Definition of dividend

The word "dividend" has its origins in Latin. The Latin word "dividere" means "to divide" or "to distribute," and this word was later adapted into Old French as "divied" or "divident," meaning "something divided" or "something distributed." In the 15th century, the term "dividend" was borrowed into Middle English from Old French, referring to a share of or a portion of something divided or distributed among people or groups. In the context of finance, the term "dividend" was first used in the 16th century to describe a portion of a company's profits distributed to its shareholders. The dividend is a distribution of the company's earnings, and it is usually paid quarterly or annually. The concept of dividends has been in use since ancient times, but the English word "dividend" as we know it today was first used in the 16th century.