Payments made by corporations to shareholders as a distribution of profits, or benefits received as a result of an action or investment.
From Latin 'dividendum,' meaning 'that which is to be divided,' from 'dividere' (to divide). Originally a mathematical term referring to the number being divided, it evolved in finance to mean the portion of profits divided among investors.
Dividends represent capitalism's promise fulfilled - the idea that owning a piece of a company should reward you with a piece of its success. The metaphorical use of 'paying dividends' for any beneficial outcome shows how financial concepts have colonized our everyday language about cause and effect.
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