To provide a detailed understanding of Corporate Actions, what they are, where they originate and why they happen. Critical factors and the alternative choices for the investor as well as relevant calculations and the time scales involved are included. The course covers a wide variety of Corporate Actions with relevant examples and differences in practice taken from many different markets around the world.
Investment, Broking, Banking, Settlement, Custodian and Accounting Managers and staff. Front, Mid and Back Office staff will all benefit. No specific prior knowledge is assumed but delegates should have at least 3 months experience in the area. Delegates are assumed to have a basic awareness of equity and bond markets in general.
Delegates should bring an ordinary pocket calculator with them to assist in the many exercises included.
- Background to Corporate Actions. Types, Actions and Critical Factors
- Debt v Equity. Implications
- Outline of specialist instruments eg Preference shares, ADRs and international variations
- Life Cycle of a Corporate Action
- Swift Corporate Actions Messages
- Bearer, Registered shares, Book entry securities. Dematerialisation and consequences
- Bonus or Scrip issues, Splits. Pricing calculations
- Reverse Splits and Consolidations. Calculations
- Demergers and Spin Offs
- Capital Raising or Rights issues. Pricing. Calculations of alternatives
- Takeovers and Mergers. Why they occur. Process. Alternatives and selecting among them
- Bond Corporate Actions: Early Maturity. Partial Call. Bond Puts. Rating change
- Dividend and Interest payment dates: Cum, Ex, Record, Payment
- Stock Dividends. DRIPs and Dividend Scrip Alternatives. Timing and Dates. Calculations
- Capital reduction methods: Buy Back, Tender, Return of Capital etc
- Convertibles and Warrants. Why used
- Exchangeable bonds. Reverse Convertibles
- Pricing calculations for conversion or exercise
- Annual General Meeting. Voting rights and Proxies
- Class actions (USA)
- Section 793 notice (UK), previously Section 212
The course either has new dates in data loading, or is only run as a dedicated or In Company course.