Which corporate actions are available on the platform when trading Stocks?

1. Dividends:

In case there is an open position in Stocks, ETFs, and CFDs, dividends are credited or debited to an account on the “ex-dividend” date. View the schedule of the “ex-dividend” dates for the upcoming future in the “Corporate events” section of your trading platform.

Long and short positions

• A client holding a long position on the ex-dividend date will receive the applicable dividend in the form of a cash adjustment credited to the relevant trading account. Find the transaction in the History Tab on the client’s trading platform under "Cash Corrections".
• A client holding a short position on the ex-dividend date will be charged the applicable dividend in the form of a cash adjustment debited to the relevant trading accounts. Find the transaction in the History Tab on the client’s trading platform under "Cash Corrections".

Dividends process

Cash dividend transactions debit/credit account balance on ex-dividend day at 15:00 server time. Find the transaction in the History tab.

In case of a Long position, the Cash Dividend amount is:

Dividend per stock * Volume

where:
Volume = Contracts * Contract size

In case of a Short Position, the Cash Dividend amount is:

(-1) * Dividend per stock * Volume

where:
Volume = Contracts * Contract size

Dividends received in the US stock market are subject to tax by the US. Because of this, 15% of the dividend amount you receive will be debited to your account with the “Dividend tax” comment.

A dividend is added to an account balance and has no influence on the result of a position.

2. Stock splits

In the event of a stock split, the appropriate adjustment on the client’s position will be reflected on the trading account in accordance with the announced stock split.

Split procedure

The Split procedure runs on the server every day at 15:00 server time. During the procedure, all active pending orders (Limit, Stop) for the related stock are removed.

The weighted average price and sum volume are calculated separately for all open deals in short positions and all open deals in long positions of an instrument. They are assigned as a new open price and new volume for the deal, with maximum volume for long and short deals accordingly. In case a deal receives fractional stocks, such stocks will be liquidated for cash transactions – "Split cash correction". The volume of other deals for related instruments will be reset to 0 and moved to the History tab.

3. Fractional stock adjustment

In the event a corporate action results in a fractional position, RoboForex reserve the right at its own discretion to credit the outstanding fractional component as a cash adjustment to be credited to the client’s trading account.

4. Other Corporate Actions

Other corporate events, including but not limited to mergers, acquisitions, tenders, and spin-offs, are not processed by the Company. If a corporate event is not a dividend or a split, the company reserves the right to close clients' positions at the last market price of the trading session prior to the corporate event.

RoboForex bears no responsibility for notifying clients regarding announcements of corporate actions.