How does Revolut process Corporate Actions?
A corporate action is any event, within a public company, that changes its issued shares or debt. We'll process all mandatory corporate actions and make sure they're reflected on your account on time. Mandatory corporate actions include dividends, stock splits, mergers and spin-offs.
To determine who's eligible for certain events, it's important to be aware of some key dates of corporate actions.
- Declaration date – the date a company's Board of Directors announces a key event (e.g. dividends)
- Record date – this is a key date, and involves recording the ownership of a security
- Effective date – the date of the corporate action event
- Ex-dividend date – this is the date on which the security trades without the value of the dividend. To receive dividends, you need to have bought your shares before this date, or you won't be eligible
A corporate event or restructuring may end up in the distribution of rights or warrants. If this ever happens on a security you hold, we'll liquidate these into cash where possible, as they can't be held in your Trading account.
Corporate actions can be extremely complex, but we're working hard to make these as seamless as possible for you and your portfolio!