What is a corporate action?
Corporate actions are typically agreed upon by a company's board of directors and authorised by the shareholders. They result in a change to the stock – equity and debt. Some examples are stock splits, dividends, mergers and acquisitions and rights issues.
Some corporate actions will require the shareholder to decide on a course of action (voluntary) whilst others are mandatory.
- How are dividends paid on my investments in my account?
- Can you advise me on which election option I should take?
- How do I receive dividend notifications?
- Do you make a charge for administering my corporate actions?
- What currency will my dividends be paid in?
- A share in my ISA is subject to a corporate action – are there any additional implications?