What does ex-rights mean?

Ex-rights refers to a situation in finance where a stock is trading without the rights that are typically associated with it. This usually occurs after a company has distributed rights to its existing shareholders, allowing them to purchase additional shares at a discounted price. Once the rights have been distributed, the stock is said to be trading ex-rights, and the rights are no longer attached to the shares. When a stock is trading ex-rights, it means that the buyer of the stock will not receive the benefit of the rights that were previously associated with the shares. This could include the right to purchase additional shares at a discounted price, receive dividends, or any other benefits that were part of the rights offering. Investors need to be aware of ex-rights trading when buying or selling stocks, as it can impact the value and potential returns of the investment. Additionally, the ex-rights date is an important consideration for investors who want to participate in a rights offering, as they need to own the stock before this date in order to be eligible for the rights. Overall, ex-rights trading is an important concept in finance that can impact the value and rights associated with a stock, and it is important for investors to understand how it may affect their investments.