These are events initiated by a company that cause significant changes to its structure or operation, affecting shareholders and bondholders.
Management
Corporate actions are managed according to the issuer's terms. Our clearing partner, Apex Clearing LLC, processes events like:
- Dividends and Stock Splits
- Reverse Splits
- Mergers and Acquisitions
- Spin-offs
- Note: Some assets may be temporarily restricted from trading while processing is finalized.
Common Examples
- Stock Split: Increases the number of shares while reducing the price per share (e.g., a 2:1 split doubles your shares but halves the price; total value remains the same).
- Reverse Split: Decreases the number of shares to increase the price per share.
- Merger: Two companies combine into a new entity.
- Acquisition: One company takes control of another.
- Spin-off: A parent company creates an independent entity from a division.
