: 1px solid rgb(222, 224, 227); padding: 8px; vertical-align: middle; font-size: 10pt;"><div style="text-align:center" class="ace-line ace-line old-record-id-PzVAd0pNCoR8GbxrKxOupa58sDe"><strong style="font-size: 16px;">20% Rate</strong></div></td></tr><tr style="height:39px;"><td colspan="1" rowspan="1" style="border: 1px solid rgb(222, 224, 227); padding: 8px; vertical-align: middle; font-size: 10pt;"><div style="text-align:center" class="ace-line ace-line old-record-id-TCesdu6PEojhsBxe2m2uHLVVs8b"><span style="font-size: 16px;">Single</span></div></td><td colspan="1" rowspan="1" style="border: 1px solid rgb(222, 224, 227); padding: 8px; vertical-align: middle; font-size: 10pt;"><div style="text-align:center" class="ace-line ace-line old-record-id-C3zUdsoIlocJTqx2kf0uQl4xsVh"><span style="font-size: 16px;">$0 – $48,350</span></div></td><td colspan="1" rowspan="1" style="border: 1px solid rgb(222, 224, 227); padding: 8px; vertical-align: middle; font-size: 10pt;"><div style="text-align:center" class="ace-line ace-line old-record-id-QJw3dSQAfob8CLxM9lwu4RC8sAf"><span style="font-size: 16px;">$48,351 – $533,400</span></div></td><td colspan="1" rowspan="1" style="border: 1px solid rgb(222, 224, 227); padding: 8px; vertical-align: middle; font-size: 10pt;"><div style="text-align:center" class="ace-line ace-line old-record-id-JyWrdIDknoM3n0xZZrguYRxnsPd"><span style="font-size: 16px;">Over $533,400</span></div></td></tr><tr style="height:39px;"><td colspan="1" rowspan="1" style="border: 1px solid rgb(222, 224, 227); padding: 8px; vertical-align: middle; font-size: 10pt;"><div style="text-align:center" class="ace-line ace-line old-record-id-SK0odyh53oIA1LxtSzNu8PO0swb"><span style="font-size: 16px;">Married Filing Jointly</span></div></td><td colspan="1" rowspan="1" style="border: 1px solid rgb(222, 224, 227); padding: 8px; vertical-align: middle; font-size: 10pt;"><div style="text-align:center" class="ace-line ace-line old-record-id-JpvwdQ0xtoThcUxCtCvuQDRVsgf"><span style="font-size: 16px;">$0 – $96,700</span></div></td><td colspan="1" rowspan="1" style="border: 1px solid rgb(222, 224, 227); padding: 8px; vertical-align: middle; font-size: 10pt;"><div style="text-align:center" class="ace-line ace-line old-record-id-UTOPdlIYwoG86Tx6VJSubGQrsRg"><span style="font-size: 16px;">$96,701 – $600,050</span></div></td><td colspan="1" rowspan="1" style="border: 1px solid rgb(222, 224, 227); padding: 8px; vertical-align: middle; font-size: 10pt;"><div style="text-align:center" class="ace-line ace-line old-record-id-PlFRdXYiNoj7uTxXD4yuU5UOsch"><span style="font-size: 16px;">Over $600,050</span></div></td></tr><tr style="height:39px;"><td colspan="1" rowspan="1" style="border: 1px solid rgb(222, 224, 227); padding: 8px; vertical-align: middle; font-size: 10pt;"><div style="text-align:center" class="ace-line ace-line old-record-id-Rh7QdDSD6oQDlDxioRQuHQlqs8E"><span style="font-size: 16px;">Head of Household</span></div></td><td colspan="1" rowspan="1" style="border: 1px solid rgb(222, 224, 227); padding: 8px; vertical-align: middle; font-size: 10pt;"><div style="text-align:center" class="ace-line ace-line old-record-id-U0qIdUwNmopw0KxVbxSulIiHskd"><span style="font-size: 16px;">$0 – $64,750</span></div></td><td colspan="1" rowspan="1" style="border: 1px solid rgb(222, 224, 227); padding: 8px; vertical-align: middle; font-size: 10pt;"><div style="text-align:center" class="ace-line ace-line old-record-id-PJVodAUrxoz9K4xoMd7uahL0sLc"><span style="font-size: 16px;">$64,751 – $566,700</span></div></td><td colspan="1" rowspan="1" style="border: 1px solid rgb(222, 224, 227); padding: 8px; vertical-align: middle; font-size: 10pt;"><div style="text-align:center" class="ace-line ace-line old-record-id-Px1PdOr8EoV77Lxpu2HubIFssmg"><span style="font-size: 16px;">Over $566,700</span></div></td></tr></tbody></table></div><div class="ace-line ace-line old-record-id-KSOFdUg75oS8yHxipotuYAJMsff"><span style="font-size: 16px;"><br></span></div><h2 class="heading-2 ace-line old-record-id-JS0ZdL6aEowlvHxMu3duAvMNsuh"><strong>3. Cost Basis Calculation Methods</strong></h2><div class="ace-line ace-line old-record-id-KVNQdK6WqoSk0zxu27RukgxNs0e"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-SJsedEHdjod1bwxoParuSsFusDq"><span style="font-size: 16px;">Cost basis is a key element in calculating capital gains. It refers to the total amount paid to acquire an investment, including purchase price and related fees.</span></div><div class="ace-line ace-line old-record-id-XytLduc3Wo2WmSxH1vOug5cpsId"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-RXIGdj7zoovqSOxuZAbu0vN7sag"><span style="font-size: 16px;">3.1 Common Calculation Methods</span></h3><div class="ace-line ace-line old-record-id-PQfdd8lvooQE5XxQ6PfuM1DMsZc"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-M10Ede4HOotAHoxpuTouKWMjsXr"><span style="font-size: 16px;"><strong>First In, First Out:</strong> Assumes the earliest-purchased shares are sold first. This is the default method used by many brokers.</span></div><div class="ace-line ace-line old-record-id-D54adXKlWoOWkuxcJj0uMdlKsub"><span style="font-size: 16px;"><strong>Average Cost Method:</strong> Divides total purchase costs by total shares to arrive at a per-share average cost. Commonly used for mutual funds.</span></div><div class="ace-line ace-line old-record-id-KgptdCM7OovmcmxmROsuNcd7sIe"><span style="font-size: 16px;"><strong>Specific Share Identification:</strong> Investors designate which specific lot of shares to sell, allowing more flexible tax management.</span></div><div class="ace-line ace-line old-record-id-QWZsdtUxto4MINxgntVu29hssOh"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-HpUDdBomKo3OdhxiK2puYZCAsPY"><span style="font-size: 16px;">3.2 Calculation Example</span></h3><div class="ace-line ace-line old-record-id-ZDV4dr3TVotR8mxn3JIuphZUsTg"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-UW63dAR6YoFfwSx0keQuDWwksHc"><span style="font-size: 16px;">Assume an investor makes three purchases of a stock:</span></div><ul start="1" class="list-bullet1"><li class="ace-line ace-line old-record-id-T95xd9CsToAe2oxqXtduKFrKsk8" data-list="bullet"><div><span style="font-size: 16px;">Purchase 1: 100 shares at $10/share</span></div></li><li class="ace-line ace-line old-record-id-RVUud8mwAoGGEYxjQ5yucLzDs8g" data-list="bullet"><div><span style="font-size: 16px;">Purchase 2: 50 shares at $15/share</span></div></li><li class="ace-line ace-line old-record-id-H23vdrPPHod2BKxRG5mupe2xs3g" data-list="bullet"><div><span style="font-size: 16px;">Purchase 3: 50 shares at $20/share</span></div></li></ul><div class="ace-line ace-line old-record-id-UOFFdVqDao1J4dxhbFNumL8zs8d"><span style="font-size: 16px;">Selling 125 shares using FIFO: cost basis = 100 × $10 + 25 × $15 = $1,375</span></div><div class="ace-line ace-line old-record-id-U2AXdoeaDoXqSPxWIFvulEE9sjd"><span style="font-size: 16px;"><br></span></div><h2 class="heading-2 ace-line old-record-id-QJKpdbUkqogFsYxjspquJAansqe"><strong>4. Tax Treatment of Dividend Income</strong></h2><div class="ace-line ace-line old-record-id-Bv4ndC6uboojNIxf1F1uxGfOs4R"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-H5dzdffDHoM9jIx3ht2uylmIsld"><span style="font-size: 16px;">US stock investing involves not only capital gains but also taxable dividend income. Dividends are divided into qualified and non-qualified categories.</span></div><div class="ace-line ace-line old-record-id-ZvA4daOP1oWIQjxT3Cmu49zdsib"><span style="font-size: 16px;">Qualified dividends are taxed at the same preferential rates as long-term capital gains, while non-qualified dividends are taxed as ordinary income. For non-US residents, dividends paid by US companies are generally subject to 30% withholding tax, though residents of certain countries may claim reduced rates under tax treaties.</span></div><div class="ace-line ace-line old-record-id-OPkVdTInkoPdAoxItH9uxKtZsUh"><span style="font-size: 16px;">Investors can file <a data-lark-is-custom="true" href="https://www.irs.gov/forms-pubs/about-form-w-8-ben">Form W-8BEN</a> to declare non-US resident status and claim treaty-reduced rates.</span></div><div class="ace-line ace-line old-record-id-UE3WdtiS8okzO1xBG5HubS7hsDc"><span style="font-size: 16px;"><br></span></div><h2 class="heading-2 ace-line old-record-id-LX2sdoOHeoHvCfxgdpaupYa2sJg"><strong>5. Practical Tax Optimization Strategies</strong></h2><div class="ace-line ace-line old-record-id-OqO7dMhhsoWCQPxFEsBuM1pes5e"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-EWYjdQH7UovXUoxIcQWuDY5xsxd"><span style="font-size: 16px;">5.1 Tax-Loss Harvesting</span></h3><div class="ace-line ace-line old-record-id-KolhdBecposZePxkBJsua9gHsEf"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-VYwIduyQLoQgjNxdr02ur4uIsth"><span style="font-size: 16px;">Tax-loss harvesting involves selling losing investments to offset gains from profitable ones. Up to $3,000 in net capital losses can be deducted against ordinary income per year, with any excess carried forward to future years.</span></div><div class="ace-line ace-line old-record-id-XZTpd6MrboOOSIxGo0zuabxusAf"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-FC70dP5MxoTi89xt8MAuvQBZsCd"><span style="font-size: 16px;">Note the wash-sale rule: if you buy the same or substantially identical security within 30 days before or after the sale, the loss cannot be used for tax purposes.</span></div><div class="ace-line ace-line old-record-id-Azu2d7iqkoR0XJxVjHHuFFpSs2e"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-OFtkdZ8JfolXf8xx2aHuLkpksIh"><span style="font-size: 16px;">5.2 Long-Term Holding Strategy</span></h3><div class="ace-line ace-line old-record-id-F1VOdCKcUobhRXx2MmouPUJJscg"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-J6b3diiTOodDh4xQconuU2w3sWe"><span style="font-size: 16px;">Extending the holding period beyond one year converts short-term gains into long-term gains, qualifying for lower tax rates. This is especially impactful for investors in higher tax brackets.</span></div><div class="ace-line ace-line old-record-id-JlOVdrfuXoJzTixg1xPuDowcs5c"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-DMmOdGMSWoW6hCxC0aiu4svys9c"><span style="font-size: 16px;">5.3 Using Tax-Advantaged Accounts</span></h3><div class="ace-line ace-line old-record-id-ZHyzd0QyfoG1GzxAR70uJjSWs8d"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-OSp8dGy7QoRfT5xVtGeuXWNusch"><span style="font-size: 16px;">Investing through individual retirement accounts or <a data-lark-is-custom="true" href="https://en.wikipedia.org/wiki/401(k)">401(k)</a> plans allows for tax-deferred or tax-free growth, effectively reducing current-year tax liability.</span></div><div class="ace-line ace-line old-record-id-QSBydwaMAoc05rxe463uNVSHs0d"><span style="font-size: 16px;"><br></span></div><h2 class="heading-2 ace-line old-record-id-WnDfdMVcbokTipxOXwLuUgK9sKh"><strong>6. US Stock Tax Calculation Example</strong></h2><div class="ace-line ace-line old-record-id-Rb2PdH1ddoV4Z5xPZP6up9khsQg"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-K7yHdvueNoroXhxHVdtumlmFsEe"><span style="font-size: 16px;">An investor purchases stock for $30,000 (including $100 in transaction fees) and sells it 15 months later for $40,000 (including $100 in transaction fees):</span></div><ul start="1" class="list-bullet1"><li class="ace-line ace-line old-record-id-KTMUdGxlOoo6TXxgabfuDmVAsZd" data-list="bullet"><div><span style="font-size: 16px;">Cost basis: $30,000 + $100 = $30,100</span></div></li><li class="ace-line ace-line old-record-id-Hg75dDR9coH1y4xtryYuNJvSsgg" data-list="bullet"><div><span style="font-size: 16px;">Net sale proceeds: $40,000 − $100 = $39,900</span></div></li><li class="ace-line ace-line old-record-id-BuxadMgQUovdmxx1SVFuiT2gsIb" data-list="bullet"><div><span style="font-size: 16px;">Capital gain: $39,900 − $30,100 = $9,800</span></div></li><li class="ace-line ace-line old-record-id-ABD5dSQ4Xoh4BHxtaqXuJCCHslb" data-list="bullet"><div><span style="font-size: 16px;">At the 15% long-term rate, tax owed: $9,800 × 15% = $1,470</span></div></li></ul><div class="ace-line ace-line old-record-id-XGNpdRR9poMZDlx9b0juyWwFsKd"><span style="font-size: 16px;"><br></span></div><h2 class="heading-2 ace-line old-record-id-W1qFdqw1YoL1xHxy3sQuHxnSsFe"><strong>7. US Stock Tax FAQ</strong></h2><div class="ace-line ace-line old-record-id-EoEMd2AYVoyu5Xx5ynSu6kRGsVd"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-MBFvdYBi2oH4djxTU3ouRzsQsFd"><span style="font-size: 16px;">7.1 Are stock investment gains taxable? </span></h3><div class="ace-line ace-line old-record-id-G2CEdSPlAoOAPUxNi7YuZbPxs7d"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-VvFxdJhsEol028xoNLbuezXbsSe"><span style="font-size: 16px;">Yes. In the US, profits from stock investments are capital gains and must be reported and taxed accordingly.</span></div><div class="ace-line ace-line old-record-id-TRdBdfRkmo0Ar7xYwbtujgFysvh"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-M1VKdPOg1o1YDPxh2xQufEyDsAf"><span style="font-size: 16px;">7.2 How much tax do US stock gains incur? </span></h3><div class="ace-line ace-line old-record-id-ZLiodHV4corwqWx5E7AuOG13sYg"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-QHCzdwR2IoaE95xfUYbujKyCssL"><span style="font-size: 16px;">It depends on holding period and income level. Short-term gains are taxed at ordinary income rates of 10%–37%; long-term gains qualify for preferential rates of 0%, 15%, or 20%.</span></div><div class="ace-line ace-line old-record-id-BOzidPWm9oygtBxl7Bcu9M0XsSf"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-Q41xds3aQokcrCxJBdMuGJ4csMg"><span style="font-size: 16px;">7.3 How much tax is owed on $300,000 in capital gains? </span></h3><div class="ace-line ace-line old-record-id-GIHydS0dnoN2KsxjjoJugpQzsdg"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-IS6TdK1GkoCB2axWhI7uiaTNsHg"><span style="font-size: 16px;">It depends on holding period and total taxable income. For long-term gains at the 15% rate, the tax would be approximately $45,000.</span></div><div class="ace-line ace-line old-record-id-RykZdrISKoJWx9xQiI0u0f4EsPe"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-B0dAdhRPIo0I1ax7v48uC6N1szb"><span style="font-size: 16px;">7.4 Can stock losses offset taxes? </span></h3><div class="ace-line ace-line old-record-id-SpdJdnLdWoVZyGxujNwuFhgXsqb"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-OMl1d0u9dol7hVxCNYVuB21AsWe"><span style="font-size: 16px;">Yes. Capital losses can offset capital gains, and up to $3,000 in net losses can also be deducted from ordinary income per year.</span></div><div class="ace-line ace-line old-record-id-LoXudEgCHoX54BxLCYFuBdgmsnh"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-AHXDdqC0aoqBJmxxr0CuyK6KsJd"><span style="font-size: 16px;">7.5 Is the capital gains tax rate 15% or 20%? </span></h3><div class="ace-line ace-line old-record-id-EUkjdUhdRocydLxqLRTuWBnxsGc"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-GvczdoZjIoLSccxuDwBuBpwfs9c"><span style="font-size: 16px;">Both are possible. Most investors fall under the 15% long-term rate, but high earners above certain thresholds pay 20%.</span></div><div class="ace-line ace-line old-record-id-BIAPdn2kgo5JekxilATuOgGlsLf"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-FslRdFtFNon9ksxVPituMvsuswO"><span style="font-size: 16px;">7.6 How do you calculate stock taxes? </span></h3><div class="ace-line ace-line old-record-id-B76AdMSOHotRKDxDII4uYjZKs4b"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-R1g8dxmdGoK5X8xbUY9uPN3wsLc"><span style="font-size: 16px;">Formula: Tax = Capital Gain × Applicable Rate, where Capital Gain = Sale Price − Cost Basis (purchase price plus transaction fees).</span></div><div class="ace-line ace-line old-record-id-QFwgdmwCFopmncxTFBsuZpHWsLf"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-W9q3dPqr4ozwHCxn6Z1uOLhJsXA"><span style="font-size: 16px;">7.7 How much tax applies to day trading? </span></h3><div class="ace-line ace-line old-record-id-K84odXr29olakSxf5k8ubUgvsKQ"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-FC0kdxQdaoU3xixOsFzun2GfsEc"><span style="font-size: 16px;">Day trading gains are short-term capital gains taxed at ordinary income rates, up to 37%.</span></div><div class="ace-line ace-line old-record-id-A2eMd8ZNyoGb1xxCjtHupKgHs5b"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-ODP2daFfxod5S3xTjdZu4O5UsSe"><span style="font-size: 16px;">7.8 Do investors in US stocks need to pay taxes? </span></h3><div class="ace-line ace-line old-record-id-UPMVdSxbOoMDy9xauMIuxDbFs0g"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-Eu9zd6u2JoDDTqxUVLXuc1tcsLG"><span style="font-size: 16px;">Yes. Both US residents and non-residents are required to pay taxes on gains from investing in US stocks in accordance with applicable rules.</span></div><div class="ace-line ace-line old-record-id-WFFXdHkiwonZIxxUhFpu2zylsDc"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-LoGEdKZJpotMngxZSG3uUy5Qsof"><span style="font-size: 16px;">Recommended Reading:</span></h3><ul start="1" class="list-bullet1"><li class="ace-line ace-line old-record-id-CfRUd2jaCoZbGfxigcNunSj4sde" data-list="bullet"><div><a data-lark-is-custom="true" href="https://www.mexc.com/learn/article/17827791535795" style="font-size: 16px;">What Is RealStocks?</a></div></li><li class="ace-line ace-line old-record-id-CZGZdoJhUoW1iWx6Ktuu9hg9s5d" data-list="bullet"><div><a href="https://www.mexc.com/support/article/realstocks-trading-faq-382924861612411904" data-lark-is-custom="true" style="font-size: 16px;">RealStocks Trading FAQ</a></div></li><li class="ace-line ace-line old-record-id-IzlLd2dZyon2gPxrFZnux3Eiscc" data-list="bullet"><div><a href="https://www.mexc.com/support/article/stock-dividends-explained-375847313854307328" data-lark-is-custom="true" style="font-size: 16px;">US Stock Bonus Shares Explained: Understanding Stock Dividend Distribution in the US Market </a></div></li><li class="ace-line ace-line old-record-id-J50UdQyjIoCxbvxAH3ruYRDPscb" data-list="bullet"><div><a href="https://www.mexc.com/support/article/corporate-actions-explained-378074245807356928?handleDefaultLocale=keep" data-lark-is-custom="true" style="font-size: 16px;">Corporate Actions Explained: Stock Splits, Reverse Splits, Rights Issues, and Shareholder Meetings </a></div></li><li class="ace-line ace-line old-record-id-OJD5ddxGjoZRHmxsRORuki5Bswb" data-list="bullet"><div><a href="https://www.mexc.com/support/article/us-stock-bonus-shares-explained-378075302369310720" data-lark-is-custom="true" style="font-size: 16px;">How to Open a US Stock Trading Account: A Beginner's Guide</a></div></li></ul><div class="ace-line ace-line old-record-id-BA5PdyHNko6Erdx3LTgu497tsre"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-Lj4GdHXpOokjtex7QN5usM7Osc2"><span style="font-size: 16px;">Disclaimer:</span></div><div class="ace-line ace-line old-record-id-B3Bjdz7fGo5uPAxdnm9u9pR3svf"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-NgY3dHvF4os2p2xAqVouSC3vsMg"><span style="font-size: 16px;">The information provided herein is for informational and educational purposes only and does not constitute financial, investment, tax, or legal advice. MEXC is not a registered investment advisor or broker-dealer. All investment strategies and investments involve risk of loss. Any content contained herein should not be relied upon as advice or construed as providing recommendations of any kind. Always conduct your own research and consult with a licensed financial professional before making any investment decisions.</span></div><div class="ace-line ace-line old-record-id-RndidvnYmomAjfx0azluDiwZsfd"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-P8tSd7BbIoTwWSx4IyeuycUrsqc"><span style="font-size: 16px;">By participating in these investment activities you risk losing ALL OR SUBSTANTIALLY ALL OF YOUR ASSETS. Please understand and evaluate the risk of trading and assess your risk tolerance carefully before conducting any trading or investment activities.</span></div></div>lg...

<div data-page-id="NAxLdkwG3okrbixPTpWuuf39sih" data-lark-html-role="root" data-docx-has-block-data="true"><h2 class="heading-2 ace-line old-record-id-P48Gd11bDo4vIpxNbwruT4cKskf"><strong>Key Takeaways</strong></h2><ul start="1" class="list-bullet1"><li class="ace-line ace-line old-record-id-GspsdBAoUo9Ee4xlYk3unvFDsnf" data-list="bullet"><div><span style="font-size: 16px;">Bonus shares are additional shares distributed to existing shareholders at no cost and do not involve any cash payment.</span></div></li><li class="ace-line ace-line old-record-id-OA4odkRsAoWys8x7N9tuvzRUsRb" data-list="bullet"><div><span style="font-size: 16px;">After bonus shares are issued, the stock price is adjusted proportionally, while the investor's total market value remains unchanged.</span></div></li><li class="ace-line ace-line old-record-id-Q1CbdiRIBoeK5axa6pJu40bCssP" data-list="bullet"><div><span style="font-size: 16px;">Bonus shares and stock splits are different corporate actions, each serving different purposes.</span></div></li><li class="ace-line ace-line old-record-id-HALCdFptko7TPgxOiYHupo4ksmg" data-list="bullet"><div><span style="font-size: 16px;">In the US stock market, bonus shares generally do not create a tax liability when issued, although capital gains tax may apply when the shares are sold.</span></div></li><li class="ace-line ace-line old-record-id-Ja3qd7QTeoQEgaxAMNduPXJyseb" data-list="bullet"><div><span style="font-size: 16px;">Understanding corporate actions such as bonus issues through platforms like MEXC can help investors better evaluate market activity and long-term investment opportunities.</span></div></li></ul><div class="ace-line ace-line old-record-id-XP5fdDd36ot5GnxP4XruYvwasoh"><span style="font-size: 16px;"><br></span></div><h2 class="heading-2 ace-line old-record-id-KxvQdAyjMoYMHSxnINau8hxasof"><strong>1. What Are Bonus Shares?</strong></h2><div class="ace-line ace-line old-record-id-KNjrdJE7QohhEgxIuOYuBhyBsod"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-NBAQdEoofoNL3rxEA6LuLCrwsXf"><span style="font-size: 16px;">Bonus shares refer to additional shares distributed by a listed company to existing shareholders by capitalizing retained earnings or reserves. This practice is relatively common in the stock market and is one way companies reward shareholders.</span></div><div class="ace-line ace-line old-record-id-RKrWdNaPIoI9wqxVwLGutYN8sde"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-HYDId0BwwoodPzxJXHNuGRIbsnc"><span style="font-size: 16px;">For example, if a company announces a 1-for-5 bonus issue, shareholders receive 1 additional share for every 5 shares they already own. An investor holding 100 shares would therefore own 120 shares after the bonus issue.</span></div><div class="ace-line ace-line old-record-id-TBrNd4V4moji3ix3UyVu3yUNsbh"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-JC7Zdmml0oSArixwwkyucScLs3g"><span style="font-size: 16px;">Bonus shares are issued from a company's retained earnings or capital reserves rather than through additional payments from shareholders. The newly issued shares are automatically credited to shareholders' brokerage accounts without requiring any action from investors.</span></div><div class="ace-line ace-line old-record-id-UKwLdFZ23oPVQGxQsYYun9NdsOd"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-CXAEdAwsUo7wBrxQUmXub9mlsuU"><span style="font-size: 16px;">*BTN- <strong>Trade RealStocks</strong>&amp;BTNURL=<span style="color:rgb(100,37,208)"><a data-lark-is-custom="true" href="https://www.mexc.com/trade-stocks">https://www.mexc.com/trade-stocks</a></span>*</span></div><div class="ace-line ace-line old-record-id-TwkHduerSo7A3rx5Hl1uGA5asHf"><span style="font-size: 16px;"><br></span></div><h2 class="heading-2 ace-line old-record-id-DDy1dUw3ToP0XDxnJV4uVuv1sng"><strong>2. How Bonus Shares Work</strong></h2><div class="ace-line ace-line old-record-id-TUUsdVklQoZAZ0x5ESDutWyYshh"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-UYNXdXE89owVYGxSqX4uT6mps1e"><span style="font-size: 16px;">2.1 Impact on Share Price</span></h3><div class="ace-line ace-line old-record-id-AgAadNCUqoZNmmxABj1ubGYHsHe"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-ZDJFdZ7AlotQv7xiycHu281wskb"><span style="font-size: 16px;">A bonus issue increases the total number of shares outstanding. Since the company's overall market capitalization generally remains unchanged immediately after the issuance, the share price is adjusted proportionally.</span></div><div class="ace-line ace-line old-record-id-QjrHdgdUzoMR2Xx1GAQuTBlbsNf"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-Ij6VdGoZCoar1jxeHBhur8O9sgf"><span style="font-size: 16px;">For example, assume a company is trading at $100 per share and announces a 1-for-1 bonus issue. After the bonus issue, the number of shares held by investors doubles, while the share price adjusts to approximately $50. An investor who originally owned 10 shares worth $1,000 would then own 20 shares worth a total of $1,000.</span></div><div class="ace-line ace-line old-record-id-OIKFdsuBUouoQtxJJsHuGn7Isgb"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-EQ1cdFtoMo3U4zxochruiAs1sQg"><span style="font-size: 16px;">2.2 Impact on Investors</span></h3><div class="ace-line ace-line old-record-id-WznqdJWJMojkIjx7BSHugNBDs0O"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-WNObdi2ibocmFsxEM8ruOJFXsWe"><span style="font-size: 16px;">A bonus issue does not immediately change the value of an investor's holdings, but it may have several indirect effects:</span></div><ul start="1" class="list-bullet1"><li class="ace-line ace-line old-record-id-I8Kjd43HloUdsUxoiTYuBDhHs1f" data-list="bullet"><div><span style="font-size: 16px;">Larger shareholdings may increase future dividend income if dividends per share are maintained.</span></div></li><li class="ace-line ace-line old-record-id-KkrhdXlcAo47PYxyLz7ucV08smh" data-list="bullet"><div><span style="font-size: 16px;">A lower share price may improve market accessibility and improve stock liquidity.</span></div></li><li class="ace-line ace-line old-record-id-S6zndATySoZFOyxaelKuAHphs9e" data-list="bullet"><div><span style="font-size: 16px;">Bonus issues are often viewed as a sign of a company's financial strength and may help boost investor confidence.</span></div></li></ul><div class="ace-line ace-line old-record-id-BZL6daIPxotemDxhsnXu5BxcsNc"><span style="font-size: 16px;"><br></span></div><h2 class="heading-2 ace-line old-record-id-D0K8dSIdZoFveHxqfXEudcOysJc"><strong>3. Types of Bonus Shares</strong></h2><div class="ace-line ace-line old-record-id-X9KVde75VoREbixhMbjuSHrHshg"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-EWosdiHfCoqwFyxW6w1u9xkfs3c"><span style="font-size: 16px;"><strong>Fully Paid Bonus Shares:</strong> This is the most common form of bonus issue. The company distributes additional shares using retained earnings, capital reserves, or other reserves, and shareholders are not required to make any payment.</span></div><div class="ace-line ace-line old-record-id-QFscd2JQ9odd8LxgrwRu8FFTs9f"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-GvQidI7F0olhVxxiuCCuhCFjsfb"><span style="font-size: 16px;"><strong>Partly Paid Bonus Shares:</strong> This type is less common. Under this arrangement, partly paid shares are converted into fully paid shares through capitalization without requiring shareholders to pay the outstanding balance.</span></div><div class="ace-line ace-line old-record-id-X4fgdOLZPoiWUQxJFltu24e7sfd"><span style="font-size: 16px;"><br></span></div><h2 class="heading-2 ace-line old-record-id-HTbBdwesQoG5hUxfuDXuP6bxsDh"><strong>4. Bonus Shares vs Stock Splits</strong></h2><div class="ace-line ace-line old-record-id-UsCLdlF1aofxkMxsbncu14L4s5c"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-QuNVdYIrgojYEzxDMYmuIvIjsFf"><span style="font-size: 16px;">Bonus issues and stock splits both increase the number of shares outstanding and reduce the share price proportionally, but they work differently.</span></div><div class="ace-line ace-line old-record-id-Xi7OdWqzFoCrUjxmfwTuIDy3sMc"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-V6p8dwMY6olFruxj7JhuT2BTsde"><span style="font-size: 16px;">A bonus issue converts company reserves into share capital and distributes additional shares to existing shareholders. The par value of each share remains unchanged. This process increases paid-up capital while reducing reserves.</span></div><div class="ace-line ace-line old-record-id-Pa2rdPy9jos5xJxp6tWuQNqpsHf"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-XPNidqpQ1o4l1LxJIjHudF38sDu"><span style="font-size: 16px;">A stock split divides existing shares into smaller units and reduces the par value proportionally. For example, in a 2-for-1 stock split, a share with a par value of $10 becomes two shares with a par value of $5 each. A stock split does not involve any transfer of reserves.</span></div><div class="ace-line ace-line old-record-id-I6Jtdk68rouWNNxqQT2uVwY4ssg"><span style="font-size: 16px;"><br></span></div><div><table class="ace-table" data-ace-table-col-widths="208;208;231" style="border:none;border-collapse:collapse;table-layout:fixed;width:500px;"><colgroup><col width="208"><col width="208"><col width="231"></colgroup><tbody><tr style="height:39px;"><td colspan="1" rowspan="1" style="border: 1px solid rgb(222, 224, 227); padding: 8px; vertical-align: middle; font-size: 10pt;"><div style="text-align:center" class="ace-line ace-line old-record-id-BxaDdZ9NboULBSxcj6QuAlZJs3f"><strong style="font-size: 16px;">Comparison</strong></div></td><td colspan="1" rowspan="1" style="border: 1px solid rgb(222, 224, 227); padding: 8px; vertical-align: middle; font-size: 10pt;"><div style="text-align:center" class="ace-line ace-line old-record-id-MCzVdV642oGZotxQVWJuNOPVsDc"><strong style="font-size: 16px;">Bonus Shares</strong></div></td><td colspan="1" rowspan="1" style="border: 1px solid rgb(222, 224, 227); padding: 8px; vertical-align: middle; font-size: 10pt;"><div style="text-align:center" class="ace-line ace-line old-record-id-PP7tdZxIoo8WYsx5NFLurnAbsOe"><strong style="font-size: 16px;">Stock Split</strong></div></td></tr><tr style="height:39px;"><td colspan="1" rowspan="1" style="border: 1px solid rgb(222, 224, 227); padding: 8px; vertical-align: middle; font-size: 10pt;"><div style="text-align:center" class="ace-line ace-line old-record-id-COgzdBnKooNaE3xC2O0uVg8XsMf"><span style="font-size: 16px;">Par value per share</span></div></td><td colspan="1" rowspan="1" style="border: 1px solid rgb(222, 224, 227); padding: 8px; vertical-align: middle; font-size: 10pt;"><div style="text-align:center" class="ace-line ace-line old-record-id-FMWvdFjJQoNjZTxjLJtuYxOusXf"><span style="font-size: 16px;">Unchanged</span></div></td><td colspan="1" rowspan="1" style="border: 1px solid rgb(222, 224, 227); padding: 8px; vertical-align: middle; font-size: 10pt;"><div style="text-align:center" class="ace-line ace-line old-record-id-LM8LdzVx4opySQxUBTautQpQsBf"><span style="font-size: 16px;">Reduced proportionally</span></div></td></tr><tr style="height:39px;"><td colspan="1" rowspan="1" style="border: 1px solid rgb(222, 224, 227); padding: 8px; vertical-align: middle; font-size: 10pt;"><div style="text-align:center" class="ace-line ace-line old-record-id-LhwbdnU6ZocE2ix7pQkuDf1fspe"><span style="font-size: 16px;">Impact on reserves</span></div></td><td colspan="1" rowspan="1" style="border: 1px solid rgb(222, 224, 227); padding: 8px; vertical-align: middle; font-size: 10pt;"><div style="text-align:center" class="ace-line ace-line old-record-id-Mrt1dY88don7nbxdu2su58pvscf"><span style="font-size: 16px;">Transferred to share capital</span></div></td><td colspan="1" rowspan="1" style="border: 1px solid rgb(222, 224, 227); padding: 8px; vertical-align: middle; font-size: 10pt;"><div style="text-align:center" class="ace-line ace-line old-record-id-UGTjdKyCNo1k3ZxYkhAupc4TsGg"><span style="font-size: 16px;">No change</span></div></td></tr><tr style="height:39px;"><td colspan="1" rowspan="1" style="border: 1px solid rgb(222, 224, 227); padding: 8px; vertical-align: middle; font-size: 10pt;"><div style="text-align:center" class="ace-line ace-line old-record-id-Zi9MdIXvgoZUdIxKrCvuDHBYsQg"><span style="font-size: 16px;">Paid-up capital</span></div></td><td colspan="1" rowspan="1" style="border: 1px solid rgb(222, 224, 227); padding: 8px; vertical-align: middle; font-size: 10pt;"><div style="text-align:center" class="ace-line ace-line old-record-id-IUMGdMLUroTLLwxfAQ2uG7NPsob"><span style="font-size: 16px;">Increases</span></div></td><td colspan="1" rowspan="1" style="border: 1px solid rgb(222, 224, 227); padding: 8px; vertical-align: middle; font-size: 10pt;"><div style="text-align:center" class="ace-line ace-line old-record-id-GiSKdkSIho2IaBxXU48uz1zLsab"><span style="font-size: 16px;">Unchanged</span></div></td></tr><tr style="height:39px;"><td colspan="1" rowspan="1" style="border: 1px solid rgb(222, 224, 227); padding: 8px; vertical-align: middle; font-size: 10pt;"><div style="text-align:center" class="ace-line ace-line old-record-id-ZqCGdIabDoO09Mxqtl0ugBMaszb"><span style="font-size: 16px;">Primary objective</span></div></td><td colspan="1" rowspan="1" style="border: 1px solid rgb(222, 224, 227); padding: 8px; vertical-align: middle; font-size: 10pt;"><div style="text-align:center" class="ace-line ace-line old-record-id-PMejdQ4D2obIqZxfqYKuUS9fsYb"><span style="font-size: 16px;">Reward shareholders</span></div></td><td colspan="1" rowspan="1" style="border: 1px solid rgb(222, 224, 227); padding: 8px; vertical-align: middle; font-size: 10pt;"><div style="text-align:center" class="ace-line ace-line old-record-id-CEWpd70zWojS7lxF8X0ukza5smc"><span style="font-size: 16px;">Improve liquidity</span></div></td></tr></tbody></table></div><div class="ace-line ace-line old-record-id-Fm0vdQ5h7oMNKDxnCl7uK4b8sXg"><span style="font-size: 16px;"><br></span></div><h2 class="heading-2 ace-line old-record-id-JL9jdN76roYiejxqE2SucRIjsAg"><strong>5. Bonus Shares vs Cash Dividends</strong></h2><div class="ace-line ace-line old-record-id-Vqs9dWQzqos4WRxutWzup4Eds8e"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-Hn7WdLggvo9BIuxLEH0u6XH5s8g"><span style="font-size: 16px;">Companies generally reward shareholders through two main methods: bonus shares and cash dividends. Each serves different investor needs.</span></div><div class="ace-line ace-line old-record-id-BiQFddApXoVDZXxiCrMutNIwsdb"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-NDKBd7Zsro5AngxKvXeu6fiTsyf"><span style="font-size: 16px;"><strong>Bonus shares</strong> increase the number of shares held by shareholders without generating immediate cash income. For long-term investors, bonus shares can help accumulate additional shares and support long-term compounding.</span></div><div class="ace-line ace-line old-record-id-TZygdPgHaoPXlTxDhPVuNf3ysOc"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-J9tqdjYiVo2hjfxuovGuqBgBsCd"><span style="font-size: 16px;"><strong>Cash dividends</strong>, by contrast, provide direct cash payments to shareholders and generate immediate income. This approach is often preferred by investors who require regular cash flow.</span></div><div class="ace-line ace-line old-record-id-Aq3rdol0zoC42ZxBQhluLge3sSd"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-JzredNcLDoIbjwxrG8lukHHKsyd"><span style="font-size: 16px;">From a tax perspective, bonus shares generally do not trigger a taxable event upon issuance. Capital gains tax may apply when the shares are sold. Cash dividends, however, are typically taxable when received.</span></div><div class="ace-line ace-line old-record-id-YtaKdzaJwomkE8xHyG1u3ToZsIf"><span style="font-size: 16px;"><br></span></div><h2 class="heading-2 ace-line old-record-id-TilJd1SxzoJLHdxp7Nduz04lsYE"><strong>6. How Bonus Shares Affect Investment Decisions</strong></h2><div class="ace-line ace-line old-record-id-VeKddb4Ohoyw8kxIxLLuSTKQs9e"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-SaO5d855zopvgsx4PDKuGfu7sGc"><span style="font-size: 16px;">6.1 Advantages of Bonus Shares</span></h3><div class="ace-line ace-line old-record-id-NPiZdzi2BoNPX2x5VTdusD4msxc"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-KEAqdjH97oZuPPxWwe3uQDYesLb"><span style="font-size: 16px;">For investors, bonus shares provide additional shares without requiring additional capital. Over time, repeated bonus issues can significantly increase the number of shares held.</span></div><div class="ace-line ace-line old-record-id-H7YUdzMJboAj2nx2qA9uvr4lswc"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-JqVddZq0VoenAwxADrpuzMwrs6f"><span style="font-size: 16px;">Bonus issues are also often viewed as a sign that a company has sufficient reserves and a healthy financial position.</span></div><div class="ace-line ace-line old-record-id-C1dLdNKJco2tCkxHICIujuJDsJb"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-HRGNdoSVdoqxo3xW0tYucNCxsLb"><span style="font-size: 16px;">For companies, bonus shares provide a way to reward shareholders without using cash while increasing the number of shares available for trading and improving market activity.</span></div><div class="ace-line ace-line old-record-id-Cweld1sagoMgdlxIckMu4CvIsWb"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-A15kdMGMeoxqaOxKA0PuEoBdste"><span style="font-size: 16px;">6.2 Limitations of Bonus Shares</span></h3><div class="ace-line ace-line old-record-id-LUUwdsX2sogT2mxZ55FuWIbMsEg"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-JCTSdlCx5o8xp6xZMDZuDzrjsKf"><span style="font-size: 16px;">Bonus shares do not generate immediate economic gains because the overall value of the investment remains unchanged.</span></div><div class="ace-line ace-line old-record-id-MsbDdjsAAoguzhxK8gtuDd96sIe"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-V03udktpaoJPkfx6WaLukvYxssd"><span style="font-size: 16px;">In addition, bonus issues dilute earnings per share and book value per share because the same earnings and net assets are spread across a larger number of shares.</span></div><div class="ace-line ace-line old-record-id-PIEldDfxWo0Rcwx4xOFuQocwsKc"><span style="font-size: 16px;"><br></span></div><h2 class="heading-2 ace-line old-record-id-Q6dRd2HBMoGrfgx436GuKxzusBb"><strong>7. Staying Informed Through MEXC</strong></h2><div class="ace-line ace-line old-record-id-B6gVdTrNNo7kwTxQkfguNxtpsGd"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-C4eldD7zaoWC36x6yFDuxU06s7b"><span style="font-size: 16px;">Understanding how traditional financial markets operate is important for investors across all asset classes. As a professional trading platform, MEXC is committed to providing users with educational resources and market insights. Whether the topic is bonus shares, stock splits, or other corporate actions, understanding these concepts can help investors make more informed decisions.</span></div><div class="ace-line ace-line old-record-id-ABQYdHMsmoTeIuxrJOhuCASjsoV"><span style="font-size: 16px;"><br></span></div><h2 class="heading-2 ace-line old-record-id-YqoOdibb5o31RExW53HuUpQxsvh"><strong>8. Bonus Shares FAQ</strong></h2><div class="ace-line ace-line old-record-id-O2zadmLqzontE9xMW3AutFHPsGc"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-U7BKdgaOgom6VtxfRM6uAUacsBe"><span style="font-size: 16px;">8.1 Which companies issue bonus shares?</span></h3><div class="ace-line ace-line old-record-id-BtYcdCasaoEdpkx0LEzuyDdzsvh"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-KDjadd1eDoCOU5xY9qnu01W4sbc"><span style="font-size: 16px;">Companies with sufficient reserves and stable profitability are generally more likely to issue bonus shares. Investors can find relevant information through company announcements and financial news platforms.</span></div><div class="ace-line ace-line old-record-id-YZ6tdxpM5o6z5NxlbAluaZELsjc"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-DH3ydlPgooNa8lxVh8cuzOGfsSK"><span style="font-size: 16px;">8.2 Which is better, bonus shares or stock splits?</span></h3><div class="ace-line ace-line old-record-id-DIR6dZ6K0oAPPPxxBywufdassud"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-UOIzdki9to4yX7xQ59XuqBofsOh"><span style="font-size: 16px;">Neither is inherently better. Bonus shares indicate that a company has sufficient reserves, while stock splits are primarily intended to improve liquidity. Investors should evaluate each situation based on their investment objectives and the company's circumstances.</span></div><div class="ace-line ace-line old-record-id-DpMyda6q8oDqt7xuSUnuT06tsUf"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-QJ1FdkFrIoidRqxhTXuuFQ7is6f"><span style="font-size: 16px;">8.3 Should I buy shares before or after a bonus issue?</span></h3><div class="ace-line ace-line old-record-id-ZqP0dAvLjoC1Ebxu9KuuxFJ6sle"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-GwnId3MCRoDOx0xXMWTuxEynsrg"><span style="font-size: 16px;">A bonus issue alone does not change a company's underlying value. Investment decisions should primarily be based on company fundamentals, valuation, and growth prospects.</span></div><div class="ace-line ace-line old-record-id-PBcPdkEyfoStEnxj9ZBurfaMsub"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-Kg2Zd01KwoLObHxMwBfu61dIsac"><span style="font-size: 16px;">8.4 Does the stock price fall after a bonus issue?</span></h3><div class="ace-line ace-line old-record-id-UQECdrKq6okkbdxWGQzu0pY5smh"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-YstIdS9E3o9L9uxvhVEuUH5xsgh"><span style="font-size: 16px;">Yes. The share price is adjusted downward proportionally after a bonus issue. However, this is a mechanical price adjustment, and the investor's total market value remains unchanged.</span></div><div class="ace-line ace-line old-record-id-UsbJdKK7goVk4TxW8jdu4ZgGszb"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-Iut0dPUjQoFCp6xgdpnutec3svc"><span style="font-size: 16px;">8.5 What is the difference between bonus shares and dividends?</span></h3><div class="ace-line ace-line old-record-id-KaCXdYGtqo8hdtxlbopulI0Xs4d"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-OW1Vdci2Cob8fMxpkBBujMu9ssB"><span style="font-size: 16px;">Bonus shares provide additional shares and do not involve cash payments. Dividends are direct cash distributions to shareholders. The two differ in structure, taxation, and cash flow impact.</span></div><div class="ace-line ace-line old-record-id-AGwVdhklWo6zpSxuaUkumw2XsNd"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-RrNXd8uOXoxNJyxEyrAuZAobsFh"><span style="font-size: 16px;">8.6 What are the disadvantages of bonus shares?</span></h3><div class="ace-line ace-line old-record-id-NVsNd4LumooHxFxrbxgu26cAsgh"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-DXPfdHtIuoRxSZx8fjluEHX8sxh"><span style="font-size: 16px;">Potential drawbacks include the lack of immediate cash income, dilution of earnings per share, and the use of company reserves, which may reduce the company's flexibility for future distributions.</span></div><div class="ace-line ace-line old-record-id-CUSPdaGbkogOpyxDKu0upyzBsZf"><span style="font-size: 16px;"><br></span></div><h2 class="heading-2 ace-line old-record-id-Ylj2dnNDOoQ8FoxVvOHuH0rrspc"><strong>9. Conclusion</strong></h2><div class="ace-line ace-line old-record-id-NaR5d3ea0or1ACxl4hyu0zAvs9M"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-InfwdOZTQozxRYxQDoAuLscxsOK"><span style="font-size: 16px;">Bonus shares are a common corporate action in the stock market and an important concept for investors to understand. Whether investing in stocks or digital assets, understanding how bonus issues work can help investors better evaluate opportunities and market developments. MEXC continues to provide educational content to help investors build knowledge and make more informed decisions.</span></div><div class="ace-line ace-line old-record-id-JL1MdsM9JocdHGxWSequupBPslb"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-M5PHdtU2HojU8sxaOOUufRBssag"><span style="font-size: 16px;">Recommended Reading:</span></h3><ul start="1" class="list-bullet1"><li class="ace-line ace-line old-record-id-LRiqdb4mUoEWF4x9XbCug8fKsBd" data-list="bullet"><div><a data-lark-is-custom="true" href="https://www.mexc.com/learn/article/17827791535795" style="font-size: 16px;">What Is RealStocks?</a></div></li><li class="ace-line ace-line old-record-id-ZlO8d0JVro7nkMx391XubGyFsDk" data-list="bullet"><div><a href="https://www.mexc.com/support/article/realstocks-trading-faq-382924861612411904" data-lark-is-custom="true" style="font-size: 16px;">RealStocks Trading FAQ</a></div></li><li class="ace-line ace-line old-record-id-L4Ppd0qMFoi9uUxY5uluFDUEsqh" data-list="bullet"><div><a href="https://www.mexc.com/support/article/how-are-stock-investment-gains-taxed-a-practical-guide-to-us-stock-tax-calculation-378076298801724416" data-lark-is-custom="true" style="font-size: 16px;">How Are Stock Investment Gains Taxed? A Practical Guide to U.S. Stock Tax Calculation </a></div></li><li class="ace-line ace-line old-record-id-NZlydxFttoE6pAxyURduobkwspf" data-list="bullet"><div><a href="https://www.mexc.com/support/article/corporate-actions-explained-378074245807356928" data-lark-is-custom="true" style="font-size: 16px;">Corporate Actions Explained: Stock Splits, Reverse Splits, Rights Issues, and Shareholder Meetings </a></div></li><li class="ace-line ace-line old-record-id-GC4odoRZFojhY4xgvgZupHpZsOh" data-list="bullet"><div><a href="https://www.mexc.com/support/article/us-stock-bonus-shares-explained-378075302369310720" data-lark-is-custom="true" style="font-size: 16px;">How to Open a US Stock Trading Account: A Beginner's Guide </a></div></li></ul><div class="ace-line ace-line old-record-id-Ca6xd5R10owwHex4QGZumuG2sjr"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-Me30d9jBWopGFsxb2MXuCNzrsTe"><strong style="font-size: 16px;">Disclaimer:</strong></div><div class="ace-line ace-line old-record-id-WZ4ndBDSLouKxyxe7CIufNrLs5b"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-KZ07dqfTLoVfVuxlrk9udjpAsWb"><span style="font-size: 16px;">The information provided herein is for informational and educational purposes only and does not constitute financial, investment, tax, or legal advice. MEXC is not a registered investment advisor or broker-dealer. All investment strategies and investments involve risk of loss. Any content contained herein should not be relied upon as advice or construed as providing recommendations of any kind. Always conduct your own research and consult with a licensed financial professional before making any investment decisions.</span></div><div class="ace-line ace-line old-record-id-RIfBdU3IqoAEIgxR0lRu0IQas5g"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-U4AmdRfhSosn5yx3GXou9YCWsvf"><span style="font-size: 16px;">By participating in these investment activities, you risk losing ALL OR SUBSTANTIALLY ALL OF YOUR ASSETS. Please understand and evaluate the risk of trading and assess your risk tolerance carefully before conducting any trading or investment activities.</span></div><div class="ace-line ace-line old-record-id-Mej5dDC6RogvKhxMRhFuFU7WsKc"><span style="font-size: 16px;"><br></span></div></div>lg...

<div data-page-id="QmfodA5pXouYGKxmyIsuWgvYsGc" data-lark-html-role="root" data-docx-has-block-data="true"><h2 class="heading-2 ace-line old-record-id-NIwTdrbAkoBgeWxyxxUu4h77sef"><strong>Key Takeaways</strong></h2><ul start="1" class="list-bullet1"><li class="ace-line ace-line old-record-id-NzYpd31JnoO09Xx05xNu1clIsbc" data-list="bullet"><div><span style="font-size: 16px;">US stock dividends are a way for listed companies to distribute a portion of their profits to shareholders.</span></div></li><li class="ace-line ace-line old-record-id-HVUSd2CJMogM4ExNrUpuYGHts8d" data-list="bullet"><div><span style="font-size: 16px;">The dividend process involves four key dates: the declaration date, ex-dividend date, record date, and payment date.</span></div></li><li class="ace-line ace-line old-record-id-PDAodPKEfoQg4bxWXPyuYv06sib" data-list="bullet"><div><span style="font-size: 16px;">Most US companies pay dividends quarterly, while some use monthly or annual dividend schedules.</span></div></li><li class="ace-line ace-line old-record-id-DHxpd0FWDo9LZhxKIGqu5AoWsBF" data-list="bullet"><div><span style="font-size: 16px;">Non-US investors are generally subject to dividend withholding tax, with rates varying by country.</span></div></li><li class="ace-line ace-line old-record-id-LQcVdHF5losTs8xr7tquAeIxsdh" data-list="bullet"><div><span style="font-size: 16px;">Investors may choose to reinvest dividends to benefit from long-term compounding.</span></div></li></ul><div class="ace-line ace-line old-record-id-KMtRdmMY4olACVxtQALuMJFysGd"><span style="font-size: 16px;"><br></span></div><h2 class="heading-2 ace-line old-record-id-K0LedPvuto8FafxBFXhujCKnsMc"><strong>1. What Are US Stock Dividends?</strong></h2><div class="ace-line ace-line old-record-id-PUP6dZi2xosa5nxE8bKum1kIs5f"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-XQe7db9BaoQBI7xx9TWuJw12sLb"><span style="font-size: 16px;">US stock dividends refer to the distribution of a portion of a listed company's profits to shareholders in the form of cash or additional shares, based on the number of shares held or as specified in the company's corporate policies. Dividends are one of the primary ways companies return value to shareholders.</span></div><div class="ace-line ace-line old-record-id-QQqAd2Js2o5oQkxcd0rud43vsUb"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-BQQydX7QnoSCUZxSHb2uBZcSssf"><span style="font-size: 16px;">Most US companies pay dividends on a quarterly basis, with cash dividends being the most common form. Companies with stable dividend policies are often favored by long-term investors.</span></div><div class="ace-line ace-line old-record-id-Yfgcdmoc2osPXTxKf24uf91isGf"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-VGLwdlK9LoUX0ExTrzBuQfclsIc"><span style="font-size: 16px;">It is important to note that dividends are not guaranteed. Companies may reduce or suspend dividend payments at any time. When making investment decisions, investors should evaluate the company's fundamentals, cash flow sustainability, and long-term earnings outlook rather than relying solely on dividend yield.</span></div><div class="ace-line ace-line old-record-id-J5MKd26fqogjwhxiV7MuauIwsCb"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-Rkg8dLeDEojT9rxuNBPu5IPgs2g"><span style="font-size: 16px;">*BTN- <strong>Trade RealStocks</strong>&amp;BTNURL=<span style="color:rgb(100,37,208)"><u><a data-lark-is-custom="true" href="https://www.mexc.com/trade-stocks">https://www.mexc.com/trade-stocks</a></u></span>*</span></div><div class="ace-line ace-line old-record-id-ADXGdALUcozYGMxaTvbudwRoswp"><span style="font-size: 16px;"><br></span></div><h2 class="heading-2 ace-line old-record-id-QGZQdi7CQoI2DUxnE16uova6sQh"><strong>2. Four Key Steps in the US Dividend Process</strong></h2><div class="ace-line ace-line old-record-id-OkksdyO6Vobl8kxy3TJu3SF6slg"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-Zg1td9xcDoAIYix0xnMu79XFsrg"><span style="font-size: 16px;">Step 1: Declaration date</span></h3><div class="ace-line ace-line old-record-id-QdeqdlPM7oqiEnxqCdguAbrTsxb"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-YF3rdAAEtob8h0xKseLu8Tnfsnh"><span style="font-size: 16px;">The declaration date is the date on which the company's board of directors formally announces a dividend. On this date, the company discloses important information such as the dividend amount per share, ex-dividend date, record date, and payment date.</span></div><div class="ace-line ace-line old-record-id-JQ5RdMOdcoOBnaxaEubuODhAs1Y"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-AvC7dvVA8ol5BmxP7PTuJBTZsle"><span style="font-size: 16px;">Companies typically announce dividend plans after releasing quarterly earnings reports. The dividend amount is determined based on factors such as profitability, cash flow, and future development plans.</span></div><div class="ace-line ace-line old-record-id-R8BDdccs9oPx2MxHAfeufb70sbb"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-TbeqdchQ1oVn8hxwDaOuLi4XsMb"><span style="font-size: 16px;">Step 2: Ex-dividend date</span></h3><div class="ace-line ace-line old-record-id-Smk6dqewHoMLYpx7dd9uqLWWspe"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-W65ld7IN2ot52jxwbi2ul22Cs2b"><span style="font-size: 16px;">The ex-dividend date is the most important date in the dividend process. On the ex-dividend date, the stock typically opens lower by approximately the dividend amount.</span></div><div class="ace-line ace-line old-record-id-V7IMdlv4xoH58pxLtQDu5U3Fsog"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-UCq6djzrgoPrBDx2JKnu8AuZsCd"><span style="font-size: 16px;">Investors who buy the stock on or after the ex-dividend date are not eligible to receive the upcoming dividend. Only shareholders who already own the stock before the ex-dividend date qualify for the payment.</span></div><div class="ace-line ace-line old-record-id-E7VwdY7mwoB5JYxMwEEu8SJaskf"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-GhFGdtEyLobwtAxS0hJurz5ZsZd"><span style="font-size: 16px;">For example, if a stock is trading at $10 and the company declares a $1 dividend per share, the stock price may adjust to approximately $9 on the ex-dividend date. If an investor holds 1,000 shares, they will receive $1,000 in cash dividends. In theory, the decline in the share price offsets the dividend payment, leaving the investor's overall position largely unchanged before taxes and market fluctuations.</span></div><div class="ace-line ace-line old-record-id-QmooduwwloadRmxHebiu5RvWsmh"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-LZwidVmkEoS5W9xz8C9uH5gRs5b"><span style="font-size: 16px;">Since US equities now operate on a T+1 settlement cycle, investors generally need to purchase shares before the ex-dividend date to qualify for the dividend.</span></div><div class="ace-line ace-line old-record-id-CvHPdmT6IogwDVx2W3Wuvmr7s02"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-PvXYddmILoznfuxmUTiuNY1bslg"><span style="font-size: 16px;">Step 3: Record date</span></h3><div class="ace-line ace-line old-record-id-DSoTdGA6dokBROxYOACuD4RlsGc"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-C4TTdM0sioXsg7xP395utUw6sjh"><span style="font-size: 16px;">The record date is the date on which the company determines which shareholders are eligible to receive the dividend based on its shareholder register. The record date is usually set one to two business days after the ex-dividend date.</span></div><div class="ace-line ace-line old-record-id-RsbudHnTVoxJQBxfQqtuVEQasr2"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-ZhwjdENTmoAZRvxRdbJuoGXCstg"><span style="font-size: 16px;">On this date, the company verifies shareholder records to ensure that dividends are distributed accurately and fairly.</span></div><div class="ace-line ace-line old-record-id-DzVUdsHh6oM4Q5xqyO1uwtKCsgm"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-WYrvdXcvqo7kmoxCXmquzgdasUd"><span style="font-size: 16px;">Step 4: Payment date</span></h3><div class="ace-line ace-line old-record-id-UpNTd11Rronr7UxeUomunaFnsNf"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-PjOPd9wG9o6kO6xO1Eku8GxPs3c"><span style="font-size: 16px;">The payment date is the date on which the company actually distributes dividends to shareholders. On this date, the dividend is deposited directly into the investor's brokerage account.</span></div><div class="ace-line ace-line old-record-id-DTQ9d6HAyoMe1PxNKiWuyYGIsdf"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-Jpmwd041goVFxrxfMhduFgcXs1f"><span style="font-size: 16px;">The payment date is typically two to four weeks after the ex-dividend date, depending on the company's schedule and the broker's processing arrangements. Investors do not need to take any additional action as long as their account information is correct.</span></div><div class="ace-line ace-line old-record-id-BvtOdlxUioI4nAxGqbbuKOnzs6g"><span style="font-size: 16px;"><br></span></div><h2 class="heading-2 ace-line old-record-id-Kdxyd1R1XoYquBxfsQGuolnhskb"><strong>3. Main Types of US Stock Dividends</strong></h2><div class="ace-line ace-line old-record-id-G4hSdfTIcokScbxs0m3unNuasCe"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-Xikmdnee2oysAQxjIVWu1TabsLe"><span style="font-size: 16px;"><strong>Cash dividends:</strong> The most common form of dividend payment. The company deposits cash directly into the shareholder's account, which shareholders may keep as cash or reinvest.</span></div><div class="ace-line ace-line old-record-id-FMRtdxhwbo8U46x6mROuibTXshd"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-W4QUdt7EIoctRWxfUH8uAfsEsIg"><span style="font-size: 16px;"><strong>Stock dividends:</strong> Instead of paying cash, the company distributes additional shares. While the number of shares held increases, the value per share is adjusted accordingly. This type is relatively uncommon in the US stock market.</span></div><div class="ace-line ace-line old-record-id-FwPBdGjVco6UzAxO0ckupC3QsFc"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-Ng9adTA9loOrZlxc180uoTUHsTh"><span style="font-size: 16px;"><strong>Special dividends:</strong> One-time dividend payments that are usually larger than regular dividends. They are often triggered by events such as asset sales, excess retained earnings, or changes in tax policy.</span></div><div class="ace-line ace-line old-record-id-OMVydGDsioQUjuxTQR1u1dt3sFe"><span style="font-size: 16px;"><br></span></div><h2 class="heading-2 ace-line old-record-id-VFqwdzOKFopRV4xDHLZuYpkQs3b"><strong>4. Dividend Payment Frequency</strong></h2><div class="ace-line ace-line old-record-id-Ya8ed4hWBokvH7x3RlouLPDNsAe"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-Oyvhddi8doKVhMxNochuJiAOs1e"><span style="font-size: 16px;">US companies follow different dividend schedules, allowing investors to choose stocks that fit their cash flow needs.</span></div><div><table class="ace-table" data-ace-table-col-widths="144;296;229" style="border:none;border-collapse:collapse;table-layout:fixed;width:500px;"><colgroup><col width="144"><col width="296"><col width="229"></colgroup><tbody><tr style="height:39px;"><td colspan="1" rowspan="1" style="border: 1px solid rgb(222, 224, 227); padding: 8px; vertical-align: middle; font-size: 10pt;"><div style="text-align:center" class="ace-line ace-line old-record-id-Hp5qdiVUvoftASxGhMTuUsOws7c"><strong style="font-size: 16px;">Dividend Frequency</strong></div></td><td colspan="1" rowspan="1" style="border: 1px solid rgb(222, 224, 227); padding: 8px; vertical-align: middle; font-size: 10pt;"><div style="text-align:center" class="ace-line ace-line old-record-id-RVyZdaNR4oq4v7xtbtauIeMVsXd"><strong style="font-size: 16px;">Typical Examples</strong></div></td><td colspan="1" rowspan="1" style="border: 1px solid rgb(222, 224, 227); padding: 8px; vertical-align: middle; font-size: 10pt;"><div style="text-align:center" class="ace-line ace-line old-record-id-O9PRd4bksofQZUxb6ubumn5esBd"><strong style="font-size: 16px;">Key Characteristics</strong></div></td></tr><tr style="height:39px;"><td colspan="1" rowspan="1" style="border: 1px solid rgb(222, 224, 227); padding: 8px; vertical-align: middle; font-size: 10pt;"><div style="text-align:center" class="ace-line ace-line old-record-id-D7ucdQ5ldo4E6AxMegDuRY9WsYb"><span style="font-size: 16px;">Monthly</span></div></td><td colspan="1" rowspan="1" style="border: 1px solid rgb(222, 224, 227); padding: 8px; vertical-align: middle; font-size: 10pt;"><div style="text-align:center" class="ace-line ace-line old-record-id-SCjZdJQpwonJyWxAyXeu5T2jsff"><span style="font-size: 16px;">REITs and some bond funds</span></div></td><td colspan="1" rowspan="1" style="border: 1px solid rgb(222, 224, 227); padding: 8px; vertical-align: middle; font-size: 10pt;"><div style="text-align:center" class="ace-line ace-line old-record-id-Mh3qdlEe7oyaEJxEsrJuD3M4sYf"><span style="font-size: 16px;">Most frequent cash flow</span></div></td></tr><tr style="height:39px;"><td colspan="1" rowspan="1" style="border: 1px solid rgb(222, 224, 227); padding: 8px; vertical-align: middle; font-size: 10pt;"><div style="text-align:center" class="ace-line ace-line old-record-id-NiK3dHX64oHfnUx5GZAuCpHwsCb"><span style="font-size: 16px;">Quarterly</span></div></td><td colspan="1" rowspan="1" style="border: 1px solid rgb(222, 224, 227); padding: 8px; vertical-align: middle; font-size: 10pt;"><div style="text-align:center" class="ace-line ace-line old-record-id-WyBZdly9ooSi5ixeAjhuNwbnsPd"><span style="font-size: 16px;">Most blue-chip stocks and large companies</span></div></td><td colspan="1" rowspan="1" style="border: 1px solid rgb(222, 224, 227); padding: 8px; vertical-align: middle; font-size: 10pt;"><div style="text-align:center" class="ace-line ace-line old-record-id-ISbUdt3Auo3RMBxFJgduQdy2sob"><span style="font-size: 16px;">Most common schedule in the US market</span></div></td></tr><tr style="height:39px;"><td colspan="1" rowspan="1" style="border: 1px solid rgb(222, 224, 227); padding: 8px; vertical-align: middle; font-size: 10pt;"><div style="text-align:center" class="ace-line ace-line old-record-id-MGqVdpeZVoSwbkx7tqXu0dJgsZd"><span style="font-size: 16px;">Semi-Annual</span></div></td><td colspan="1" rowspan="1" style="border: 1px solid rgb(222, 224, 227); padding: 8px; vertical-align: middle; font-size: 10pt;"><div style="text-align:center" class="ace-line ace-line old-record-id-YAVVd1usBoSyNDxAkWJulXzksYf"><span style="font-size: 16px;">Some multinational companies</span></div></td><td colspan="1" rowspan="1" style="border: 1px solid rgb(222, 224, 227); padding: 8px; vertical-align: middle; font-size: 10pt;"><div style="text-align:center" class="ace-line ace-line old-record-id-C0LCdrdIropKXExGRB0uEmsjshc"><span style="font-size: 16px;">Relatively uncommon</span></div></td></tr><tr style="height:39px;"><td colspan="1" rowspan="1" style="border: 1px solid rgb(222, 224, 227); padding: 8px; vertical-align: middle; font-size: 10pt;"><div style="text-align:center" class="ace-line ace-line old-record-id-Rx3cdFGLWo1c8txhHJpuHXLdsXf"><span style="font-size: 16px;">Annual</span></div></td><td colspan="1" rowspan="1" style="border: 1px solid rgb(222, 224, 227); padding: 8px; vertical-align: middle; font-size: 10pt;"><div style="text-align:center" class="ace-line ace-line old-record-id-A47Nd7mfeoU5j0xD79CuVL4xsVf"><span style="font-size: 16px;">A small number of companies and specialized funds</span></div></td><td colspan="1" rowspan="1" style="border: 1px solid rgb(222, 224, 227); padding: 8px; vertical-align: middle; font-size: 10pt;"><div style="text-align:center" class="ace-line ace-line old-record-id-IinLd3LLNoJS1dxQdJruA82EsgW"><span style="font-size: 16px;">Larger single payment</span></div></td></tr></tbody></table></div><div class="ace-line ace-line old-record-id-GEiydBR5poznZCxUnH7unposs3c"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-RL6Cd9Sbeo43JqxAxvruB2NXsfe"><span style="font-size: 16px;">Investors seeking stable cash flow may prefer companies with quarterly or monthly dividends, while those focused on long-term capital appreciation may favor growth companies that reinvest profits into business expansion.</span></div><div class="ace-line ace-line old-record-id-VwUzdBlqQo4tVoxJiZVutnBvsBd"><span style="font-size: 16px;"><br></span></div><h2 class="heading-2 ace-line old-record-id-FKnPdb3d8ob5nOxwWhFuhVQ8sKP"><strong>5. Tax Treatment of US Stock Dividends</strong></h2><div class="ace-line ace-line old-record-id-Ixu9dszY2o0Ciox0ZYtuKtcSsZf"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-NdLxdKFwlo8hk3xtCC7utbs6shd"><span style="font-size: 16px;">For non-US investors, the US government generally imposes withholding tax on dividend income. Investors are required to complete Form <a data-lark-is-custom="true" href="https://www.irs.gov/forms-pubs/about-form-w-8-ben">W-8BEN</a> to certify their foreign status. Tax treaties between the United States and different countries may provide reduced withholding rates. Taxes are typically deducted automatically when the dividend is paid, and investors receive the net amount after withholding.</span></div><div class="ace-line ace-line old-record-id-HAXnd9sPzo57KAxiqBHuYRa9std"><span style="font-size: 16px;"><br></span></div><h2 class="heading-2 ace-line old-record-id-FQtIdLL8Ko1N0ax3y16uqQraskh"><strong>6. Dividend Reinvestment Plans</strong></h2><div class="ace-line ace-line old-record-id-E6zndtlbToAXz4x1qE5uDTgfswf"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-LmFEdld4to4fF5x16BnuKmsUsOe"><span style="font-size: 16px;">A dividend reinvestment plan (DRIP) allows investors to automatically use cash dividends to purchase additional shares of the same company.</span></div><div class="ace-line ace-line old-record-id-XobsdKiAlom9Dsx2p97uK5Kss8d"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-DP81dsysKoBkuwxHpgMufjsksfb"><span style="font-size: 16px;"><strong>Compounding effect:</strong> Reinvested dividends increase the number of shares held, which can generate larger future dividend payments over time.</span></div><div class="ace-line ace-line old-record-id-U9efdS0UKonEFoxq94tufS0Wskc"><span style="font-size: 16px;"><strong>Lower transaction costs:</strong> Many brokers offer dividend reinvestment without additional fees, and some may provide discounted share purchases.</span></div><div class="ace-line ace-line old-record-id-GtS9dEY8Co9MT3xwXAQuJZDEsRe"><span style="font-size: 16px;"><strong>Simplified operations:</strong> Once the feature is enabled, the system automatically reinvests dividends without requiring manual action.</span></div><div class="ace-line ace-line old-record-id-Jzd8dtDyNoxJZdxzw57uCg56sDc"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-AEUjd6ypdoN3SqxSvgVulCBjstl"><span style="font-size: 16px;">Investors can choose to receive cash dividends or enroll in a dividend reinvestment plan. For long-term investors, reinvesting dividends can be an effective strategy for building wealth through compounding.</span></div><div class="ace-line ace-line old-record-id-YpL5dkubVoOw0AxDiUBugDFxsGg"><span style="font-size: 16px;"><br></span></div><h2 class="heading-2 ace-line old-record-id-I3qCdfe0io8oVUxCXA2uQD8esjf"><strong>7. FAQ</strong></h2><div class="ace-line ace-line old-record-id-Zhx8d4noVo7e6VxxalBu29cisng"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-SvjndohfvoY49VxN65guooEQsff"><span style="font-size: 16px;">7.1 How often are US stock dividends paid?</span></h3><div class="ace-line ace-line old-record-id-WGzadeOLtoXnVKx4sDyuDmF3sRr"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-M4NOdpeUnowt6XxbARcuh0ZRsRg"><span style="font-size: 16px;">Dividend frequency varies by company. Most US companies pay dividends quarterly, while some REITs and bond funds pay monthly. A smaller number of companies use semi-annual or annual dividend schedules.</span></div><div class="ace-line ace-line old-record-id-LIiQdX7KIoyeygx329vu4fU8srW"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-FtPSdZMUPoIQpqxAJeVuKTERs6b"><span style="font-size: 16px;">7.2 When will I receive the dividend?</span></h3><div class="ace-line ace-line old-record-id-XzTbd0rDRotTDlxYeqVuNQaas6f"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-SIN2dH7NioUqi0x7AYiufwc1sss"><span style="font-size: 16px;">Dividends are usually credited on the payment date or within a few business days afterward. The period between the ex-dividend date and payment date is typically two to four weeks.</span></div><div class="ace-line ace-line old-record-id-PMXYdgXw1o6cWzxW47rumyfMsme"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-HmdTdS9Ynozenqx83ePuKEWIsSg"><span style="font-size: 16px;">7.3 Can I receive the dividend if I buy the stock on the ex-dividend date?</span></h3><div class="ace-line ace-line old-record-id-ViEWdXjYxoVNhOxI6GduMkgWsDe"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-CeBQdeeCLoYiTKx3Ys5uI67csvd"><span style="font-size: 16px;">No. You must own the stock before the ex-dividend date to qualify for the dividend. Shares purchased on or after the ex-dividend date are eligible only for the next dividend cycle.</span></div><div class="ace-line ace-line old-record-id-B4kSddhNBosro9xyyDPuuJEosHf"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-HRMldLqRTouThixEPAOuU5Nzsaf"><span style="font-size: 16px;">7.4 Do dividends affect stock prices?</span></h3><div class="ace-line ace-line old-record-id-WfrndzdqOoHhSDxlnvVuBYHSsmg"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-R003dKJsooXglMx9HI2uU0Hns7d"><span style="font-size: 16px;">Yes. At the market open on the ex-dividend date, the stock price is typically adjusted downward by approximately the dividend amount per share.</span></div><div class="ace-line ace-line old-record-id-YkRydzRC1owU7KxdQlBuY5WrsJe"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-UO5Kd54UjoLH4nxwDb5udbTIsOh"><span style="font-size: 16px;">7.5 How should I choose dividend stocks?</span></h3><div class="ace-line ace-line old-record-id-Q9MXdt50Poak4LxtAGguUUR3s3g"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-A4YZdufI4oph2rxyC29uJGndsNd"><span style="font-size: 16px;">Investors should consider dividend yield, payout ratio, dividend history, industry stability, and overall financial health. Rather than focusing only on high yields, it is generally preferable to select companies with sustainable payout ratios and a stable track record of dividend growth.</span></div><div class="ace-line ace-line old-record-id-UzbqdeZ3SoeHZixIPwrunv5qsVe"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-UciUdWRxroiEZUxR6jDukpW6sGe"><span style="font-size: 16px;">7.6 Are US stock dividends guaranteed?</span></h3><div class="ace-line ace-line old-record-id-YsSZd3ax5o5xeixrSviuNpKQsOb"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-ByYVdHYzuopqpSxRFYhu0R0Gske"><span style="font-size: 16px;">No. A company's board of directors may adjust, reduce, or suspend dividend payments at any time based on business conditions. Investors should continue to monitor the financial performance of the companies they own.</span></div><div class="ace-line ace-line old-record-id-GH80di9WDoVvJOx2Tcbut2VosGb"><span style="font-size: 16px;"><br></span></div><h2 class="heading-2 ace-line old-record-id-FfODdrcMnoX3iMxKFyruMud9sqh"><strong>8. Conclusion</strong></h2><div class="ace-line ace-line old-record-id-F3hFdfyY9oUPJrxsut6ujkHxsUg"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-D6PQd9Q6Ko4mKqxZZPtuGskHs9o"><span style="font-size: 16px;">Understanding the US dividend process is essential for investors. From the declaration date to the payment date, each stage has its own rules and timing. By understanding dividend mechanics, tax treatment, and key dates, investors can better plan their investment strategies, capture dividend opportunities, and manage risk effectively.</span></div><div class="ace-line ace-line old-record-id-UMurdy9tpoTaRLxdvmeuopmwsVe"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-WGTddlkURoI7XcxiYB1uMBqZs8f"><span style="font-size: 16px;">Recommended Reading:</span></h3><ul start="1" class="list-bullet1"><li class="ace-line ace-line old-record-id-NZMPdnY7WobqDQxb77suypf7sEb" data-list="bullet"><div><a data-lark-is-custom="true" href="https://www.mexc.com/learn/article/17827791535795" style="font-size: 16px;">What Is RealStocks?</a></div></li><li class="ace-line ace-line old-record-id-L3PwdE0cgoPbdLx2lTCuGNrbsBA" data-list="bullet"><div><a href="https://www.mexc.com/support/article/realstocks-trading-faq-382924861612411904" data-lark-is-custom="true" style="font-size: 16px;">RealStocks Trading FAQ</a></div></li><li class="ace-line ace-line old-record-id-FYl7dmvxbo05f8xCRrUuHMEQspe" data-list="bullet"><div><span style="font-size: 16px;"><a href="https://www.mexc.com/support/article/the-complete-guide-to-us-stock-risk-management-375844685334322176">The Complete Guide to US Stock Risk Management: Navigating Investment Pitfalls</a></span></div></li><li class="ace-line ace-line old-record-id-XCamdcK8uoRwMQxi7nBu1cbPsvg" data-list="bullet"><div><a href="https://www.mexc.com/support/article/free-us-stock-analysis-tools-373856828440805376" data-lark-is-custom="true" style="font-size: 16px;">Free US Stock Analysis Tools: A Complete Guide to Essential Websites for Beginners</a></div></li><li class="ace-line ace-line old-record-id-SSiNdUSkhoIjOex5f3NuAH4Tsie" data-list="bullet"><div><a href="https://www.mexc.com/support/article/what-events-and-dates-to-note-when-buying-us-stocks-a-complete-guide-to-shareholders-meetings-dividends-and-ex-dividend-dates-370876112547430400" data-lark-is-custom="true" style="font-size: 16px;">What Events and Dates to Note When Buying US Stocks? A Complete Guide to Shareholders' Meetings, Dividends and Ex-Dividend Dates </a></div></li></ul><div class="ace-line ace-line old-record-id-XYTddaUhmopaG6xElrDuVTWesLe"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-TmRadfDUBoaQkrxBn2TuFVO2sYd"><strong style="font-size: 16px;">Disclaimer:</strong></div><div class="ace-line ace-line old-record-id-DxH1dUY9XopbO5x7fVmu0GZbsgb"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-T8x1dVrDOoH8krxo5Oou3hgPsLc"><span style="font-size: 16px;">The information provided herein is for informational and educational purposes only and does not constitute financial, investment, tax, or legal advice. MEXC is not a registered investment advisor or broker-dealer. All investment strategies and investments involve risk of loss. Any content contained herein should not be relied upon as advice or construed as providing recommendations of any kind. Always conduct your own research and consult with a licensed financial professional before making any investment decisions.</span></div><div class="ace-line ace-line old-record-id-REUadloGboeYwrxZS9JuBpYQsDf"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-FmgkdLPUboa73gxek03uG6gysP6"><span style="font-size: 16px;">By participating in these investment activities, you risk losing ALL OR SUBSTANTIALLY ALL OF YOUR ASSETS. Please understand and evaluate the risk of trading and assess your risk tolerance carefully before conducting any trading or investment activities.</span></div></div>lg...

<div data-page-id="CBJidX0Mwo1p3LxwMsUudWpCsdj" data-lark-html-role="root" data-docx-has-block-data="false"><h2 class="heading-2 ace-line old-record-id-SC9qdxjIpo9giqxRxHtukuqWsIf"><strong>Key Takeaways:</strong></h2><ul start="1" class="list-bullet1"><li class="ace-line ace-line old-record-id-S6O4dDUGnot7KIxeqnxuAWJgszb" data-list="bullet"><div><span style="font-size: 16px;">Many investors have misunderstandings about US stock market risks, often confusing volatility with actual risk.</span></div></li><li class="ace-line ace-line old-record-id-QReTdCHnbo3zCBxHGK5u5uB9s5b" data-list="bullet"><div><span style="font-size: 16px;">Market timing, panic selling, and over-concentration of portfolios represent the most common investment pitfalls.</span></div></li><li class="ace-line ace-line old-record-id-VBlmdrNOeoZhJhxsx1Qubebzs4e" data-list="bullet"><div><span style="font-size: 16px;">Scientific position sizing, alongside structured stop-loss and take-profit strategies, form the core framework of effective risk control.</span></div></li><li class="ace-line ace-line old-record-id-N8badhEohoLcAgxYErcuwbMosJh" data-list="bullet"><div><span style="font-size: 16px;">Investing in US stocks requires attention to market-specific risks, including currency fluctuations, policy shifts, and delisting threats.</span></div></li></ul><div class="ace-line ace-line old-record-id-X17ZdkBenovOLcx7MRTuty1hsDf"><span style="font-size: 16px;"><br></span></div><h2 class="heading-2 ace-line old-record-id-Moxtd2vmxoBzKZxrEbXu9ePMsjn"><strong>1. What is Investment Risk?</strong></h2><div class="ace-line ace-line old-record-id-SPdFdmmZWopaxxxdzmeuk1v0s5b"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-PxGGdIGZnotrHyxvXGluQ0dRscF"><span style="font-size: 16px;">In US stock investing, many people simply interpret risk as price fluctuations, commonly known as volatility. However, real risk is the probability of an adverse outcome, most directly manifested as the probability of permanent capital loss.</span></div><div class="ace-line ace-line old-record-id-F6GJdhhN8oNqipxap6uuEJQYs0d"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-UtM5d8JtkosO2rxfCEXuGq7PsMb"><span style="font-size: 16px;">Volatility is merely an expression of short-term price movements, not risk itself. Risk only converts into an actual loss when an investor panics and sells at a low point, turning a paper loss into a realized one.</span></div><div class="ace-line ace-line old-record-id-XNKSdsGiIoNQZkxulC6uFk0ssoc"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-UfjLdI8JTov8esxyxCDucsaYseg"><span style="font-size: 16px;">For investors engaging in diversified asset allocation through licensed brokerages partnered with MEXC, understanding this distinction is crucial. Whether investing in US stocks or other assets, one must differentiate between short-term volatility and long-term risk to avoid making erroneous decisions based on a misunderstood concept of risk.</span></div><div class="ace-line ace-line old-record-id-W3oKdXcbnoOoFxx4W4NuWCzQsve"><span style="font-size: 16px;"><br></span></div><h2 class="heading-2 ace-line old-record-id-ASw4dHD4XohTDDxwP3tu3C2bsRe"><strong>2. Common Investment Pitfalls and Their Dangers</strong></h2><div class="ace-line ace-line old-record-id-Kk0rdyTA6oqtlSxNN8suDc5zsDe"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-SCGjdlqzGoDIUdxXbCTupMtNsbc"><span style="font-size: 16px;">Pitfall 1: Believing Market Timing Yields Excess Returns</span></h3><div class="ace-line ace-line old-record-id-EUfOdf302oUTT6xVmuxuM2tBs7q"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-Nh8CdY6FjoeYigxfu8nuBFNesEy"><span style="font-size: 16px;">Many investors believe they can consistently buy at the market bottom and sell at the top. However, research data shows that even professional investors struggle to accurately predict market movements over the long term. Crucially, the market's sharpest gains often occur immediately following its steepest declines. Missing out on just a few of the market's best-performing trading days can severely diminish your long-term returns.</span></div><div class="ace-line ace-line old-record-id-DrpAdLUhIogODfx6mlNuRJCdswd"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-P5kld3ykdo6rvOx3ROpu3lJksth"><span style="font-size: 16px;">Rather than attempting to time the market, a DCA strategy is more effective. By investing a fixed amount at regular intervals, this approach automatically buys more shares when prices are low and fewer when prices are high, effectively smoothing out your overall investment costs.</span></div><div class="ace-line ace-line old-record-id-WeJvdMptmouJb8xuutluFT16s3c"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-FL1ndx6QLozlKvxtBiVuLZ1Ysws"><span style="font-size: 16px;">Pitfall 2: Assuming High Risk Automatically Guarantees High Returns</span></h3><div class="ace-line ace-line old-record-id-PHdzd3zU2oQsFWx1AGXuMIGMsac"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-VJXYdT9SuoOHrUxg9FmuBPs9scf"><span style="font-size: 16px;">While taking on higher risk can theoretically yield higher rewards, this relationship is neither linear nor guaranteed. Higher risk inherently carries a greater probability of substantial loss. Many investors overlook a fundamental truth: a high return is a potential compensation for bearing high risk, not a guaranteed outcome of it.</span></div><div class="ace-line ace-line old-record-id-HexRdfHJwogfrfx8v61uvbggsPd"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-IoEKd8vWXoG8LHxd22ju9607sDd"><span style="font-size: 16px;">When building an asset allocation strategy, investors should select a portfolio that aligns with their personal risk tolerance, rather than blindly chasing high yields while ignoring the underlying risks.</span></div><div class="ace-line ace-line old-record-id-OGAVdaZ26o6xPzxeRTjuTDHHste"><span style="font-size: 16px;"><br></span></div><div style="text-align:center" class="ace-line ace-line old-record-id-MoPPdQspkoBRIJxw2jbuOhXOsQh"><span style="font-size: 16px;">*BTN- <strong>Trade RealStocks</strong>&amp;BTNURL=<span style="color:rgb(100,37,208)"><u><a data-lark-is-custom="true" href="https://www.mexc.com/trade-stocks">https://www.mexc.com/trade-stocks</a></u></span>*</span></div><div class="ace-line ace-line old-record-id-Eg4OdeB8goyJVvxxSVNudk4msVc"><span style="font-size: 16px;"><br></span></div><h2 class="heading-2 ace-line old-record-id-HB85deC0FoQzLRxPGyPuGhESsRe"><strong>3. Position Management, Stop-Loss, and Take-Profit Strategies</strong></h2><div class="ace-line ace-line old-record-id-RYwYdwwFPoykE3x2WU5uKMMysfd"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-M7k8dpzYGosz9fxmD4duZtOHsFc"><span style="font-size: 16px;">3.1 Core Principles of Position Management</span></h3><div class="ace-line ace-line old-record-id-PmSydFaLNoqkYXxGJbCuUd4JsPb"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-S6jZdzO4OoeEj7xMAF2uX60Ms4e"><span style="font-size: 16px;">Scientific position management is the foundation of risk control. Concentrating all your capital into a single stock or sector significantly escalates the overall risk of your portfolio, even if that sector is currently a top performer.</span></div><div class="ace-line ace-line old-record-id-M9RwdnljmoywOxxHYnsuC4UfsSh"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-DWRqdt0G8oXstlxqSLluEAgysjf"><span style="font-size: 16px;">The principle of diversification requires investors to allocate capital across different industries and varying market capitalizations. Research demonstrates that appropriately incorporating small-cap stocks into a large-cap portfolio does not necessarily increase overall risk. Instead, it can actually improve portfolio efficiency by lowering asset correlation.</span></div><div class="ace-line ace-line old-record-id-F0DJdvTFcoKDT5x14fBuymFDsic"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-ZQVidU93UokZ7FxPHXWuELfJsae"><span style="font-size: 16px;">3.2 Methods for Setting Stop-Loss and Take-Profit Levels</span></h3><div class="ace-line ace-line old-record-id-HH3kdzw34oA3w9xb7H4uiKV0s6g"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-A04BdRMtPoC28UxDJYYu0ZdMsSb"><span style="font-size: 16px;">A stop-loss is your final line of defense for capital preservation. Setting a rational stop-loss point should be dictated by your personal risk tolerance and specific market volatility characteristics, rather than arbitrary numbers. A stop-loss that is too tight is easily triggered by normal market noise, while one that is too wide defeats its protective purpose.</span></div><div class="ace-line ace-line old-record-id-Sldbdb6XyoW4aGxV6VbuNdZpsfg"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-PMHxdzTpRoolvZxsmAZuoXrFsFd"><span style="font-size: 16px;">Securing profits is equally vital. Executing a take-profit order once your pre-set target is met prevents greed from eroding your gains. Mature investors make it a habit to regularly evaluate their positions and adjust their targets in response to changing market dynamics.</span></div><div class="ace-line ace-line old-record-id-EuCUduhrxo1VcLxIDd7uixz9sub"><span style="font-size: 16px;"><br></span></div><h2 class="heading-2 ace-line old-record-id-RToDd16EKoQ0z0xnFpwu8y4ss0n"><strong>4. Unique Risk Factors of US Stock Investing</strong></h2><div class="ace-line ace-line old-record-id-E51Adkv5gondczx6QqyuxzgMsuf"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-ZMOfdVXvAojxJ4xZ0HFumv52sje"><span style="font-size: 16px;"><strong>Foreign Exchange Risk:</strong> For non-USD investors, fluctuations in the US dollar exchange rate directly impact actual investment returns. Even if a stock generates a positive return, exchange rate losses can erode or completely offset investment profits.</span></div><div class="ace-line ace-line old-record-id-EsB0dRGGBo84nzxjzn0u0zZ1sid"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-PRARdJs0Xon0Ltxc9ciu7AMMsdh"><span style="font-size: 16px;"><strong>Policy and Regulatory Risk:</strong> Shifts in US monetary policy, tax laws, and industry regulations can have a major impact on specific stocks or the broader market. Macroeconomic factors, such as adjustments to tariff policies and interest rate fluctuations, require continuous monitoring.</span></div><div class="ace-line ace-line old-record-id-Xue5diEopogocExxu7IudVdysDd"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-I342dO9MfoWl3jxtIaEu1yzkszg"><span style="font-size: 16px;"><strong>Delisting and Compliance Risk:</strong> The US stock market imposes strict compliance requirements on listed companies. Factors such as a stock price remaining below required thresholds for an extended period, financial fraud, or failure to file reports on time can trigger delisting, resulting in severe losses for investors.</span></div><div class="ace-line ace-line old-record-id-HiF1dBLAlouIYYxZA2HuuKphssG"><span style="font-size: 16px;"><br></span></div><h2 class="heading-2 ace-line old-record-id-ZY8GdS0Zto5RFKxT2y3uNe4wsgd"><strong>5. Psychological Grounding and Trading Discipline</strong></h2><div class="ace-line ace-line old-record-id-MI5fdBxRdoDNA9xTPaUuXo7XsKh"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-CofedKlakoUGCZxttdhuLhhUsye"><span style="font-size: 16px;">Successful investing demands not only the right strategies but unwavering execution. Remaining calm during market turbulence and refusing to let fear or greed dictate your actions is the absolute key to long-term profitability.</span></div><div class="ace-line ace-line old-record-id-Zda9dJajUoLqwWxXr9nuy6Xysxf"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-BRmndF5gToQ1GWxCbLZufkkWs8e"><span style="font-size: 16px;">Construct a clear investment plan and adhere to it strictly, avoiding frequent strategy adjustments driven by short-term emotional swings. Through licensed brokerages, MEXC provides users with a diverse suite of investment tools and educational resources, empowering investors to build a systematic approach and cultivate a healthy investing mindset.</span></div><div class="ace-line ace-line old-record-id-J5A9dJVQKoNCBYxsBzjuyzxesPd"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-Y6XRdAaDfomFRjxJtevurcUosvd"><span style="font-size: 16px;">The power of compounding requires time to manifest. Maintaining investment discipline and committing to a long-term perspective remains the most reliable path for retail investors to achieve success in the market.</span></div><div class="ace-line ace-line old-record-id-EGzzdp7Jvoj8IwxKTrHumeT2s0f"><span style="font-size: 16px;"><br></span></div><h2 class="heading-2 ace-line old-record-id-M6jcdO5dUoqqmuxXQlQuvLTes9E"><strong>6. FAQ</strong></h2><div class="ace-line ace-line old-record-id-FNQYdvyYzoNdQZxyoHAuatblsef"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-A7EtdMyK6oh1P0xvW7bumfMWsNf"><span style="font-size: 16px;">6.1 What is a Risk Premium, and how is it calculated?</span></h3><div class="ace-line ace-line old-record-id-I8pxdvS2HormR6x8877uhiwlsKf"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-D8PrdvHI8oTc4axiePfuOLEqs6d"><span style="font-size: 16px;">A risk premium is the excess return an investor requires to take on additional risk. The formula for calculating it is <strong>Risk Premium = Expected Rate of Return - Risk-Free Rate</strong>. Investors usually use the yield on government bonds as a benchmark for the risk-free rate.</span></div><div class="ace-line ace-line old-record-id-VzfYd6nVooFjYexkULUuYvtfswe"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-KjUVdhPX0ot5RFxzkn5ujwiWs7c"><span style="font-size: 16px;">6.2 How does the Relative Strength Index help to manage risks?</span></h3><div class="ace-line ace-line old-record-id-OdX3dF5G0ovL03xEfKaurMXpscf"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-TPgJdAgaHovNrVxcyQnu8vdzslc"><span style="font-size: 16px;">The Relative Strength Index (RSI) is a technical tool that measures the speed and magnitude of stock price changes, with a value ranging from 0 to 100. Generally, an RSI above 70 is considered an overbought signal, while an RSI below 30 is viewed as an oversold signal, helping investors judge the timing for buying and selling.</span></div><div class="ace-line ace-line old-record-id-KnlAdfSazow0YjxhG07uUaYAsrB"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-KUqqdGe1hoQGbyxnPgsuJ4m4sKb"><span style="font-size: 16px;">6.3 What are the main pillars of risk management?</span></h3><div class="ace-line ace-line old-record-id-Lha0dk5o6ogNGrxx23guMpQ1swh"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-RkqhddGLPoJ9pvxDFRLuZOqJs6b"><span style="font-size: 16px;">Effective risk management consists of four core stages: risk identification, risk assessment, risk control, and risk monitoring. In the investment field, this means identifying potential sources of loss, assessing the probability and magnitude of those losses, implementing control measures such as diversification, and continuously monitoring portfolio performance.</span></div><div class="ace-line ace-line old-record-id-HSvXdCoBToYkx4xdInou1vCCsDd"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-JQ0XdT3fToEPBbxmNoKuzZmnsQz"><span style="font-size: 16px;">6.4 How can I avoid the trap of "chasing highs and cutting lows"?</span></h3><div class="ace-line ace-line old-record-id-ZJizdIUCvo2GCnxWmHXubp3Osff"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-Ot29dJF5Qo8oUqxg5SmuzUZws5b"><span style="font-size: 16px;">The key is to formulate a clear investment plan and strictly adhere to it. Utilizing a DCA strategy automates the investing process and reduces emotional decision-making. Additionally, focusing on long-term value rather than short-term price fluctuations helps maintain investment discipline.</span></div><div class="ace-line ace-line old-record-id-KJAGd1K4koCkxnxWJ8mu55BJs9e"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-CLFCdBujhoxEsAxaRfIumDsSsFc"><span style="font-size: 16px;">6.5 How important is compounding in long-term investing?</span></h3><div class="ace-line ace-line old-record-id-IVcCd5aWdoUXCbxP9d9uLov1sYc"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-M5rWdnVSnoPmhAxzShiuCtwhsbb"><span style="font-size: 16px;">The compounding effect is the core driving force behind long-term investing. Based on an annualized return rate of 7%, an initial investment of 100,000 dollars can grow to over 1.5 million dollars over a forty-year period. Time and continuous contributions are the absolute keys to unleashing the power of compounding.</span></div><div class="ace-line ace-line old-record-id-D2YpdVlzYof3wvxUCxru8L3Hsaf"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-HSyudko0coVLpzxY8luu7hDssLd"><strong style="font-size: 16px;">Recommended Readings:</strong></div><ul start="1" class="list-bullet1"><li class="ace-line ace-line old-record-id-ILkNdygYvo8POCxUDkvuyXVqsO0" data-list="bullet"><div><a data-lark-is-custom="true" href="https://www.mexc.com/learn/article/17827791535795" style="font-size: 16px;">What Is RealStocks?</a></div></li><li class="ace-line ace-line old-record-id-ToeKd2mdzo0HAQxA0o9uCSQ0shd" data-list="bullet"><div><a href="https://www.mexc.com/support/article/realstocks-trading-faq-382924861612411904" data-lark-is-custom="true" style="font-size: 16px;">RealStocks Trading FAQ</a></div></li><li class="ace-line ace-line old-record-id-HEM2d71UuocEhZxpXPxuGrDts0s" data-list="bullet"><div><a href="https://www.mexc.com/support/article/key-economic-events-impacting-the-us-stock-market-370641117706798080" data-lark-is-custom="true" style="font-size: 16px;">Key Economic Events Impacting the US Stock Market</a></div></li><li class="ace-line ace-line old-record-id-BJoUdGuAxoSdr7xrwViuImwjsO1" data-list="bullet"><div><span style="font-size: 16px;"><a href="https://www.mexc.com/support/article/us-stock-dividends-explained-375160462684321792">Understanding US Stock Dividend Cycles: Ex-Dividend Dates and Payment Dates</a></span></div></li><li class="ace-line ace-line old-record-id-W9nudV9P7oHwDfxCcO0urusgsVh" data-list="bullet"><div><span style="font-size: 16px;"><a href="https://www.mexc.com/support/article/what-events-and-dates-to-note-when-buying-us-stocks-a-complete-guide-to-shareholders-meetings-dividends-and-ex-dividend-dates-370876112547430400">What Events and Dates to Note When Buying US Stocks? A Complete Guide to Shareholders' Meetings, Dividends and Ex-Dividend Dates</a></span></div></li></ul><div class="ace-line ace-line old-record-id-FJQydPX23oaZykxx254uZ9xYspw"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-RTnJdqFYXoZENBxmZ6wuRWBhsoo"><span style="font-size: 16px;"><strong>Disclaimer</strong>:</span></div><div class="ace-line ace-line old-record-id-Jo1Zd9TaPotmr6xnHciuWkMpsJf"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-TpwmdhFn3oh3TVxOY1huiEM4sXd"><span style="font-size: 16px;">The information provided herein is for informational and educational purposes only and does not constitute financial, investment, tax, or legal advice. MEXC is not a registered investment advisor or broker-dealer. All investment strategies and investments involve risk of loss. Any content contained herein should not be relied upon as advice or construed as providing recommendations of any kind. Always conduct your own research and consult with a licensed financial professional before making any investment decisions.</span></div><div class="ace-line ace-line old-record-id-FxmRd5lZJoFss2x9kW2u1XVHsAc"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-L862dWSocoxQUGx5M9kuwQi5swb"><span style="font-size: 16px;">By participating in these investment activities you risk losing ALL OR SUBSTANTIALLY ALL OF YOUR ASSETS. Please understand and evaluate the risk of trading and assess your risk tolerance carefully before conducting any trading or investment activities.</span></div></div>lg...

<div data-page-id="BObqdano1oU4KZxPJ1cuuiebsVd" data-lark-html-role="root" data-docx-has-block-data="false"><h2 class="heading-2 ace-line old-record-id-YQBtdd7Fvo6dlDxctz3uwPNgspg"><strong>Key Takeaways</strong></h2><ul start="1" class="list-bullet1"><li class="ace-line ace-line old-record-id-StwodhFMzogEtxxngbKuZtuBs4e" data-list="bullet"><div><span style="font-size: 16px;">This guide covers more than 15 practical US stock analysis tools, including charting, financial statement analysis, and stock screening.</span></div></li><li class="ace-line ace-line old-record-id-Ub3kdCoEBonMCUxTYcTubgejszg" data-list="bullet"><div><span style="font-size: 16px;">Tools are organized by function, from beginner-friendly resources to more advanced platforms, helping investors quickly find the tools that best fit their needs.</span></div></li><li class="ace-line ace-line old-record-id-XoKGdiBdHoORETxqjVMuRyMKsOh" data-list="bullet"><div><span style="font-size: 16px;">Combined with MEXC's platform advantages, these tools can help users build a complete investment information system.</span></div></li></ul><div class="ace-line ace-line old-record-id-ALsbdXUE2omPOxxDTejuLsLAsNu"><span style="font-size: 16px;"><br></span></div><h2 class="heading-2 ace-line old-record-id-Da53dPrXqoMUJWx8HFPu1xu0sxe"><strong>1. Why You Need US Stock Analysis Tools</strong></h2><div class="ace-line ace-line old-record-id-TqD6dRqASoLL3ax8OuOuFgWWsXf"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-GAyxdowFzoLApUxW586ue9kTsqg"><span style="font-size: 16px;">For investors interested in the US stock market, access to accurate and timely market information is essential. The US stock market includes thousands of listed companies and generates a large volume of price movements, financial data, and market news every day. Without the support of suitable analysis tools, it can be difficult to make rational decisions based on such a large volume of information.</span></div><div class="ace-line ace-line old-record-id-LvwKdlnQroghM9xuiKLucgVVsle"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-SxiZdZFYuoMOymxNUX7u9c1nsKd"><span style="font-size: 16px;">High-quality stock analysis tools help investors monitor real-time prices, review historical trends, analyze company fundamentals, screen for investment opportunities, and track institutional or insider activity. Whether you are new to US stocks or already have investing experience, choosing the right tools can significantly improve the quality and speed of investment research.</span></div><div class="ace-line ace-line old-record-id-TYVgdmPu8o5NiKxHwkZuOllbsTP"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-PdUdd0JbfoCMxYxO2N6uZSppsHh"><span style="font-size: 16px;">*BTN- <strong>Trade RealStocks</strong>&amp;BTNURL=<span style="color:rgb(100,37,208)"><u><a data-lark-is-custom="true" href="https://www.mexc.com/trade-stocks">https://www.mexc.com/trade-stocks</a></u></span>*</span></div><div class="ace-line ace-line old-record-id-IofpddJ3OoJl0xxgFsxuWkGAs7g"><span style="font-size: 16px;"><br></span></div><h2 class="heading-2 ace-line old-record-id-OWmcdGmOIoKt8NxUHFZuVkGms5d"><strong>2. Official and Authoritative Data Sources</strong></h2><div class="ace-line ace-line old-record-id-Iifod9m2HozBkSxyuskunw2DsSc"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-B7lUdFac0ojB15x2fNguJ8aisAd"><span style="font-size: 16px;">2.1 US Securities and Exchange Commission (SEC)</span></h3><div class="ace-line ace-line old-record-id-D42HdsyxVoltVxxyX7yu0c31sCc"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-Sg0ddBQjioxhmqxSvfMu4n1bsyb"><span style="font-size: 16px;">The US Securities and Exchange Commission (<a data-lark-is-custom="true" href="https://www.sec.gov/">SEC</a>) is the official source of financial statement data for US-listed companies. All companies listed in the United States are required to submit financial reports to the SEC, and investors can access these original filings free of charge through the SEC website. The main filing types include annual reports (10-Ks) and quarterly reports (10-Qs). Annual reports contain complete business descriptions, financial data, and risk disclosures, while quarterly reports reflect a company's most recent operating results. For investors who want to conduct in-depth fundamental analysis, this is the most authoritative source of primary financial disclosure.</span></div><div class="ace-line ace-line old-record-id-FNIQdx6Mvomy1axbxoSuiyzqsWg"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-KVTTdNloXoxOZexHeLbuZ0pMs4T"><span style="font-size: 16px;">2.2 Nasdaq's data platform</span></h3><div class="ace-line ace-line old-record-id-QKTtd3gweorBgLxuy7BumF0Qs8b"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-QwojdfffaoVRUtxpJ7HucNOWsNc"><span style="font-size: 16px;">Nasdaq provides an official <a data-lark-is-custom="true" href="https://data.nasdaq.com/">data platform</a> covering financial, economic, and alternative datasets. Investors can access standardized financial data, economic indicators, and market statistics. This platform is particularly useful for professional users who need to perform quantitative analysis or backtest strategies.</span></div><div class="ace-line ace-line old-record-id-CVo7dAOTVoaDFmx97XhuLNHfsgf"><span style="font-size: 16px;"><br></span></div><h2 class="heading-2 ace-line old-record-id-KWybdPuGiojvHlxPRilu6FK8sSc"><strong>3. Free Charting and Market Analysis Tools</strong></h2><div class="ace-line ace-line old-record-id-NQ7Wd4rcwoqoIPxsJHKuc5Axsyf"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-Nv2ddPnkpo25u4x6NWVukevysXc"><span style="font-size: 16px;">3.1 Professional charting platform</span></h3><div class="ace-line ace-line old-record-id-JbNzdcfGYoQtc1xoij4uCblHsSb"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-YuScdlfCToMtCSx89Duuo2NLsDc"><span style="font-size: 16px;"><a data-lark-is-custom="true" href="https://www.tradingview.com/">TradingView</a> is one of the most popular charting tools in the world and supports real-time quotes and historical price trends for US stocks, foreign exchange, futures, and many other financial instruments. Its core advantage is its powerful charting suite, which includes hundreds of built-in technical indicators. Users can also create custom indicators and trading strategies. The free version is sufficient for most investors and includes access to historical price data, comparing multiple assets, and adding technical indicators.</span></div><div class="ace-line ace-line old-record-id-SVald3SDYolESXx93LAufpxJsVd"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-G4RcdpVv9oj2AKxqZyDubFocs2g"><span style="font-size: 16px;">3.2 Comprehensive financial information portals</span></h3><div class="ace-line ace-line old-record-id-KIq3d0vaaofajnx7w6wuZzEqsGc"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-QjZ4dUByloJVzFxyZDFuvmZLsdE"><span style="font-size: 16px;"><a data-lark-is-custom="true" href="https://finance.yahoo.com/">Yahoo</a> Finance is one of the most established financial information platforms, offering real-time US stock quotes, basic financial data, news, and stock screening tools. Investors can access historical price records, dividend payment information, and stock split data free of charge. Its simple and intuitive interface makes it especially suitable for beginners.</span></div><div class="ace-line ace-line old-record-id-XN9ndqpapocWQRx5NosuAalksye"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-EDHRd8x4aolOQWxxIPtunKjGsfd"><span style="font-size: 16px;"><a data-lark-is-custom="true" href="https://www.investing.com/">Investing</a> is an international financial information portal that supports the viewing and downloading of historical US stock price data. Investors can access full historical datasets including open, high, low, close, and trading volume data. This is particularly useful for users who want to run backtests on trading strategies.</span></div><div class="ace-line ace-line old-record-id-Dy4DdtJ3RojdNYxWzS2umDSNsOf"><span style="font-size: 16px;"><br></span></div><h2 class="heading-2 ace-line old-record-id-HKimd787Hot6JDxuviMuABYFsag"><strong>4. Financial Statement Analysis Websites</strong></h2><div class="ace-line ace-line old-record-id-LcP1dXOXaolFYmxQZGPuYuw4sch"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-TwX8dzd4DoswIDxBZgHuRcq0sad"><span style="font-size: 16px;">4.1 Morningstar investment research platform</span></h3><div class="ace-line ace-line old-record-id-ALXHdkQpcoSTF4xuyk6ue8NosTd"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-AqrWdXW9Qo2Ch8xiAHouOb2espb"><span style="font-size: 16px;"><a data-lark-is-custom="true" href="https://www.morningstar.com/">Morningstar</a> is a globally recognized independent investment research institution that provides fundamental data and analysis ratings for US-listed companies. Free users can access key financial indicators, financial ratios, and three major financial statements covering the past five years. The platform presents data in a clear and easy-to-understand format, making it particularly suitable for investors who are just beginning to learn financial statement analysis.</span></div><div class="ace-line ace-line old-record-id-YBrgdenwKoLITcxbWsnut5xDssg"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-Eiz4dYC4OoYryzxzFBuu8baes7g"><span style="font-size: 16px;">4.2 Long-term financial data platform</span></h3><div class="ace-line ace-line old-record-id-Dwz0dvAhJoMQeBxhqvIup11Qs3e"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-F8Wod6drKojbe5xVEy1uiCpNsUC"><span style="font-size: 16px;"><a data-lark-is-custom="true" href="https://www.roic.ai/">Roic.ai</a> focuses on financial statement data for US stocks. Free users can access up to 30 years of historical financial data, which is uncommon among similar tools. The platform also provides explanations of financial terms and calculation formulas to help investors better understand each indicator. In addition, users can read full transcripts of quarterly earnings conference calls.</span></div><div class="ace-line ace-line old-record-id-XOLBdWRMIohX2IxeyIXuOlXlsfg"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-VZd8d7FqToijCBxm80ju7eYhs9e"><span style="font-size: 16px;">4.3 Professional financial metrics database</span></h3><div class="ace-line ace-line old-record-id-EeeddueMgo3id4xGOatuojUQscf"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-Ijy3dGxYRoeLwcxOHy4uTvwQsHf"><span style="font-size: 16px;"><a data-lark-is-custom="true" href="https://www.gurufocus.com/">GuruFocus</a> provides comprehensive financial metrics with detailed and transparent formula explanations. In addition to financial statement data, it also offers information on institutional holdings and the portfolios of well-known investors, making it an important resource for analyzing ownership trends.</span></div><div class="ace-line ace-line old-record-id-KR9xdTr5tojJ5kxrASRuoY8Osec"><span style="font-size: 16px;"><br></span></div><h2 class="heading-2 ace-line old-record-id-G6uldEAONoYX1DxJ7DduW06Iscc"><strong>5. Stock Screening and Selection Tools</strong></h2><div class="ace-line ace-line old-record-id-X143dpJgBohOQOxevGsuozOXs3d"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-IQaNdujOjotRAvxi46Munctasse"><span style="font-size: 16px;">5.1 Visual market heat map</span></h3><div class="ace-line ace-line old-record-id-J2zfdf0ByoRqJsxpK0kuCCYFsEg"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-L5jqdNNKyotvEhxK07QuHb9TsAb"><span style="font-size: 16px;"><a data-lark-is-custom="true" href="https://finviz.com/">Finviz</a> presents the US stock market through an intuitive heat map, allowing investors to quickly see sector and individual stock performance at a glance. Its stock screener supports multi-factor filtering based on both fundamental and technical indicators, helping users quickly identify stocks that fit their investment strategies.</span></div><div class="ace-line ace-line old-record-id-NsDUdOPgOo5rczxPZD2ud50CsId"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-CdEKd8ULdoBW39xGPLsu0CRCsDW"><span style="font-size: 16px;">5.2 ETF research database</span></h3><div class="ace-line ace-line old-record-id-S0zqd5hvgoWQqRxBJE2uC8nyse1"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-YWHMdyIbqopOtTx32LMuhSNwscb"><span style="font-size: 16px;"><a data-lark-is-custom="true" href="https://etfdb.com/">ETF Database</a> is a specialized website focused on exchange-traded funds. Its classification system is detailed and well organized. Investors can screen ETFs by asset type, geographic exposure, and expense ratio, and compare two funds based on holdings, fees, and historical performance. For beginners who want to reduce risk through diversification, this is an ideal resource for learning about ETF products.</span></div><div class="ace-line ace-line old-record-id-TpCXdWSS4oCQbnxRV3XuuYnIspd"><span style="font-size: 16px;"><br></span></div><h2 class="heading-2 ace-line old-record-id-CFJLd2TGvon57Pxzbn9uvXeXsVb"><strong>6. Research Reports and Market News</strong></h2><div class="ace-line ace-line old-record-id-FmzRdISIuorLdmxNc7Cuk3tgsQg"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-JjoIdt7o2oV662x0xIluSR1jsmh"><span style="font-size: 16px;">6.1 Investment research community platform</span></h3><div class="ace-line ace-line old-record-id-ZRa0dG8ARoNhkMxkRXYuiFCxsKd"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-Rel0dkjAwoFX5xxRtWPuOz9nspb"><span style="font-size: 16px;"><a data-lark-is-custom="true" href="https://seekingalpha.com/">Seeking Alpha</a> brings together research reports from analysts and investors. Users can read in-depth articles and both bullish and bearish views on individual stocks. The platform also provides key summaries and full transcripts of earnings conference calls, helping investors quickly understand management strategies and market outlook.</span></div><div class="ace-line ace-line old-record-id-FpdgdiWuaoLL2gxxLd7uMeHJsIb"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-Tvoxdg2uxoAp5pxgIhCuLKQvsTd"><span style="font-size: 16px;">6.2 Analyst rating tracking tool</span></h3><div class="ace-line ace-line old-record-id-RI3wdsWWioiI3TxY88juVTdhsmd"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-QbIod5l1UooonxxMGvBum9tpsIc"><span style="font-size: 16px;"><a data-lark-is-custom="true" href="https://www.tipranks.com/">TipRanks</a> is known for tracking and ranking the historical forecasting accuracy of Wall Street analysts. Investors can view both analysts' ratings and their past performance, making it easier to assess the credibility of their recommendations. The platform also offers tracking of institutional investors and insider trading activity.</span></div><div class="ace-line ace-line old-record-id-PpOhdmHzxoGYXfx5PtKuHhqastf"><span style="font-size: 16px;"><br></span></div><h2 class="heading-2 ace-line old-record-id-SVyMdDmXGoXdwVxvr4puKu7Sshb"><strong>7. Investment Information Services on MEXC</strong></h2><div class="ace-line ace-line old-record-id-JGeedeM6hoxf8sxOynKuoGAXsRh"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-KUWXdyZi2o0PFMxA1Ptu9HpysSg"><span style="font-size: 16px;">As a leading global digital asset trading platform, MEXC also places strong emphasis on providing comprehensive market information services. Through MEXC's partner licensed broker, users have access to professional charting tools that support a wide range of technical indicators. These tools allow users to clearly view price trends and trading volume changes across different assets, helping improve investment efficiency.</span></div><div class="ace-line ace-line old-record-id-IvkudTc7JoOLzOxxg1DuqZRfsZF"><span style="font-size: 16px;"><br></span></div><h2 class="heading-2 ace-line old-record-id-YqyOdK5XWo3zFAxaDNbuWe5esgg"><strong>8. FAQ on US Stock Analysis Tools</strong></h2><div class="ace-line ace-line old-record-id-JuoAdPKdkovuTWxgyUXuJWPgs3g"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-JBgvdXTG3oOWL0xWHEfu3Gtis6d"><span style="font-size: 16px;">8.1 What are some free tools for analyzing US stocks?</span></h3><div class="ace-line ace-line old-record-id-VI9CddqF2oyIoux7R97uOzkUske"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-M12cdmpH7ogwOExTPIdujtCrsIb"><span style="font-size: 16px;">Popular free tools include Yahoo Finance, comprehensive financial information portals, and professional charting platforms. These tools provide real-time quotes, historical price trends, and basic technical indicators, which are sufficient for most investors' daily needs.</span></div><div class="ace-line ace-line old-record-id-Ej1mdCXmzoiezAxtEkku2HevsFb"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-WjqndeadIosFTExHnubuokS9sOc"><span style="font-size: 16px;">8.2 How can I access original financial reports of US-listed companies?</span></h3><div class="ace-line ace-line old-record-id-KvPHdJzGIon304xmjRXuvE8Bsbd"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-KE9IdJfqFoA0KlxZSAXuHRE1sde"><span style="font-size: 16px;">The official website of the US Securities and Exchange Commission (SEC) is the most authoritative source for original financial reports. All annual reports and quarterly reports filed by listed companies can be viewed and downloaded free of charge.</span></div><div class="ace-line ace-line old-record-id-GXj8dMwuGonykMxrhSJuEOlGsbh"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-Hap3dZbhjojiOjxecDQu4hbjsOb"><span style="font-size: 16px;">8.3 How do stock screening tools work?</span></h3><div class="ace-line ace-line old-record-id-OMvAdpxIkoHoZDxqmpQuPeEUsNb"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-QsoydyBzEoZuGjxeTbBugUE6s2d"><span style="font-size: 16px;">Most screening tools allow users to filter stocks based on criteria such as market capitalization, price-to-earnings ratio, dividend yield, and sector. After setting the desired conditions, the system automatically generates a list of stocks that meet the requirements.</span></div><div class="ace-line ace-line old-record-id-SNWAdwX7vojGt2xfL9nuxlLCsme"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-LGOSdV9ZwogIx2xWE9Uu9IDlssb"><span style="font-size: 16px;">8.4 Where can I view institutional investor holdings?</span></h3><div class="ace-line ace-line old-record-id-ENnMdLAE3ogjaSxMfJruPHMFsUe"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-SZild3DxAoAlSTxmzfbuQqpNs5d"><span style="font-size: 16px;">Professional financial data platforms and analyst rating tracking tools provide access to institutional holding information, allowing investors to track portfolio changes by major funds and well-known investors.</span></div><div class="ace-line ace-line old-record-id-FsehdG0s4oO7IXx5k2VuvLYgs7b"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-XhYPd5P37oUMUrx2kZiuVWw6smh"><span style="font-size: 16px;">8.5 How can I access historical US stock price data?</span></h3><div class="ace-line ace-line old-record-id-DvrFdsBuYoY512xseHSuYgJjs1d"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-NseYda3eJo3UTlxXunRuf6w8s1g"><span style="font-size: 16px;">Yahoo Finance and comprehensive financial information portals both support historical stock price queries, and some platforms also offer downloadable datasets for backtesting analysis.</span></div><div class="ace-line ace-line old-record-id-DIIId0pOxoOKxSxkz2zuAgyisme"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-F4JedT8U6oUQaqxpPhLu81qRsTb"><span style="font-size: 16px;">Recommended Reading:</span></h3><ul start="1" class="list-bullet1"><li class="ace-line ace-line old-record-id-HzRLdSlMZoDCMrxyyBNufgB5sHf" data-list="bullet"><div><a data-lark-is-custom="true" href="https://www.mexc.com/learn/article/17827791535795" style="font-size: 16px;">What Is RealStocks?</a></div></li><li class="ace-line ace-line old-record-id-TYxPdIHfPoDtTAxyYBwuwbVlslm" data-list="bullet"><div><a href="https://www.mexc.com/support/article/realstocks-trading-faq-382924861612411904" data-lark-is-custom="true" style="font-size: 16px;">RealStocks Trading FAQ</a></div></li><li class="ace-line ace-line old-record-id-STbZddTQ5oIYNlxcfEAulbMRsJc" data-list="bullet"><div><a href="https://www.mexc.com/support/article/key-economic-events-impacting-the-us-stock-market-370641117706798080" data-lark-is-custom="true" style="font-size: 16px;">Key Economic Events Impacting the US Stock Market</a></div></li><li class="ace-line ace-line old-record-id-GMkIdxCHCo70mHxJzEXuoyiNsHf" data-list="bullet"><div><span style="font-size: 16px;"><a href="https://www.mexc.com/support/article/us-stock-dividends-explained-375160462684321792">Understanding US Stock Dividends: Ex-Dividend Dates, Payment Dates, and the Full Process</a></span></div></li><li class="ace-line ace-line old-record-id-EoEvdKZnboCLZXxU2nGuPs19sUe" data-list="bullet"><div><a href="https://www.mexc.com/support/article/what-events-and-dates-to-note-when-buying-us-stocks-a-complete-guide-to-shareholders-meetings-dividends-and-ex-dividend-dates-370876112547430400" data-lark-is-custom="true" style="font-size: 16px;">What Events and Dates to Note When Buying US Stocks? A Complete Guide to Shareholders' Meetings, Dividends and Ex-Dividend Dates</a></div></li></ul><div class="ace-line ace-line old-record-id-Al3HdD4QGoqQmaxKsvpuaacxseh"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-FAhAdUIqyoWYy6xz7nauOm3cssf"><strong style="font-size: 16px;">Disclaimer:</strong></div><div class="ace-line ace-line old-record-id-HXBHd0PZXofG3txBSixuoykUsOe"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-JKlkdewC7ooerixIEaPuBB1lsCd"><span style="font-size: 16px;">The information provided herein is for informational and educational purposes only and does not constitute financial, investment, tax, or legal advice. MEXC is not a registered investment advisor or broker-dealer. All investment strategies and investments involve risk of loss. Any content contained herein should not be relied upon as advice or construed as providing recommendations of any kind. Always conduct your own research and consult with a licensed financial professional before making any investment decisions.</span></div><div class="ace-line ace-line old-record-id-UDASdSSJpoJU2QxQUNqux3DKslb"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-YS25d1t0toXiEtxczhcumLSIsud"><span style="font-size: 16px;">By participating in these investment activities, you risk losing ALL OR SUBSTANTIALLY ALL OF YOUR ASSETS. Please understand and evaluate the risk of trading and assess your risk tolerance carefully before conducting any trading or investment activities.</span></div></div>lg...

<div data-page-id="HqPfdxDZ7onSvJxrBQHuaQ8vshf" data-lark-html-role="root" data-docx-has-block-data="false"><h2 class="heading-2 ace-line old-record-id-WYKhdZV31oxo5BxxjckuctLksMb"><strong>Key Takeaways:</strong></h2><ul start="1" class="list-bullet1"><li class="ace-line ace-line old-record-id-GJbldzlqJofG1DxNPv7ubTYoste" data-list="bullet"><div><span style="font-size: 16px;">US stock investment requires attention to key events and dates such as shareholders' meetings, ex-dividend dates, and earnings seasons.</span></div></li><li class="ace-line ace-line old-record-id-YPG8do6R5owLXoxzZS8uZ4Tqsjd" data-list="bullet"><div><span style="font-size: 16px;">Investors must purchase shares at least one trading day before the ex-dividend date to be eligible for dividend payouts.</span></div></li><li class="ace-line ace-line old-record-id-UUFCdXVpVoqusFxdQMfuelUqsIh" data-list="bullet"><div><span style="font-size: 16px;">Stock prices tend to experience high volatility around earnings releases, requiring cautious operation.</span></div></li><li class="ace-line ace-line old-record-id-RzVdd7jMwoqLeqxEemzuaYqAsSf" data-list="bullet"><div><span style="font-size: 16px;">Fed interest rate meetings and the release of economic data will influence overall market trends.</span></div></li><li class="ace-line ace-line old-record-id-NuAmd6ZXxoX4KCxNZtLu7LGKscg" data-list="bullet"><div><span style="font-size: 16px;">Understanding optimal trading sessions helps identify favorable trading windows.</span></div></li></ul><div class="ace-line ace-line old-record-id-RKPcdy1Ono3OMqx2U5juk5pvs0e"><span style="font-size: 16px;"><br></span></div><h2 class="heading-2 ace-line old-record-id-D5vIdO4yBobKSrxUiwUu1GHHsRf"><strong>1. What is a Shareholders' Meeting? Why Should Investors Care?</strong></h2><div class="ace-line ace-line old-record-id-Tcg4dcsuFocAwExAXYYuD449sgf"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-H1IOdkPs8o2WlYxC8WvuQFnasTs"><span style="font-size: 16px;">The shareholders' meeting is the highest decision-making body of a listed company, composed of all shareholders, and is responsible for making decisions on major corporate matters. As a US stock investor, understanding how shareholders' meetings work helps in better exercising shareholder rights and staying informed about the company's development.</span></div><div class="ace-line ace-line old-record-id-O8MndJRBPoqtGVxIPHPuSYpEsvz"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-OA6jdN49KoO9iKxhcCQuyq54s0b"><span style="font-size: 16px;">1.1 Main Types of Shareholders' Meetings</span></h3><div class="ace-line ace-line old-record-id-ZOiFdaGwaoCUzLxCnQXuNV14sAd"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-ETiTdAVPgoZwcaxl88JuvssRspe"><span style="font-size: 16px;"><strong>The Annual General Meeting</strong> (AGM) is the most common form, typically held within six months after the end of each fiscal year. The meeting's agenda includes approving annual financial statements, electing members of the board of directors, announcing dividend distribution plans, and discussing major strategic decisions of the company.</span></div><div class="ace-line ace-line old-record-id-JTNudbbjhob472xDBQCusdLZs0g"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-JmrxdbGRNoSbf6xgznzuXcSqs4g"><span style="font-size: 16px;"><strong>Extraordinary General Meetings</strong> (EGM), on the other hand, are convened when urgent matters involving the interests of the company and its shareholders arise, such as major merger and acquisition transactions or amendments to the articles of association that require a shareholder vote.</span></div><div class="ace-line ace-line old-record-id-ArdEdJsY9o6XlixwgeWu5lI8sbf"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-WkwadsAGIoC7ZQxC8v9u9VqXsmd"><span style="font-size: 16px;">1.2 Core Topics Discussed at Shareholders' Meetings</span></h3><div class="ace-line ace-line old-record-id-UElpdLpNwo2Yd4x33fcueb8ysNc"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-NkLIdu4EEodVTxxXrPhutRwasqb"><span style="font-size: 16px;">At a shareholders' meeting, investors can review management's assessment on the past year's business performance, as well as plans for future development strategies. Primary topics usually cover the election and replacement of board members, approval of executive compensation packages, appointment of external auditing firms, and stock buyback or split plans.</span></div><div class="ace-line ace-line old-record-id-W31ydnGG4o6BNxxKnA0uvc46swh"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-Hw9hdB5IMoAbHpxrNUvuL2Y7s8c"><span style="font-size: 16px;">Through trading platforms, investors can easily track shareholders' meeting announcements for the US stocks they hold, staying updated on voting and meeting schedules.</span></div><div class="ace-line ace-line old-record-id-McMWdTrWKor9Fuxr3HKuxfZIsEb"><span style="font-size: 16px;"><br></span></div><h2 class="heading-2 ace-line old-record-id-QVj6dx9s3oW8QVxOrE1uxH60sOb"><strong>2. The Importance of Ex-Dividend Dates and Trading Strategies</strong></h2><div class="ace-line ace-line old-record-id-FF3RdcIvKop8IdxunUUubNvcs5d"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-PDHAdzPvhoVUOXxYf7yuybyHsSg"><span style="font-size: 16px;">The ex-dividend date is the most critical time in dividend investing. You must hold the stock before the ex-dividend date to be eligible for the upcoming dividend payout.</span></div><div class="ace-line ace-line old-record-id-YTzndEDXWoxLXax2KBUuKeoFsQh"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-A1LAdNBWqoquZPxSwTbuPFCcs6e"><span style="font-size: 16px;">2.1 How the Ex-Dividend Date Affects Stock Prices</span></h3><div class="ace-line ace-line old-record-id-Hp8Pd1bOIozagdxy25juJFFEsrh"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-ZicfdZfxuoJ4VTxnIh1uy57xsYC"><span style="font-size: 16px;">On the ex-dividend date, the stock price typically drops by an amount roughly equal to the dividend payout. This occurs because investors who purchase shares on or after this date are no longer entitled to the upcoming dividend, leading to a corresponding reduction in the stock's intrinsic value.</span></div><div class="ace-line ace-line old-record-id-RicRdbftpol4ibxgZXHughwUsDe"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-Xg9fdaQzDo6636xKo9QuJjKjsye"><span style="font-size: 16px;">According to the US stock T+1 settlement rule, investors must purchase the stock at least one trading day before the ex-dividend date to be recorded as a shareholder eligible for the dividend.</span></div><div class="ace-line ace-line old-record-id-IzYCda70foNUJZxXVxmuWg5Xs2b"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-IrGidI1xmofd1KxS0XsuEV9esyJ"><span style="font-size: 16px;">2.2 Considerations for Investment on Ex-Dividend Dates</span></h3><div class="ace-line ace-line old-record-id-Wru4dzhMgoLGyjxmrJtugatrsnc"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-HIm1dhw13oyTu8xIQgfuHfaeslc"><span style="font-size: 16px;">If your goal is to earn dividend income, ensure that you complete your purchase before the ex-dividend date. However, it is important to note that, because the stock price adjusts accordingly on the ex-dividend date, buying a day prior solely for the dividend may result in actual returns that are lower than expected after accounting for the price drop.</span></div><div class="ace-line ace-line old-record-id-RRCWdcIGIo8ayqxvfRBut5A8sbe"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-HWyddgxZJobUVfxc0OmukjQOsMA"><span style="font-size: 16px;">Holding high-quality dividend stocks long-term to accumulate returns through the power of compounding is often a more robust strategy than frequently chasing ex-dividend dates. The MEXC platform provides comprehensive US stock market services to help investors track critical dividend date information.</span></div><div class="ace-line ace-line old-record-id-ZkGsdE0rLoxvpOxRcsmuZIVmsrh"><span style="font-size: 16px;"><br></span></div><div style="text-align:center" class="ace-line ace-line old-record-id-SXwqdikU3opeXwxMHRcuZx2As1g"><span style="font-size: 16px;">*BTN- <strong>Trade RealStocks</strong>&amp;BTNURL=<span style="color:rgb(100,37,208)"><u><a data-lark-is-custom="true" href="https://www.mexc.com/trade-stocks">https://www.mexc.com/trade-stocks</a></u></span>*</span></div><div class="ace-line ace-line old-record-id-QeBYdhkFgoEX6MxTCtqu5l2MsMh"><span style="font-size: 16px;"><br></span></div><h2 class="heading-2 ace-line old-record-id-KxTwd0vUHoaeMOxuCmvu4ctDsyd"><strong>3. Earnings Season: The Period of Highest Volatility</strong></h2><div class="ace-line ace-line old-record-id-CIUTdIWDMoX5qqx0mvsuGh8nsPf"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-JQFJdOObsoMTuPxwcg1uiBxJsle"><span style="font-size: 16px;">US-listed companies release quarterly earnings reports four times a year, which is one of the most significant factors influencing short-term stock price movements.</span></div><div class="ace-line ace-line old-record-id-LT6Hd88HsoKWxFxQ1s6urNHJsDj"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-TpIGdQ3hCowrLjxWy5euW6BYsJh"><span style="font-size: 16px;">3.1 Market Impact of Earnings Releases</span></h3><div class="ace-line ace-line old-record-id-Wec9dVK4Eosm9xxmwAWuAH8fsvd"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-P6w2d4KJEocQYLxggq4u655lsid"><span style="font-size: 16px;">When a company's actual performance exceeds market expectations, it often drives a significant surge in the stock price; conversely, if performance falls short of expectations, the stock price may see a sharp decline. For some popular tech stocks, single-day moves can exceed 10% following an earnings release.</span></div><div class="ace-line ace-line old-record-id-VW6odgQ61oYaIdxTK6cuPFzEstg"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-RwHqdO4e7o4WUEx2C7VuJgHMsDd"><span style="font-size: 16px;">Investors should closely monitor the earnings release dates of the stocks they hold and assess their risk tolerance in advance to decide whether to adjust their positions before the announcement.</span></div><div class="ace-line ace-line old-record-id-BvsUdxMtvoDTokxxn7wuHhslsCc"><span style="font-size: 16px;"><br></span></div><h2 class="heading-2 ace-line old-record-id-MVvAdJIRMoQOyoxuUY3uXsC9stc"><strong>4. The Significance of Stock Split and Buyback Announcements</strong></h2><div class="ace-line ace-line old-record-id-KpWqdFNnUoEsVkxHFZQueXmFsjh"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-XloOdPoT6otwk4xziFmuR1NTsnh"><span style="font-size: 16px;">4.1 Stock Split Signals</span></h3><div class="ace-line ace-line old-record-id-PsZtdjt6loQ3mYxHtPeu5BdQsZh"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-AmEJdoK7EorPnXxqPydueDD6sjd"><span style="font-size: 16px;">When a company announces a stock split, it typically signals management confidence in the company's future prospects. By lowering the price per share after the split, it helps attract more small and medium-sized investors, which may support positive market sentiments.</span></div><div class="ace-line ace-line old-record-id-RNYadU0Vao0OJWxHVqBua7wKsNe"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-JEgydgH9wobfwBxbLzLuBJwcsib"><span style="font-size: 16px;">4.2 The Meaning of Stock Buybacks</span></h3><div class="ace-line ace-line old-record-id-XD1Kd2mpEoJvDqxeTxMutXHQs4f"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-JPaNdOGpwoR1jpxAGAru64z4sdh"><span style="font-size: 16px;">A company repurchasing its own shares is generally viewed as a signal that management believes the current stock price is undervalued. Buybacks reduce the number of shares outside the market, which helps boost earnings per share and support the stock price.</span></div><div class="ace-line ace-line old-record-id-FRwHdRS8EoIGcBxPDrXuZoCns3g"><span style="font-size: 16px;"><br></span></div><h2 class="heading-2 ace-line old-record-id-PHiNd9fGTosmSUxWEa7uMhtOssh"><strong>5. Trading Opportunities and Risks Brought by M&amp;A Announcements</strong></h2><div class="ace-line ace-line old-record-id-EcQHd7NUvoqwTSxivRnut1HLsQc"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-StZDdsPcHotBHcx1VdBua8ZXsZf"><span style="font-size: 16px;">Mergers and acquisitions news is a major factor that can lead to sharp price movements. The stock price of the target company typically surges significantly, while the reaction of the acquiring company's stock price varies depending on the terms of the deal.</span></div><div class="ace-line ace-line old-record-id-Tn56dyS7MoEWufxPH12u3blLsig"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-WwtIdORYgogu0cxwstyu8UM0s6d"><span style="font-size: 16px;">Investors must remain vigilant regarding the risks of speculative trading based on M&amp;A rumors. Since M&amp;A transactions face the possibility of failure, once a deal falls through, the prices of the involved stocks often fall sharply.</span></div><div class="ace-line ace-line old-record-id-KP3ydU5byoRqyGxMf4GuGVSas5c"><span style="font-size: 16px;"><br></span></div><h2 class="heading-2 ace-line old-record-id-ZiFpdGQdgo33cjxHXVPuJv23s4d"><strong>6. The Impact of Macroeconomic Events on US Stocks</strong></h2><div class="ace-line ace-line old-record-id-T2gzdaXXIogJCpxB1xXuzKTvs5b"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-DBQvdkGsCovI8PxEYk4u4mn5sOb"><span style="font-size: 16px;">6.1 Fed Interest Rate Meetings</span></h3><div class="ace-line ace-line old-record-id-Lm7fdhMKNoUDAYxLWz2uEWeZssf"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-TtDMdIG6noeF0axMB3HuVoipsMr"><span style="font-size: 16px;">The Fed holds eight Federal Open Market Committee (FOMC) meetings annually to determine the direction of the federal funds rate. Interest rate hikes typically put pressure on the stock market, while expectations of rate cuts can support the equity markets.</span></div><div class="ace-line ace-line old-record-id-I88ididNUoD9VfxDTsMu0hoMsU6"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-S6WAdFeuPoP9qQxn5KmuWFHMsah"><span style="font-size: 16px;">6.2 Release of Important Economic Data</span></h3><div class="ace-line ace-line old-record-id-K6Osd94x3otQyhxkkTcuDGxTsMf"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-U5QqdgLElowi5uxv2bpuZgvPsZc"><span style="font-size: 16px;">The release of economic indicators such as the Consumer Price Index (CPI), Producer Price Index (PPI), and Non-Farm Payrolls significantly impacts market sentiment. Investors can track economic data releases and market analysis through the information features on MEXC.</span></div><div class="ace-line ace-line old-record-id-OveodXhHpotFr8xcogLuaUqHs8e"><span style="font-size: 16px;"><br></span></div><h2 class="heading-2 ace-line old-record-id-WnKQdRJrzoEeb4x4gGeuBxCCsYc"><strong>7. FAQ</strong></h2><div class="ace-line ace-line old-record-id-WAKUdDk7HoncpIxSgOvuWwbBsCd"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-E0CLdOK9UodArjxA7kfu64h8s8b"><span style="font-size: 16px;">7.1 What is the purpose of a shareholders' meeting?</span></h3><div class="ace-line ace-line old-record-id-OclJd5dLXoB7pxxMoGnu1Pm6sPg"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-Rwemd8Tskop8xJxYHMku90PhsPC"><span style="font-size: 16px;">The primary purpose of a shareholders' meeting is to allow shareholders to exercise their voting rights on major corporate matters, including electing board members, approving financial statements, and deciding on dividend distribution plans. It is the core mechanism of corporate governance.</span></div><div class="ace-line ace-line old-record-id-EklEdv0yOoj37Yx9zqLue0Khspd"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-Q5oFde3KrohxhVxj3O3u42Nesbh"><span style="font-size: 16px;">7.2 Can retail investors attend shareholders' meetings?</span></h3><div class="ace-line ace-line old-record-id-UjGmdpRBNoC9pVxPQfkuifNjsMe"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-EfnBdX9JFomc9exTzcSuEvjMsWe"><span style="font-size: 16px;">Yes, as long as you hold shares in the company, you have the right to attend the shareholders' meeting. Even if you cannot attend in person, you can exercise your rights through proxy voting.</span></div><div class="ace-line ace-line old-record-id-O4n0d1U3bojoytxmQG8uqvNUsIh"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-H60FdQD19odiDrxL1fLucZ6ushQ"><span style="font-size: 16px;">7.3 Should I buy stocks before or after the ex-dividend date?</span></h3><div class="ace-line ace-line old-record-id-QgwLdrPUjohmboxytzzuGkD7suc"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-Bkq5dJ1tboiA74xhBzFuxbIas7f"><span style="font-size: 16px;">If you wish to receive the upcoming dividend, you must buy before the ex-dividend date. However, you should consider the stock price adjustment on the ex-dividend date and evaluate the overall investment return.</span></div><div class="ace-line ace-line old-record-id-XFp5dZbbcobRFxxjwdUuzIC8sWe"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-PNjrdoSLmo4rvtxZLoAul39WsVf"><span style="font-size: 16px;">7.4 Can I still receive the dividend if I sell the stock on the ex-dividend date?</span></h3><div class="ace-line ace-line old-record-id-VvUadhJNFoKyUDxW1F3uswdTs2b"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-PGYSdj1t4oQIisxIQvJu7WPMskd"><span style="font-size: 16px;">Yes. As long as you held the stock before the ex-dividend date, you remain eligible to receive the dividend even if you sell the shares on the ex-dividend date itself.</span></div><div class="ace-line ace-line old-record-id-AI6odRSIJoPflAx2PLiuK0Yys3g"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-UdiidE6hyopgLQxoyD2urLPXscb"><span style="font-size: 16px;">7.5 What is the most important factor to consider when buying a stock?</span></h3><div class="ace-line ace-line old-record-id-QXD9dtdo4oLDiPxFPYbux9YysGe"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-NRPod3R19oyYdvxcAROukRbOshA"><span style="font-size: 16px;">You should comprehensively evaluate the company's fundamentals, valuation levels, industry prospects, and financial health, as well as your own risk tolerance and investment horizon.</span></div><div class="ace-line ace-line old-record-id-G0xpdJfPJozo66x2tGCuF7Nbs6g"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-CYZ4dWiKboLEckx6cTJufSGcso1"><span style="font-size: 16px;">7.6 What is the best time of day to buy stocks?</span></h3><div class="ace-line ace-line old-record-id-P67jdOnvyoSBP4xv6QZuO3vQsld"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-UE1Yd5I26osFk2xpn7BuH1QOsGe"><span style="font-size: 16px;">Trading is most active during the first hour after the opening and the last hour before the closing, though volatility is also at its peak. For long-term investors, the exact timing of entry is usually less important.</span></div><div class="ace-line ace-line old-record-id-CPT5dYeCIotgiVxTpTBuAzz6sbe"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-O67ldnvrVoMBDyxsVY6utxLNsue"><span style="font-size: 16px;">7.7 What is the 7% rule in the stock market?</span></h3><div class="ace-line ace-line old-record-id-RIvJd0NwYoZRNPxV9mUuEVftsYb"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-BVgrdlx39oVLhtxcKjtu5UGgsVg"><span style="font-size: 16px;">This is a risk management strategy where an investor sells a stock to cut losses when the price drops 7% - 8% from the purchase price, aiming to control the magnitude of loss on a single trade.</span></div><div class="ace-line ace-line old-record-id-AfFqdDVKvonOfhxiJDduVJmTsdf"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-VxHedlEkHo51P3x4IKyuteWysNf"><strong style="font-size: 16px;">Recommended Readings:</strong></div><ul start="1" class="list-bullet1"><li class="ace-line ace-line old-record-id-EfxVd55Uto62H1xOrCtuzB1esab" data-list="bullet"><div><a data-lark-is-custom="true" href="https://www.mexc.com/learn/article/17827791535795" style="font-size: 16px;">What Is RealStocks?</a></div></li><li class="ace-line ace-line old-record-id-TeGWdjVsmoVAGJx4XqfuUMidsud" data-list="bullet"><div><a href="https://www.mexc.com/support/article/realstocks-trading-faq-382924861612411904" data-lark-is-custom="true" style="font-size: 16px;">RealStocks Trading FAQ</a></div></li><li class="ace-line ace-line old-record-id-Hl6YdWMXEoRukLxS1uauOCeLskh" data-list="bullet"><div><a href="https://www.mexc.com/support/article/key-economic-events-impacting-the-us-stock-market-370641117706798080" data-lark-is-custom="true" style="font-size: 16px;">Key Economic Events Impacting the US Stock Market</a></div></li><li class="ace-line ace-line old-record-id-VeoTd5qkeoOsK1xxfyEurgS9sPc" data-list="bullet"><div><a href="https://www.mexc.com/support/article/us-stock-dividends-explained-375160462684321792" data-lark-is-custom="true" style="font-size: 16px;">US Stock Dividend Distribution: Understand Ex-Dividend and Payment Dates at a Glance</a></div></li><li class="ace-line ace-line old-record-id-F8PzdMHZYoN8mdxvAVqum2rBsVd" data-list="bullet"><div><a href="https://www.mexc.com/support/article/free-us-stock-analysis-tools-373856828440805376" data-lark-is-custom="true" style="font-size: 16px;">US Stock Analysis Tools: A Complete Guide to Free Websites for Beginners</a></div></li></ul><div class="ace-line ace-line old-record-id-MDm6dbf0xo3Xp8xewXluYDq1s4F"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-Ag7Id7tBCoUMNCx6kVuurK8AsUd"><span style="font-size: 16px;"><strong>Disclaimer: </strong>The information provided herein is for informational and educational purposes only and does not constitute financial, investment, tax, or legal advice. MEXC is not a registered investment advisor or broker-dealer. All investment strategies and investments involve risk of loss. Any content contained herein should not be relied upon as advice or construed as providing recommendations of any kind. Always conduct your own research and consult with a licensed financial professional before making any investment decisions.</span></div><div class="ace-line ace-line old-record-id-NDIvdJxy4oVPjqxnuXRunTgRsMd"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-DZCOdolTxoCwbYxi7Yqu39W9sDH"><span style="font-size: 16px;">By participating in these investment activities you risk losing ALL OR SUBSTANTIALLY ALL OF YOUR ASSETS. Please understand and evaluate the risk of trading and assess your risk tolerance carefully before conducting any trading or investment activities.</span></div><div class="ace-line ace-line old-record-id-YehddSHgiokr4ixcmE6umyJqsOb"><span style="font-size: 16px;"><br></span></div></div>lg...

<div data-page-id="AQQzdDz7MoLQn5xFFevuQNnRs6c" data-lark-html-role="root" data-docx-has-block-data="true"><h2 class="heading-2 ace-line old-record-id-AyH8d8oD0o4iOwxdvbyu2gP3smh"><strong>Key Takeaways</strong></h2><ul start="1" class="list-bullet1"><li class="ace-line ace-line old-record-id-QqZPdsBdZoPnscxLiePuH77xs7f" data-list="bullet"><div><span style="font-size: 16px;"><strong>Understand market sectors</strong>: The US stock market is divided into 11 major sectors, including technology, financials, and healthcare. Different sectors have different risk-return characteristics.</span></div></li><li class="ace-line ace-line old-record-id-FRRadJxtWowpWlxRUSOuHJHNsGd" data-list="bullet"><div><span style="font-size: 16px;"><strong>Choose an investment strategy</strong>: Beginners may consider lower-risk index investing or value investing, while experienced investors may explore short-term trading strategies such as technical analysis.</span></div></li><li class="ace-line ace-line old-record-id-SgEBdwSlGolxP6xswCbuSEAhszh" data-list="bullet"><div><span style="font-size: 16px;"><strong>Know the key stock selection factors</strong>: Pay attention to fundamental indicators such as a company's financial health, competitive advantage, management quality, and industry outlook.</span></div></li><li class="ace-line ace-line old-record-id-LPKwds8aCocnhCxZ2j5uX0yHsvq" data-list="bullet"><div><span style="font-size: 16px;"><strong>Manage risk properly</strong>: Reduce investment risk through diversification, stop-loss settings, and reasonable position management.</span></div></li><li class="ace-line ace-line old-record-id-KvE5dfRf0oJB60xLxBxuJ7H2sLd" data-list="bullet"><div><span style="font-size: 16px;"><strong>Start with what you know</strong>: Beginners can start with well-known leading companies or index funds and gradually build positions through regular fixed-amount investing.</span></div></li></ul><div class="ace-line ace-line old-record-id-VrVodS4uIodhfxxPLmdu8TOOsFg"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-LZX9dHOCcolHoNxaW8OuC9qPsLc"><span style="font-size: 16px;">As one of the world's largest stock markets, the US stock market brings together leading companies across global industries and continues to attract growing investor attention. For beginners, choosing the right US stocks from thousands of listed companies can be the first major challenge. This article provides a systematic guide to US stock investing from multiple perspectives, including market structure, stock selection strategies, and trading methods.</span></div><div class="ace-line ace-line old-record-id-D4spdId7HojXXuxQKjsuvxrRsQp"><span style="font-size: 16px;"><br></span></div><h2 class="heading-2 ace-line old-record-id-UIoedWFUlogjV2x8GSTuOgR2sje"><strong>1. Understanding US Stock Market Sectors</strong></h2><div class="ace-line ace-line old-record-id-V4J9drOC9owhNkxl0TquWcwEsyf"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-JlIsdhOTuoCIvsxs8FLuVmmUs8m"><span style="font-size: 16px;">Before investing, it is important to understand how the US stock market is divided by sector. Based on the Global Industry Classification Standard, the US stock market can be divided into 11 major sectors:</span></div><div class="ace-line ace-line old-record-id-G8badL9coo0dv4xkig6uCafBsEe"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-IYzMdcAFQo9iElx54lLuhaR9sJb"><span style="font-size: 16px;"><strong>Information Technology:</strong> This sector includes technology companies involved in internet software and hardware, semiconductors, and related fields. Technology giants such as Apple (AAPL), Microsoft (MSFT), Google (GOOG), and Nvidia (NVDA) all belong to this sector. Technology stocks usually have high growth potential, but they also tend to be relatively volatile.</span></div><div class="ace-line ace-line old-record-id-VfCWde4gRoUVsAxKv8kuGgNysfb"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-CQPXd9sWIoXtJtxMypIumW0tsLc"><span style="font-size: 16px;"><strong>Financials:</strong> This sector covers financial services companies such as banks, insurance companies, and brokerages, including Visa (V), JPMorgan Chase (JPM), and Mastercard (MA). The financial sector is sensitive to interest rate changes and is significantly affected by economic cycles.</span></div><div class="ace-line ace-line old-record-id-U6YbdBE2Vo45QsxDsdKu26jqsyh"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-UrPidQkTRoVtF1x1FrRuV3PcsOe"><span style="font-size: 16px;"><strong>Healthcare:</strong> This sector includes pharmaceutical, biotechnology, and healthcare service companies, such as Eli Lilly (LLY) and Novo Nordisk (NVO). The sector has defensive characteristics and tends to be relatively resilient during market downturns.</span></div><div class="ace-line ace-line old-record-id-Cja7dSG7mohM45xHwgiupapDsRg"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-ZVSFdWnKeoHgWFxGsFGujZIXswe"><span style="font-size: 16px;"><strong>Consumer Discretionary:</strong> This sector covers industries such as e-commerce, hotels, automobiles, and luxury goods. Tesla (TSLA), Home Depot (HD), and McDonald's (MCD) all belong to this sector. It usually performs better during periods of economic growth.</span></div><div class="ace-line ace-line old-record-id-LPZgdhEcHoUVr4xX9Nlu54mys6b"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-GGxYd0PBFo8o28xz63gu8w8PsVc"><span style="font-size: 16px;"><strong>Consumer Staples:</strong> This sector includes daily necessities, food retail, and related industries, such as Walmart (WMT), Procter &amp; Gamble (PG), and Costco (COST). The sector is relatively stable and has strong defensive characteristics.</span></div><div class="ace-line ace-line old-record-id-StSFdtXFjospKfxKa6SuJv5Ps0f"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-JtDbdQXNuo8JrFxrY4TuCwNBszg"><span style="font-size: 16px;"><strong>Other sectors:</strong> Industrials, communication services, energy, real estate, materials, and utilities each have their own characteristics and may perform differently under different economic conditions.</span></div><div class="ace-line ace-line old-record-id-EbsjdV6ufoQ6iDxWu7musM69stf"><span style="font-size: 16px;"><br></span></div><div style="text-align:center" class="ace-line ace-line old-record-id-Okbkdcwl9o84HOxJp3Sum5s8sSo"><span style="font-size: 16px;">*BTN- <strong>Trade Stocks</strong>&amp;BTNURL=<span style="color:rgb(100,37,208)"><u><a data-lark-is-custom="true" href="https://www.mexc.com/trade-stocks">https://www.mexc.com/trade-stocks</a></u></span>*</span></div><div class="ace-line ace-line old-record-id-CbkQdtXINop9EexKAacuvoZDsRb"><span style="font-size: 16px;"><br></span></div><h2 class="heading-2 ace-line old-record-id-J2Z6dMjxgom26uxidzwuKDufsJd"><strong>2. Choosing an Investment Strategy That Fits You</strong></h2><div class="ace-line ace-line old-record-id-B31MdV3VGouSZJxVKxduZVSRsxe"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-W4JvdkfxooxrgoxtPVGuuKnvsqc"><span style="font-size: 16px;">2.1 Long-term investment strategies: For investors seeking stable returns</span></h3><div class="ace-line ace-line old-record-id-Okrsd8sDvoOsxsxw40Auzb7VsPb"><span style="font-size: 16px;"><br></span></div><div><table class="ace-table" data-ace-table-col-widths="138;245;291;112" style="border:none;border-collapse:collapse;table-layout:fixed;width:500px;"><colgroup><col width="138"><col width="245"><col width="291"><col width="112"></colgroup><tbody><tr style="height:39px;"><td colspan="1" rowspan="1" style="border: 1px solid rgb(222, 224, 227); padding: 8px; vertical-align: middle; font-size: 10pt;"><div style="text-align:center" class="ace-line ace-line old-record-id-COoJd3KjLolBehxBo9Ou5HSbsBg"><strong style="font-size: 16px;">Strategy Type</strong></div></td><td colspan="1" rowspan="1" style="border: 1px solid rgb(222, 224, 227); padding: 8px; vertical-align: middle; font-size: 10pt;"><div style="text-align:center" class="ace-line ace-line old-record-id-LljwdRon6oytI6xzXWfu7al0s2a"><strong style="font-size: 16px;">Main Method</strong></div></td><td colspan="1" rowspan="1" style="border: 1px solid rgb(222, 224, 227); padding: 8px; vertical-align: middle; font-size: 10pt;"><div style="text-align:center" class="ace-line ace-line old-record-id-KCYfdj2hlo6t39xxoVGuzmQ8stc"><strong style="font-size: 16px;">Key Features</strong></div></td><td colspan="1" rowspan="1" style="border: 1px solid rgb(222, 224, 227); padding: 8px; vertical-align: middle; font-size: 10pt;"><div style="text-align:center" class="ace-line ace-line old-record-id-JWdRdJNdcoEklcxQsGku6JWhshb"><strong style="font-size: 16px;">Risk Level</strong></div></td></tr><tr style="height:39px;"><td colspan="1" rowspan="1" style="border: 1px solid rgb(222, 224, 227); padding: 8px; vertical-align: middle; font-size: 10pt;"><div style="text-align:center" class="ace-line ace-line old-record-id-Op6RdMA1AoitCdxiWihuZMJjsoh"><span style="font-size: 16px;">Index Investing</span></div></td><td colspan="1" rowspan="1" style="border: 1px solid rgb(222, 224, 227); padding: 8px; vertical-align: middle; font-size: 10pt;"><div style="text-align:center" class="ace-line ace-line old-record-id-TZadd3HhyoG4UmxdajQuFde4s3f"><span style="font-size: 16px;">Invest in index funds such as the S&amp;P 500</span></div></td><td colspan="1" rowspan="1" style="border: 1px solid rgb(222, 224, 227); padding: 8px; vertical-align: middle; font-size: 10pt;"><div style="text-align:center" class="ace-line ace-line old-record-id-VdQEdiD6roNpxvxPKdquR6zbs6e"><span style="font-size: 16px;">Helps capture average market returns, diversify single-stock risk, and keep operations simple and time-efficient</span></div></td><td colspan="1" rowspan="1" style="border: 1px solid rgb(222, 224, 227); padding: 8px; vertical-align: middle; font-size: 10pt;"><div style="text-align:center" class="ace-line ace-line old-record-id-MIQFdr9WXoHTiAx5DBluqRo6sbh"><span style="font-size: 16px;">Medium</span></div></td></tr><tr style="height:39px;"><td colspan="1" rowspan="1" style="border: 1px solid rgb(222, 224, 227); padding: 8px; vertical-align: middle; font-size: 10pt;"><div style="text-align:center" class="ace-line ace-line old-record-id-KKAKdUu9hoO7OIxrqn7ubwdBsic"><span style="font-size: 16px;">Value Investing</span></div></td><td colspan="1" rowspan="1" style="border: 1px solid rgb(222, 224, 227); padding: 8px; vertical-align: middle; font-size: 10pt;"><div style="text-align:center" class="ace-line ace-line old-record-id-ZIQCdO9tHoKoqSxp0y2uiQ0Ms9X"><span style="font-size: 16px;">Focus on fundamental indicators such as P/E and P/B ratios</span></div></td><td colspan="1" rowspan="1" style="border: 1px solid rgb(222, 224, 227); padding: 8px; vertical-align: middle; font-size: 10pt;"><div style="text-align:center" class="ace-line ace-line old-record-id-MfeodhXXpoAe5xxhUCKus9zfs5d"><span style="font-size: 16px;">Seeks high-quality companies that may be undervalued by the market, with an emphasis on long-term holding of companies with moats</span></div></td><td colspan="1" rowspan="1" style="border: 1px solid rgb(222, 224, 227); padding: 8px; vertical-align: middle; font-size: 10pt;"><div style="text-align:center" class="ace-line ace-line old-record-id-HeV9dpiQFoqbthxzU66uArCisyd"><span style="font-size: 16px;">Medium to Low</span></div></td></tr></tbody></table></div><div class="ace-line ace-line old-record-id-FNN6d1sYno1EVjxRE3MuO4Z4sbe"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-UMKTdsquOoszqxxJiFZuGJUXsfh"><span style="font-size: 16px;">2.2 Short-term trading strategies: For investors seeking gains from short-term fluctuations</span></h3><div class="ace-line ace-line old-record-id-G4bGdemqYo5yRxxR5HuuUtYYskf"><span style="font-size: 16px;"><br></span></div><div><table class="ace-table" data-ace-table-col-widths="138;287;249;112" style="border:none;border-collapse:collapse;table-layout:fixed;width:500px;"><colgroup><col width="138"><col width="287"><col width="249"><col width="112"></colgroup><tbody><tr style="height:39px;"><td colspan="1" rowspan="1" style="border: 1px solid rgb(222, 224, 227); padding: 8px; vertical-align: middle; font-size: 10pt;"><div style="text-align:center" class="ace-line ace-line old-record-id-Ol8Od4QX0oIQ1Kx9QUuuwvbPsZb"><strong style="font-size: 16px;">Strategy Type</strong></div></td><td colspan="1" rowspan="1" style="border: 1px solid rgb(222, 224, 227); padding: 8px; vertical-align: middle; font-size: 10pt;"><div style="text-align:center" class="ace-line ace-line old-record-id-GBh5deS7XoPH1NxhyjjunD71s4g"><strong style="font-size: 16px;">Main Method</strong></div></td><td colspan="1" rowspan="1" style="border: 1px solid rgb(222, 224, 227); padding: 8px; vertical-align: middle; font-size: 10pt;"><div style="text-align:center" class="ace-line ace-line old-record-id-QipPdNvF1obG46xZhWLu2lFjsAd"><strong style="font-size: 16px;">Key Features</strong></div></td><td colspan="1" rowspan="1" style="border: 1px solid rgb(222, 224, 227); padding: 8px; vertical-align: middle; font-size: 10pt;"><div style="text-align:center" class="ace-line ace-line old-record-id-NlsFd9xqlobsJ0x7PWluyCLLsTh"><strong style="font-size: 16px;">Risk Level</strong></div></td></tr><tr style="height:39px;"><td colspan="1" rowspan="1" style="border: 1px solid rgb(222, 224, 227); padding: 8px; vertical-align: middle; font-size: 10pt;"><div style="text-align:center" class="ace-line ace-line old-record-id-QmnYdWDEpoWYJIxhqevufWzhs1d"><span style="font-size: 16px;">Technical Analysis Trading</span></div></td><td colspan="1" rowspan="1" style="border: 1px solid rgb(222, 224, 227); padding: 8px; vertical-align: middle; font-size: 10pt;"><div style="text-align:center" class="ace-line ace-line old-record-id-KRoqdJcFToF7Erxd3tEurRbzsvf"><span style="font-size: 16px;">Use tools such as moving averages and the relative strength index</span></div></td><td colspan="1" rowspan="1" style="border: 1px solid rgb(222, 224, 227); padding: 8px; vertical-align: middle; font-size: 10pt;"><div style="text-align:center" class="ace-line ace-line old-record-id-QfHndhr56o8OpTx26RGuNhHtsUe"><span style="font-size: 16px;">Helps assess price trends and entry timing, but requires more market experience and time commitment</span></div></td><td colspan="1" rowspan="1" style="border: 1px solid rgb(222, 224, 227); padding: 8px; vertical-align: middle; font-size: 10pt;"><div style="text-align:center" class="ace-line ace-line old-record-id-NVTMdSOEmoA6m5xYb56udKDts3n"><span style="font-size: 16px;">High</span></div></td></tr><tr style="height:39px;"><td colspan="1" rowspan="1" style="border: 1px solid rgb(222, 224, 227); padding: 8px; vertical-align: middle; font-size: 10pt;"><div style="text-align:center" class="ace-line ace-line old-record-id-QK1Adtyh4ohGeQxjp61ud1wmsjb"><span style="font-size: 16px;">Market Order Trading</span></div></td><td colspan="1" rowspan="1" style="border: 1px solid rgb(222, 224, 227); padding: 8px; vertical-align: middle; font-size: 10pt;"><div style="text-align:center" class="ace-line ace-line old-record-id-KPz5dNFzCovRJSxiutGuHJBgsye"><span style="font-size: 16px;">Use market orders for immediate execution</span></div></td><td colspan="1" rowspan="1" style="border: 1px solid rgb(222, 224, 227); padding: 8px; vertical-align: middle; font-size: 10pt;"><div style="text-align:center" class="ace-line ace-line old-record-id-P9DHdBPJvo55tXxzp6OuwCYts8g"><span style="font-size: 16px;">Executes immediately at the current market price, with fast execution but no price control</span></div></td><td colspan="1" rowspan="1" style="border: 1px solid rgb(222, 224, 227); padding: 8px; vertical-align: middle; font-size: 10pt;"><div style="text-align:center" class="ace-line ace-line old-record-id-Ypeid5FkNopRf5xfdEzuAl42sCc"><span style="font-size: 16px;">Medium to High</span></div></td></tr><tr style="height:39px;"><td colspan="1" rowspan="1" style="border: 1px solid rgb(222, 224, 227); padding: 8px; vertical-align: middle; font-size: 10pt;"><div style="text-align:center" class="ace-line ace-line old-record-id-OrqvdfxYPoDZGvx1SodunM3Csie"><span style="font-size: 16px;">Limit Order Trading</span></div></td><td colspan="1" rowspan="1" style="border: 1px solid rgb(222, 224, 227); padding: 8px; vertical-align: middle; font-size: 10pt;"><div style="text-align:center" class="ace-line ace-line old-record-id-BhNgdzs59oNxEixhpw7uMLFrs2o"><span style="font-size: 16px;">Set a target price and wait for execution</span></div></td><td colspan="1" rowspan="1" style="border: 1px solid rgb(222, 224, 227); padding: 8px; vertical-align: middle; font-size: 10pt;"><div style="text-align:center" class="ace-line ace-line old-record-id-BH0IdwQBkoaaUoxe48mu2qrVsng"><span style="font-size: 16px;">Allows precise control over the execution price, but the order may not be filled</span></div></td><td colspan="1" rowspan="1" style="border: 1px solid rgb(222, 224, 227); padding: 8px; vertical-align: middle; font-size: 10pt;"><div style="text-align:center" class="ace-line ace-line old-record-id-FhIndPngooU1zFxSXtYujXh1s9M"><span style="font-size: 16px;">Medium</span></div></td></tr></tbody></table></div><div class="ace-line ace-line old-record-id-IgoidMPuYoA0Z4xV0r3uzd90sRd"><span style="font-size: 16px;"><br></span></div><h2 class="heading-2 ace-line old-record-id-TaTjditYhoUtKmxSsMhulVBksXb"><strong>3. Key Factors in US Stock Selection</strong></h2><div class="ace-line ace-line old-record-id-SxiddmqoIoYTQDxqx6BuATzxsig"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-BIEAdlMnNoMCAMxgRHyui38Wshc"><span style="font-size: 16px;">Fundamental analysis</span></h3><ul start="1" class="list-bullet1"><li class="ace-line ace-line old-record-id-Oju6dFRtgoFoRyxBMpjunKassEb" data-list="bullet"><div><span style="font-size: 16px;"><strong>Financial health:</strong> Pay attention to indicators such as revenue growth, profitability, and debt ratio.</span></div></li><li class="ace-line ace-line old-record-id-IFjEd2xM5ozPVpxz06SuvsXasob" data-list="bullet"><div><span style="font-size: 16px;"><strong>Competitive advantage:</strong> Evaluate the company's industry position and moat.</span></div></li><li class="ace-line ace-line old-record-id-KBoFdZUd3oql6FxMCwOuqeeysyf" data-list="bullet"><div><span style="font-size: 16px;"><strong>Management quality:</strong> A strong management team supports long-term business development.</span></div></li><li class="ace-line ace-line old-record-id-DxfodAgzdo3txJxBHunupekgs8d" data-list="bullet"><div><span style="font-size: 16px;"><strong>Industry outlook:</strong> Choose industries that are in a growth cycle.</span></div></li></ul><div class="ace-line ace-line old-record-id-AvendvceYokRWDxIlupupxD1sph"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-MAftdjKcvoBQPhxovQKunPfgsng"><span style="font-size: 16px;">Risk control principles</span></h3><ul start="1" class="list-bullet1"><li class="ace-line ace-line old-record-id-H1ardb7cpoKOEKxBa32uRXkSs9g" data-list="bullet"><div><span style="font-size: 16px;"><strong>Diversification:</strong> Do not concentrate all funds in a single stock or sector.</span></div></li><li class="ace-line ace-line old-record-id-B5tzdsCeQofu6lxjMaKuYiGDs1e" data-list="bullet"><div><span style="font-size: 16px;"><strong>Stop-loss settings:</strong> Determine the maximum acceptable loss ratio in advance.</span></div></li><li class="ace-line ace-line old-record-id-Cs1IdhlTDoutdrxdFowuIRi5s2b" data-list="bullet"><div><span style="font-size: 16px;"><strong>Position management:</strong> Allocate funds reasonably based on your risk tolerance.</span></div></li></ul><div class="ace-line ace-line old-record-id-WPRQdwzP9ouiYQxWC4nuW9EUs4b"><span style="font-size: 16px;"><br></span></div><h2 class="heading-2 ace-line old-record-id-GVNxdDpicolXgaxpNInumyqbsOh"><strong>4. Practical Tips for Beginners Investing in US Stocks</strong></h2><div class="ace-line ace-line old-record-id-JUOHdjjNeou6QexyXwDuu34msoh"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-HSTtdWVstoXsG9xCXdeuW9RJs1g"><span style="font-size: 16px;"><strong>1. Start with familiar industries:</strong> Choose industries and companies you understand. Familiarity can help you better assess company value.</span></div><div class="ace-line ace-line old-record-id-S929dsE09ouw6CxBpWLuOWVwsVe"><span style="font-size: 16px;"><strong>2. Focus on industry leaders:</strong> Leading companies in each sector usually have stronger resilience and stability.</span></div><div class="ace-line ace-line old-record-id-UI0FdtWDsoZk83xqwFyukgQlssc"><span style="font-size: 16px;"><strong>3. Keep learning about the market:</strong> Understand trading rules, learn how to read financial reports, follow economic indicators, and track industry developments.</span></div><div class="ace-line ace-line old-record-id-QvQTdMKT0owpqmxUqwSuocZWsce"><span style="font-size: 16px;"><strong>4. Control your investment pace:</strong> Build positions gradually through regular fixed-amount investing to smooth out market volatility risk.</span></div><div class="ace-line ace-line old-record-id-WD6TdIP6Ao9OazxDrwsuSrIms3d"><span style="font-size: 16px;"><br></span></div><h2 class="heading-2 ace-line old-record-id-D3H5dTfGBon1SJxDQ5iu7UrpsVd"><strong>5. FAQ on Choosing US Stocks for Beginners</strong></h2><div class="ace-line ace-line old-record-id-LV8Ldmws0o5cxZxqr2IunJb7s3e"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-CFaUdjhw7o5YO7x6uWruhtd0swb"><span style="font-size: 16px;">5.1 How much money do I need to start investing in US stocks?</span></h3><div class="ace-line ace-line old-record-id-T9xtdenXwo7yJjxTZxuuZycFsW9"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-RaW8dMFJAozO09xtVLRu9Tk8sgg"><span style="font-size: 16px;">Through MEXC's partner licensed broker, the entry threshold for US stock investing has been significantly lowered, with trading starting from 1 share.</span></div><div class="ace-line ace-line old-record-id-CPzQd8zCpoXXK9xF7oluukFosJh"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-FxT4dIoJpoxRv6xlD2Pua9jOsTg"><span style="font-size: 16px;">5.2 How do I judge whether a stock is worth buying?</span></h3><div class="ace-line ace-line old-record-id-LXvPdg5QVohAIfxXzwVuhOo1scd"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-KadAdbg14oXaZnxNplNuNzCOsYe"><span style="font-size: 16px;">You can evaluate a stock from multiple dimensions, including financial indicators such as P/E ratio, revenue growth, and net profit margin, as well as industry position, competitive advantage, growth potential, and valuation level. There is no single standard, so a comprehensive assessment is needed.</span></div><div class="ace-line ace-line old-record-id-NAt0dSbKVoDYrqxcVCxuTxwes6c"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-Xcw5djbIqoPxf2xu2kwuKAJmsAd"><span style="font-size: 16px;">5.3 What determines a stock's price?</span></h3><div class="ace-line ace-line old-record-id-T03oddxtYoKrRhxYMrnuhAl1sUc"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-Y8mVdlgBTof1uqxvYX1uKDkcsWb"><span style="font-size: 16px;">Stock prices are determined by supply and demand, but they are affected by multiple factors, including company fundamentals such as profitability and growth, industry trends, the macroeconomic environment, market sentiment, and capital flows. In the long term, company value is the foundation of stock prices.</span></div><div class="ace-line ace-line old-record-id-SBL2dI0YWoFI8wxFu3Vuv8yHsTc"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-Ata5dXrtDo8OQDx1FOTuN4mcsbc"><span style="font-size: 16px;">5.4 How do I make my first US stock trade through MEXC?</span></h3><div class="ace-line ace-line old-record-id-Jg8ad9VV9obh5FxjIBZu4pzTso1"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-FeQddcEDHoJsEcxrNysuMKFjsqb"><span style="font-size: 16px;">First, complete the account opening process through MEXC's partner licensed broker. After depositing funds, transfer them to your RealStocks Account. On the trading interface, search for the ticker of the stock you want to buy, choose an appropriate order type, such as a market order or limit order, enter the purchase quantity, then confirm and submit the order.</span></div><div class="ace-line ace-line old-record-id-E1C3dbGzOoESwnxGMdcuT79qspc"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-K99hdYJnBoJAmOxUWZCujInZsQh"><span style="font-size: 16px;">5.5 How many stocks should I hold for diversification?</span></h3><div class="ace-line ace-line old-record-id-JnO4dOa7Ro7CUaxhv1CuGIVmsUn"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-Se2gd804noxEZtxRN8tuL2fKssf"><span style="font-size: 16px;">It is generally recommended to hold 5 to 15 stocks across different industries. This can help diversify risk without making the portfolio too difficult to manage. For investors with smaller capital amounts, holding 3 to 8 stocks may be more appropriate.</span></div><div class="ace-line ace-line old-record-id-Veifd4z3xoSukwxtoRtujvdgsJg"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-HtCsdGF3poRG3TxsQg5uXbRcsHg"><span style="font-size: 16px;">Investing in US stocks is a systematic learning process that requires investors to continuously build knowledge and experience. Through MEXC's partner licensed broker, beginner investors can access the US stock market more conveniently and use the tools and resources provided by the platform to support their investment decisions.</span></div><div class="ace-line ace-line old-record-id-FKuQdTxj6ojhcqx4MFxuUI9zshg"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-I99HdPaLroxNxDxXUZzup2q3sxe"><span style="font-size: 16px;">Recommended Reading:</span></h3><ul start="1" class="list-bullet1"><li class="ace-line ace-line old-record-id-NpWCdjXIfoSTYexeICMuY7a0sob" data-list="bullet"><div><a data-lark-is-custom="true" href="https://www.mexc.com/learn/article/17827791535795" style="font-size: 16px;">What Is RealStocks?</a></div></li><li class="ace-line ace-line old-record-id-Mmt2dqabqoREUQxqhY2uePTMs4d" data-list="bullet"><div><a href="https://www.mexc.com/support/article/realstocks-trading-faq-382924861612411904" data-lark-is-custom="true" style="font-size: 16px;">RealStocks Trading FAQ</a></div></li><li class="ace-line ace-line old-record-id-IwHTdJvZEoNw7rxOBUJuYWmIsmd" data-list="bullet"><div><a href="https://www.mexc.com/support/article/common-us-stock-order-types-explained-369454005926051840" data-lark-is-custom="true" style="font-size: 16px;">Common US Stock Order Types Explained</a></div></li><li class="ace-line ace-line old-record-id-QouAdyLMKo6dylxzAcKubMPIsYb" data-list="bullet"><div><a href="https://www.mexc.com/support/article/key-economic-events-impacting-the-us-stock-market-370641117706798080" data-lark-is-custom="true" style="font-size: 16px;">Key Economic Events Impacting the US Stock Market</a></div></li><li class="ace-line ace-line old-record-id-F2djdBGWqoWrc7xMhLru3XQDsve" data-list="bullet"><div><a href="https://www.mexc.com/support/article/a-guide-to-us-pre-market-and-after-hours-trading-369385243499642880" data-lark-is-custom="true" style="font-size: 16px;">A Guide to US Stock Pre-Market and After-Hours Trading: Trading Hours, Rules, and Risk Management</a></div></li></ul><div class="ace-line ace-line old-record-id-R08ddWAKUo3KgaxXAOnum088s3f"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-UQLMdwsseoR99JxGrPbubsr0s7b"><strong style="font-size: 16px;">Disclaimer:</strong></div><div class="ace-line ace-line old-record-id-D71cdIgKWoz8z1xPdMzuemt4sch"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-LLH8dtgpSou41Rx1RhauZlmYsdh"><span style="font-size: 16px;">The information provided herein is for informational and educational purposes only and does not constitute financial, investment, tax, or legal advice. MEXC is not a registered investment advisor or broker-dealer. All investment strategies and investments involve risk of loss. Any content contained herein should not be relied upon as advice or construed as providing recommendations of any kind. Always conduct your own research and consult with a licensed financial professional before making any investment decisions.</span></div><div class="ace-line ace-line old-record-id-FUJvdWEliorfzixlyN3ut7SMs0d"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-JHQwdB0X8oGcncxlWaSub2jrstd"><span style="font-size: 16px;">By participating in these investment activities, you risk losing ALL OR SUBSTANTIALLY ALL OF YOUR ASSETS. Please understand and evaluate the risk of trading and assess your risk tolerance carefully before conducting any trading or investment activities.</span></div></div>lg...

<div data-page-id="DdY1dD61modSh4x8tMhu90xYstb" data-lark-html-role="root" data-docx-has-block-data="false"><h2 class="heading-2 ace-line old-record-id-Fdp2dSgU0oxJsrxNOpAum2UosUb"><strong>Key Takeaways</strong></h2><ul start="1" class="list-bullet1"><li class="ace-line ace-line old-record-id-UTORdWQocogeVixGet7uk1dLs4d" data-list="bullet"><div><span style="font-size: 16px;"><strong>Market order:</strong> Executed immediately at the best available market price. It offers fast execution but no price control and is only available during regular trading hours.</span></div></li><li class="ace-line ace-line old-record-id-NE0fdCtJUocb3SxzA3KuSi9IsMf" data-list="bullet"><div><span style="font-size: 16px;"><strong>Limit order:</strong> Allows investors to specify their desired execution price. It offers price control but does not guarantee execution, making it suitable for cost-sensitive traders.</span></div></li><li class="ace-line ace-line old-record-id-UjNpdZN5PofLqWx7NeNuZrrVstb" data-list="bullet"><div><span style="font-size: 16px;"><strong>Stop order:</strong> Automatically converts into a market order once the preset trigger price is reached. It is used to limit losses or protect profits and is an important risk management tool.</span></div></li><li class="ace-line ace-line old-record-id-W6gxdJmADoOidlxGN4JuzaESsyc" data-list="bullet"><div><span style="font-size: 16px;"><strong>Stop-limit order:</strong> Combines stop and limit order features. After being triggered, it is executed as a limit order, offering more precise price control but carrying the risk of non-execution.</span></div></li><li class="ace-line ace-line old-record-id-H3JVdHYlpo49glxrWMHuvxw9sQg" data-list="bullet"><div><span style="font-size: 16px;"><strong>Trailing stop order:</strong> The stop price automatically adjusts as the stock price moves in a favorable direction, making it suitable for dynamically locking in profits during an uptrend.</span></div></li></ul><div class="ace-line ace-line old-record-id-Z5xBdmU3Woix1jx2X4Quq9tcsAd"><span style="font-size: 16px;"><br></span></div><h2 class="heading-2 ace-line old-record-id-BKFJdYm2OoAiKRxysY0uIZ4JsHe"><strong>1. Overview of US Stock Order Types</strong></h2><div class="ace-line ace-line old-record-id-OtMndQ4i1onnZKxDoUIuiEyesCb"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-XUsvdCfoSo5DRVxpjc1uqBU6sWc"><span style="font-size: 16px;">The US stock market offers multiple order types, allowing investors to choose suitable order methods based on different trading strategies and risk preferences. This article introduces five of the most common order types and their use cases.</span></div><div class="ace-line ace-line old-record-id-EvOMdZCRPoshc5xUK70uceAtsKd"><span style="font-size: 16px;"><br></span></div><h2 class="heading-2 ace-line old-record-id-IGTNdxC7PorhD5xldKRuIzwNsoW"><strong>2. Market Order: Execution First</strong></h2><div class="ace-line ace-line old-record-id-I31vdxr06osXtaxaINKumTissze"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-FdnzdHDVkoonJXxOlqaulH7dske"><span style="font-size: 16px;">A market order is executed immediately at the best available market price, making it the preferred choice for investors who prioritize fast execution. Investors only need to enter the order quantity without specifying a price, and the system will automatically match the order.</span></div><div class="ace-line ace-line old-record-id-KUcsdnuEzoR6f2x8kX3uSwiQsZd"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-HsFXdN08Vo33C1x8urfu8e2vsih"><span style="font-size: 16px;"><strong>Use cases:</strong> When major positive or negative news appears in the market and investors need to enter or exit quickly, a market order can help ensure timely execution. Market orders work best for popular stocks with strong liquidity.</span></div><div class="ace-line ace-line old-record-id-YBQJdQV7SobMEFx5qr3um2tqsFb"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-YnDpdCEfLoKl6jxTQfBuqAJvsWd"><span style="font-size: 16px;"><strong>Notes:</strong> Market orders are only available during regular trading hours and do not allow price control. During periods of sharp market volatility, the actual execution price may differ significantly from expectations.</span></div><div class="ace-line ace-line old-record-id-RUkgdH7mLoyyChxUPiMusQgxsxb"><span style="font-size: 16px;"><br></span></div><h2 class="heading-2 ace-line old-record-id-NlSedk7yJoY1Byxu9nCuulJmsZc"><strong>3. Limit Order: Price First</strong></h2><div class="ace-line ace-line old-record-id-CuyDdcwf1okFiyxHRWNuVH4FsWg"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-UtZ8dvecJoBduOxxHiGuLdrNsHe"><span style="font-size: 16px;">A limit order allows investors to specify their desired execution price. A buy limit order is set below the current market price, while a sell limit order is set above the current market price. The order will only be executed when the market price reaches the specified price or a better price.</span></div><div class="ace-line ace-line old-record-id-FeaNdITUdoUDLixlGrkuP4xKsKd"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-LDoOdjBqUofb47x8F0KuYNDysbh"><span style="font-size: 16px;"><strong>Use cases:</strong> When investors have a clear price target and are willing to wait for the right opportunity, a limit order is the preferred choice. It is especially suitable for long-term investors and cost-sensitive traders.</span></div><div class="ace-line ace-line old-record-id-Dhg6dy8sUoAB1NxSv8JuAChls0g"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-EFSfdPLnJoNoerxLpoMu29uFsIc"><span style="font-size: 16px;"><strong>Notes:</strong> Limit orders do not guarantee execution. If the market price never reaches the specified level, the order may not be filled.</span></div><div class="ace-line ace-line old-record-id-QP3SdmTeKovYlwxdqPRudSIasVf"><span style="font-size: 16px;"><br></span></div><h2 class="heading-2 ace-line old-record-id-VQdMd6O9To5X3MxStqdutpX5sUM"><strong>4. Stop Order: A Powerful Risk Management Tool</strong></h2><div class="ace-line ace-line old-record-id-SwwtdLYvForoO4xvj8OuKWc7sxc"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-ELQ2diErVophAZxG9uruQzX2sRW"><span style="font-size: 16px;">A stop order is an important tool for protecting an investment portfolio. Investors set a trigger price in advance. When the stock price reaches that level, the system automatically converts the order into a market order for execution. A sell stop order is used to limit losses or protect profits, while a buy stop order can be used to buy into a stock when the price breaks above a key level.</span></div><div class="ace-line ace-line old-record-id-Alcsdmh0LoEpVYxH8c1uIiuesrd"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-LIPQdz6vuoNnGTxKoiRuNZgDsTd"><span style="font-size: 16px;"><strong>Example:</strong> Suppose an investor buys a stock at $430. To prevent a sharp decline from causing major losses, they can set a sell stop order at $400. Once the stock price falls to $400, the system will automatically sell at the market price to prevent further losses.</span></div><div class="ace-line ace-line old-record-id-UeHtdJR98o7hQNx8u0KuH6kTsse"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-VjLad2AjHoWuFVxMct1um4SEsqg"><span style="font-size: 16px;"><strong>Notes:</strong> During market gaps or extreme volatility, the actual execution price of a stop order may differ significantly from the preset trigger price. The stop price should not be set too close to the current market price, as normal price fluctuations may trigger the order unintentionally.</span></div><div class="ace-line ace-line old-record-id-PlsYdXatVo6gYJxgarpuwjYLskN"><span style="font-size: 16px;"><br></span></div><h2 class="heading-2 ace-line old-record-id-W7wGdACuqotYFUxQmYbu9vras0E"><strong>5. Stop-limit Order: More Precise Execution Price Control</strong></h2><div class="ace-line ace-line old-record-id-XYJRdh459o27PsxNf9DuNko7sXM"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-YFMudFoM4okvZHxWAXmuepfpshz"><span style="font-size: 16px;">A stop-limit order combines the features of a stop order and a limit order. Investors need to set both a stop price and a limit price. When the stock price reaches the stop price, the order becomes a limit order instead of a market order, allowing investors to control the execution price more precisely.</span></div><div class="ace-line ace-line old-record-id-GqNddnCdto62vSxWByJuD89jsXe"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-F4IRdt5fAodXssxEeveu9Ur1sfe"><span style="font-size: 16px;"><strong>Example:</strong> Suppose a stock is currently trading at $430. An investor sets a stop price of $400 and a limit price of $395. When the stock price falls to $400, the order is triggered and will be executed only at $395 or above.</span></div><div class="ace-line ace-line old-record-id-SHE9dBVUoouiG2xI2NeuiK9msjf"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-WU7zdwmp2oRKnMx05vauJ1Ytsih"><span style="font-size: 16px;"><strong>Notes:</strong> If the market is highly volatile and the limit range is too narrow, the order may be triggered but fail to execute. A reasonable gap should be maintained between the stop price and the limit price.</span></div><div class="ace-line ace-line old-record-id-NhVHdfzUyouaaZx5IuJuzhJIsgh"><span style="font-size: 16px;"><br></span></div><h2 class="heading-2 ace-line old-record-id-RBgpd2Imso7MKrx6ok5uWYGysFf"><strong>6. Trailing Stop Order: Dynamically Locking in Profits</strong></h2><div class="ace-line ace-line old-record-id-S9YFdOxRBon695x1pd1ud1wdsme"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-PAsGdrwGFoY4qKxgcmlux1UpsSf"><span style="font-size: 16px;">A trailing stop order is an upgraded version of a stop order. Its stop price automatically adjusts as the stock price moves in a favorable direction. Investors can set either a fixed amount or a percentage as the trailing amount.</span></div><div class="ace-line ace-line old-record-id-VutHddxAMobHVrxgKSTu6I8Ys9g"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-OlI5dLIzBooniQxHxrAufSSDsye"><span style="font-size: 16px;"><strong>How it works:</strong> Suppose an investor buys a stock at $150 and sets a $2 trailing stop. When the stock price rises to $160, the stop price automatically adjusts to $158. If the stock continues rising to $175, the stop price adjusts to $173. If the stock then pulls back to $173, the system automatically triggers a sell order.</span></div><div class="ace-line ace-line old-record-id-Kg9ZdC1sEoQe6txhvloufyUcs5f"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-GdrHdGKTYoHDRYxJmibuiwm8sUK"><span style="font-size: 16px;"><strong>Use cases:</strong> Trailing stop orders are especially suitable for locking in profits during an uptrend. They allow investors to benefit from continued price gains while helping investors exit if price reverses if the trend reverses.</span></div><div class="ace-line ace-line old-record-id-JbTddqABKohCDUxuiJHudqQhsPe"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-Cq22dIwlEo0OZFxs7ICu4v3DsZg"><span style="font-size: 16px;">*BTN- <strong>Trade RealStocks</strong>&amp;BTNURL=<span style="color:rgb(100,37,208)"><u><a data-lark-is-custom="true" href="https://www.mexc.com/trade-stocks">https://www.mexc.com/trade-stocks</a></u></span>*</span></div><div class="ace-line ace-line old-record-id-LklwdBMzroTIioxKgrNubfUnskb"><span style="font-size: 16px;"><br></span></div><h2 class="heading-2 ace-line old-record-id-ARyGdBHIboXhNwxJvZluTzWyslc"><strong>7. Frequently Asked Questions About US Stock Orders</strong></h2><div class="ace-line ace-line old-record-id-AOnSd6isnoNWK4xVrVLu1Wj5sCg"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-WqmAdQzRCojaGGxrV9bud1NXs9b"><span style="font-size: 16px;">7.1 Which is better, a market order or a limit order?</span></h3><div class="ace-line ace-line old-record-id-Px3vdjk2Mo7BHjxc1rMuTtkEsjg"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-QZWodOU0Rop95KxhBkJu9AJusnj"><span style="font-size: 16px;">It depends on your trading objective. Choose a market order if you prioritize fast execution, and choose a limit order if you prioritize price control. Beginner investors can start by learning limit orders.</span></div><div class="ace-line ace-line old-record-id-H03SdrbKZoFS9Cxo0Pxuc9ntsLe"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-EWECd0sdSowWTCx5SbLuJWqusPb"><span style="font-size: 16px;">7.2 Will a limit order remain valid forever?</span></h3><div class="ace-line ace-line old-record-id-W5qOd3xHwox84dxnjkAunDYwsdd"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-Ek7ddvkWHoNLfexS5QfuopBisJe"><span style="font-size: 16px;">It depends on the order validity setting. Day orders automatically expire after the market closes, while good-till-canceled orders usually remain valid for 60 to 90 days, subject to platform rules.</span></div><div class="ace-line ace-line old-record-id-CW47dgEOaou5eHx3lZlulsNgsMd"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-NCyNdqrTko6iWQxUahEuO8OasMd"><span style="font-size: 16px;">7.3 Which order type should beginners use?</span></h3><div class="ace-line ace-line old-record-id-PWI0d1ALUoj5XqxW52zunpWwsqb"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-WA2Adqx83ok3EAxAyFxud75Rs1d"><span style="font-size: 16px;">Beginners can start with the two basic order types: market orders and limit orders. After mastering them, they can gradually learn more advanced order types such as stop orders and stop-limit orders. Investors can become familiar with different order types through actual trading and gradually improve their trading skills.</span></div><div class="ace-line ace-line old-record-id-RW7pdrLbwoxgqBx81KMuIjAJs3g"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-AYBJdt5sJoNms1xo63fuy1TIsF8"><span style="font-size: 16px;">7.4 What is the difference between a stop order and a limit sell order?</span></h3><div class="ace-line ace-line old-record-id-OREwd2yWZow5ROxGCx7uDYlhsac"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-E9KidvrN5oP3eSx60cdud9Svs4e"><span style="font-size: 16px;">A stop order is executed as a market order after being triggered, so it has a higher chance of execution but an uncertain execution price. A limit sell order is only executed at the specified price or better, offering price control but carrying the risk of non-execution due to queue priority or insufficient liquidity.</span></div><div class="ace-line ace-line old-record-id-ZSZhdAUFGoY5OPxExIVuIaAHsHt"><span style="font-size: 16px;"><br></span></div><h2 class="heading-2 ace-line old-record-id-B4qDdDwMsoeykWxIBhWuTpmKsBb"><span style="font-size: 16px;">Recommended Reading:</span></h2><ul start="1" class="list-bullet1"><li class="ace-line ace-line old-record-id-X67Sd18gQouKFPx9dBDuxdRxsFd" data-list="bullet"><div><a data-lark-is-custom="true" href="https://www.mexc.com/learn/article/17827791535795" style="font-size: 16px;">What Is RealStocks?</a></div></li><li class="ace-line ace-line old-record-id-JnHqdEF7aoiL0Ox4q3JuiPgAsTg" data-list="bullet"><div><a href="https://www.mexc.com/support/article/realstocks-trading-faq-382924861612411904" data-lark-is-custom="true" style="font-size: 16px;">RealStocks Trading FAQ</a></div></li><li class="ace-line ace-line old-record-id-MVgBdqHW6oXnaux4wZnuUP60seK" data-list="bullet"><div><a href="https://www.mexc.com/support/article/us-stock-market-order-faq-369452442557956096" data-lark-is-custom="true" style="font-size: 16px;">US Stock Market Order FAQ</a></div></li><li class="ace-line ace-line old-record-id-CqvqdxLm2ozDGDx1PAUueoHmsQh" data-list="bullet"><div><a href="https://www.mexc.com/support/article/us-stock-limit-order-faq-369453267191677952" data-lark-is-custom="true" style="font-size: 16px;">US Stock Limit Order FAQ</a></div></li><li class="ace-line ace-line old-record-id-HExudJ9nmoH0fIx16mMuQePzsac" data-list="bullet"><div><a href="https://www.mexc.com/support/article/how-to-choose-the-right-us-stocks-for-you-370640610900656128" data-lark-is-custom="true" style="font-size: 16px;">How to Choose the Right US Stocks for You</a></div></li></ul><div class="ace-line ace-line old-record-id-H2f6dyXR7oqvVKxvrU1uWjaksCf"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-TFlIdeeHWoRaHuxBtXKur8H3s6b"><strong style="font-size: 16px;">Disclaimer:</strong></div><div class="ace-line ace-line old-record-id-F3Lodpf66ow2RvxDSL2uHcR6sMf"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-LC92dImdeovPYXx6QkMuKUnhs7n"><span style="font-size: 16px;">The information provided herein is for informational and educational purposes only and does not constitute financial, investment, tax, or legal advice. MEXC is not a registered investment advisor or broker-dealer. All investment strategies and investments involve risk of loss. Any content contained herein should not be relied upon as advice or construed as providing recommendations of any kind. Always conduct your own research and consult with a licensed financial professional before making any investment decisions.</span></div><div class="ace-line ace-line old-record-id-Vk07dYPoKoU79FxOGy7ub9vYsRf"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-QZmBd2UaYoBMHGx3Xabu0AVAsrg"><span style="font-size: 16px;">By participating in these investment activities, you risk losing ALL OR SUBSTANTIALLY ALL OF YOUR ASSETS. Please understand and evaluate the risks of trading and assess your risk tolerance carefully before conducting any trading or investment activities.</span></div></div>lg...

<div data-page-id="RUFud3QvboaK1fxEsZauab1ksng" data-lark-html-role="root" data-docx-has-block-data="false"><h2 class="heading-2 ace-line old-record-id-T691dAbjCoegzVxrXOOuOYRhsJd"><strong>Key Takeaways</strong></h2><ul start="1" class="list-bullet1"><li class="ace-line ace-line old-record-id-NWxndSgQooyOCYxtouluK73Qsab" data-list="bullet"><div><span style="font-size: 16px;"><strong>Limit order definition:</strong> A limit order is an instruction to buy or sell a stock at a specific price set by the investor. It will only be executed when the market price reaches the specified price or a better price.</span></div></li><li class="ace-line ace-line old-record-id-FnOod4Elvo6sNIxCGlbudDyEssh" data-list="bullet"><div><span style="font-size: 16px;"><strong>How it works:</strong> A buy limit order is usually set below the current market price, while a sell limit order is usually set above the current market price. Limit orders can be used across all trading sessions, including pre-market and after-hours trading.</span></div></li><li class="ace-line ace-line old-record-id-TfkZdWgqJoX7IoxjYuGuWaF4s8f" data-list="bullet"><div><span style="font-size: 16px;"><strong>Key advantages:</strong> Limit orders offer strong price control, may be executed at a more favorable price than the specified limit price, and are suitable for investors who want to plan trades in advance without monitoring the market all day.</span></div></li><li class="ace-line ace-line old-record-id-H9redXwl2otTDQxSWZRuFOQdsfh" data-list="bullet"><div><span style="font-size: 16px;"><strong>Main drawbacks:</strong> Execution is not guaranteed. If the market price does not reach the specified price, the order may remain open for a long time or only be partially filled.</span></div></li><li class="ace-line ace-line old-record-id-WoAPdWYsyoAiTSx4t55uCxPhsLe" data-list="bullet"><div><span style="font-size: 16px;"><strong>Use cases:</strong> Limit orders are suitable for price-sensitive trading, low-liquidity stocks, and long-term investors who want to build positions patiently.</span></div></li></ul><div class="ace-line ace-line old-record-id-T6yfd6nCnoSKygxl9BwuPcNrseb"><span style="font-size: 16px;"><br></span></div><h2 class="heading-2 ace-line old-record-id-Kwnpdq3wgoy1mxxhXHHuPLYxsRh"><strong>1. What Is a US Stock Limit Order</strong></h2><div class="ace-line ace-line old-record-id-KxH8d8GRdoiKTbxYpOguTgiCswk"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-Rsw3dnsXeo7pxmx4EjquUTjnsBd"><span style="font-size: 16px;">A US stock limit order is an instruction to buy or sell a stock at a specific price set by the investor. Unlike market orders, which prioritize execution speed, limit orders allow investors to set their desired execution price. The order will only be executed when the market price reaches the specified price or a better price. The core advantage of this order type is that it helps investors control trading costs and avoid execution at unfavorable prices.</span></div><div class="ace-line ace-line old-record-id-S4uid4BvZoWnofxr17UuUcNbsGg"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-MmP2dBUURo6YpuxaaKPu3loLsAf"><span style="font-size: 16px;">When trading through MEXC's partner licensed broker, limit orders are also an important tool for risk control and price optimization. By setting limit orders properly, investors can plan their trading strategies in advance and complete trades at their target prices without monitoring the market at all times.</span></div><div class="ace-line ace-line old-record-id-Bpdrd85fIoMjCfxwNmXudY79sRE"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-V8C8dnL64oc9D4xSbMFuPKa7sQg"><span style="font-size: 16px;">*BTN- <strong>Trade RealStocks</strong>&amp;BTNURL=<span style="color:rgb(100,37,208)"><u><a data-lark-is-custom="true" href="https://www.mexc.com/trade-stocks">https://www.mexc.com/trade-stocks</a></u></span>*</span></div><div class="ace-line ace-line old-record-id-NQM6d9bxTohoBNx5qYtuhteOscD"><span style="font-size: 16px;"><br></span></div><h2 class="heading-2 ace-line old-record-id-GRJ2dyUePo85NZxai24uaVGGs8d"><strong>2. How Do Limit Orders Work</strong></h2><div class="ace-line ace-line old-record-id-QGRmd4E5lokumWxqUEAuK3Vuseg"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-UWwTducD9ogatFxC9ncuPNBmsjf"><span style="font-size: 16px;"><strong>Buy limit order:</strong> The specified price is usually set below the current market price. For example, if a stock is currently trading at $190 and an investor believes $180 is a suitable entry price, they can place a buy limit order at $180. The order will only be executed when the stock price falls to $180 or lower. The investor may even buy at a better price.</span></div><div class="ace-line ace-line old-record-id-HsdNd77FeouCzZxuinguoeJmsBd"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-EMvhdHoqeonDQaxjQgLupzkEsab"><span style="font-size: 16px;"><strong>Sell limit order:</strong> The specified price is usually set above the current market price. If an investor holds a stock currently trading at $200 but wants to sell it at $210 to capture more profit, they can place a sell limit order at $210. The order will only be executed when the stock price rises to $210 or higher.</span></div><div class="ace-line ace-line old-record-id-J8emdzxMYoFD5hxQ9IZuuCPcsab"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-RXkPdqYUNoht25xfV6wuA7QMslb"><span style="font-size: 16px;">One major advantage of limit orders is that they can be used across all trading sessions, including pre-market and after-hours trading. This makes them more flexible than market orders, which are only available during regular trading hours.</span></div><div class="ace-line ace-line old-record-id-TjAjdw0gLogciXxS3R3uUMvys2d"><span style="font-size: 16px;"><br></span></div><h2 class="heading-2 ace-line old-record-id-ZPdzd1T82oilDJx9ECiuaf1Ss8g"><strong>3. Advantages and Disadvantages of Limit Orders</strong></h2><div class="ace-line ace-line old-record-id-SDDLdD2bsoxNlzxFCKCuPzFrskf"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-Pi98drBL8ow0zUx1h1wu3CDisRb"><strong style="font-size: 16px;">Key advantages:</strong></div><div class="ace-line ace-line old-record-id-RugldEIN5oM8FdxlfQouXKQEsVe"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-IbF2d0yDtogQBBxuOWwu4ndksuf"><span style="font-size: 16px;">The biggest advantage of a limit order is strong price control. Investors can trade at their desired price and avoid the risk of buying too high or selling too low. Limit orders may also result in positive slippage, meaning the order is executed at a better price than the specified price, creating additional value for the investor.</span></div><div class="ace-line ace-line old-record-id-OieedmFZToUsAjxlLYmujLcXsVe"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-BkDVdAJRjooBMUxOfzmuhO33syq"><span style="font-size: 16px;">In addition, limit orders allow investors to set up trading plans in advance. There is no need to watch the market constantly, as the system will automatically execute the order once the target price is reached. This makes limit orders especially suitable for investors who cannot monitor the market throughout the day.</span></div><div class="ace-line ace-line old-record-id-Gp5FdbNyzouxFXx41b4u3dPksFg"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-KIgwdkXYqorQP9xU1nMugbrRsEd"><strong style="font-size: 16px;">Main disadvantages:</strong></div><div class="ace-line ace-line old-record-id-RLgHdYbCOoOqXBxUo7NuLyPFsFf"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-OUYSdk5IGovk3BxPycZuNWkZsDd"><span style="font-size: 16px;">The most obvious drawback of a limit order is that execution is not guaranteed. If the market price never reaches the specified level, the order may remain unfilled for a long time, and the investor may miss the trading opportunity. For example, if an investor sets an overly optimistic low buy price but the stock price keeps rising without pulling back, they may fail to buy the desired stock.</span></div><div class="ace-line ace-line old-record-id-ZyYVdsHnboXFyPx1EKgub42Ps8d"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-LlOsdSArsolKDWxlkxNugTWQsZc"><span style="font-size: 16px;">In markets with insufficient liquidity, even if the price reaches the specified level, the limit order may only be partially filled and may not complete the full intended trading quantity.</span></div><div class="ace-line ace-line old-record-id-NRzWdWgD4osckzxpCkguapBbsxf"><span style="font-size: 16px;"><br></span></div><h2 class="heading-2 ace-line old-record-id-UivSdMigUooGS2xAhVtulgHBsBf"><strong>4. When to Use Limit Orders</strong></h2><div class="ace-line ace-line old-record-id-WEcJd1YMroZjssxDYi2uP0V7sof"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-Ig6QdlKDhokp9Bx4iwhuOAtRsEg"><span style="font-size: 16px;">Limit orders are most suitable for the following scenarios:</span></div><div class="ace-line ace-line old-record-id-NnGJdebbGoRTAaxr7vuu5eAzsTf"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-XStPdq1Pioi0CBxnmdPurbY5sAb"><span style="font-size: 16px;"><strong>Price-sensitive trading:</strong> When investors have a clear target execution price and are not in a hurry to buy or sell immediately, a limit order is the preferred choice.</span></div><div class="ace-line ace-line old-record-id-ZqZFd3pB0oNZeOxz9Afu2sJ6sfe"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-Mue0dXoG7oIKpxxf2pGuaDXVsvf"><span style="font-size: 16px;"><strong>Trading low-liquidity stocks:</strong> For stocks with lower trading volume, price fluctuations may be larger. Using limit orders can help prevent unfavorable execution caused by insufficient liquidity.</span></div><div class="ace-line ace-line old-record-id-U54fd6WR2ogERLx0CXHuVeMasUd"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-LSkJd2EwZoShU7x0XuEuinDeskb"><span style="font-size: 16px;"><strong>Long-term position building:</strong> For long-term investors who follow a value investing approach, limit orders can help them patiently build positions at desired prices and avoid chasing prices higher.</span></div><div class="ace-line ace-line old-record-id-H6FedPdKsoOP6MxAAFBuZhaAsZe"><span style="font-size: 16px;"><br></span></div><h2 class="heading-2 ace-line old-record-id-JeSadMe8YoTvD3xTfliuEeLJsuy"><strong>5. How to Use Limit Orders</strong></h2><div class="ace-line ace-line old-record-id-JSZ7dYvI7ob7v8xXp7Nuq8musC3"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-MWXxdth8Uod9bTxUIGMuu1Uksff"><span style="font-size: 16px;">For investors, especially beginners and small-sized traders, limit orders may help manage execution prices more effectively. Investors can wait for the market to reach their target price rather than executing immediately at prevailing prices.</span></div><div class="ace-line ace-line old-record-id-PnNndxwBWoUoovxjGINujxvQsqc"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-BKLGdwPtToEs8zx1JFUujk0ysD9"><span style="font-size: 16px;">When setting a limit order, investors should consider the stock's historical price range and current market conditions to determine a reasonable target price. If the specified price is too idealistic, the order may remain unfilled for a long time. Investors can adjust their expectations based on actual market conditions.</span></div><div class="ace-line ace-line old-record-id-PXWLdAqMAopYSbxJvG2uQ89QsZw"><span style="font-size: 16px;"><br></span></div><h3 class="heading-3 ace-line old-record-id-FbOzdzOK2oE1AJxpr2CuCK6Ssmg"><span style="font-size: 16px;">Recommended Reading:</span></h3><ul start="1" class="list-bullet1"><li class="ace-line ace-line old-record-id-FHf1dStXfo8EuMxl1lcuCRAlsod" data-list="bullet"><div><a data-lark-is-custom="true" href="https://www.mexc.com/learn/article/17827791535795" style="font-size: 16px;">What Is RealStocks?</a></div></li><li class="ace-line ace-line old-record-id-YP6HdQhkHoElv4xjrOCuPW6Wswc" data-list="bullet"><div><a href="https://www.mexc.com/support/article/realstocks-trading-faq-382924861612411904" data-lark-is-custom="true" style="font-size: 16px;">RealStocks Trading FAQ</a></div></li><li class="ace-line ace-line old-record-id-GzgBdJmlioGqkcxrP4jureY5shc" data-list="bullet"><div><a href="https://www.mexc.com/support/article/us-stock-market-order-faq-369452442557956096" data-lark-is-custom="true" style="font-size: 16px;">US Stock Market Order FAQ</a></div></li><li class="ace-line ace-line old-record-id-XabcdpaPFoe3SdxY5niuW6Q0slc" data-list="bullet"><div><a href="https://www.mexc.com/support/article/common-us-stock-order-types-explained-369454005926051840" data-lark-is-custom="true" style="font-size: 16px;">Common US Stock Order Types Explained</a></div></li><li class="ace-line ace-line old-record-id-QXKydloCGopL7ixZ8xsuYqXnsyd" data-list="bullet"><div><a href="https://www.mexc.com/support/article/key-economic-events-impacting-the-us-stock-market-370641117706798080" data-lark-is-custom="true" style="font-size: 16px;">Key Economic Events That Affect US Stock Trading</a></div></li></ul><div class="ace-line ace-line old-record-id-MEsgdY81no9yr6x8338uJAr7srb"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-MmKQdqW8eoDzu9xcAQYuBVTRsoP"><strong style="font-size: 16px;">Disclaimer:</strong></div><div class="ace-line ace-line old-record-id-XmPIda5G6oTxFDxkRP3uSsKrsge"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-X5AzdqQaoolhCRx2k9lumJRqsPg"><span style="font-size: 16px;">The information provided herein is for informational and educational purposes only and does not constitute financial, investment, tax, or legal advice. MEXC is not a registered investment advisor or broker-dealer. All investment strategies and investments involve risk of loss. Any content contained herein should not be relied upon as advice or construed as providing recommendations of any kind. Always conduct your own research and consult with a licensed financial professional before making any investment decisions.</span></div><div class="ace-line ace-line old-record-id-LQkDdGhcOoMYsQx0qE8uE2otss8"><span style="font-size: 16px;"><br></span></div><div class="ace-line ace-line old-record-id-PkJmdXI9PoAU4cxgjvButFnmsFe"><span style="font-size: 16px;">By participating in these investment activities, you risk losing ALL OR SUBSTANTIALLY ALL OF YOUR ASSETS. Please understand and evaluate the risks of trading and assess your risk tolerance carefully before conducting any trading or investment activities.</span></div><div class="ace-line ace-line old-record-id-NhE0dIplxo1SVKxLrZKubsVtsLg"><span style="font-size: 16px;"><br></span></div></div>lg...