Corporate Actions

Name: Corporate Actions
Rating: 3.9 (67 reviews)

Learn the fundamentals of Corporate Actions using easy-to-understand language and working examples

Created byPearse Carney

Last updated 5/2022

English

What you'll learn

Participants will gain an understanding of the basics of Corporate Actions. These will be demonstrated using some recent real World events.
The differences between various Corporate Actions such as Cash Dividends, Stock Splits, Tender Offers, Reverse Stock Splits, Spin Offs and Rights Offers
You will become proficient at analyzing the terms of a Corporate Action announcement using real World company announcements.
Understand the importance of Critical Dates i.e. Ex-Date, Effective Date, Record & Payable Date.
How entitlements (Cash & Stock) are calculated and how the timing of your trading activity affects your participation in each event.
Why companies undertake various Corporate Actions (Financial Engineering) and demonstrate how the markets typically react
Obtain an overview of market participants and the current landscape today.
Participants will have an opportunity to test their proficiency using quizzes provided within each section.

Course content

8 sections • 33 lectures • 1h 10m total length

Pearse Carney introductions and overview of this course3:02
A brief Introduction to the course, who the instructor is, how the course is delivered and who might be interested in taking this course.

What are Cash Dividends2:16
A brief introduction to Cash Dividends - what are they and how do they work.

This will provide a foundation to the following sections.
Starbucks and Coca-Cola Cash Dividends1:08
Two short videos on Starbucks November 2020 Cash Dividend and Coca-Cola's 2020 Cash Dividend.
We will be discussing the terms of these two events in the next section.
A review of the terms of Starbucks and Coca-Cola Cash Dividends4:14
A review of the terms of Starbucks and Coca-Cola Cash Dividends and how you can do your own research.
Critical Dates & the Trade Lifecycle - what are they and how are they used3:14
An introduction to the Cash Dividend and Trade Life Cycles as well as the importance of Critical dates.
How entitlements are calculated for events using Critical Dates3:33
How, from an issuer/paying agent/brokerage perspective do they determine to whom to pay the cash dividend and by how much.
Example #2 on how entitlements are calculated for events using Critical Dates1:33
Working Example # 2 expands on our understanding of how entitlements are calculated.
Example #3 on how entitlements are calculated for events using Critical Dates1:38
Working Example # 3 expands on our understanding of how entitlements are calculated.
Example #4 on how entitlements are calculated for events using Critical Dates1:14
Working Example # 4 expands on our understanding of how entitlements are calculated.
Example #5 on how entitlements are calculated for events using Critical Dates1:15
Working Example # 5 expands on our understanding of how entitlements are calculated.
Example #6 on how entitlements are calculated for events using Critical Dates1:25
Working Example # 6 expands on our understanding of how entitlements are calculated.
Example #7 on how entitlements are calculated for events using Critical Dates1:55
Working Example # 7 is our final example on how entitlements are calculated.
Quiz on Cash Dividends

Stock Splits - An Introduction2:25
In this short video on Stock Splits we will introduce you to the key concepts.
Recent Apple, Netflix & Tesla Stocks Splits1:52
A short look back at some recent Stock Splits - Apple Inc., Netflix & Tesla
Critical Dates & Stock Splits1:47
What are the critical dates for stock splits. We will explain while reviewing the terms of a recent Apple Stock Split.
Critical Dates Working Example (Example One)3:20
We continue our discussion on critical dates by working through a practical example. This is one of two working examples.
Critical Dates Working Example (Example Two)2:54
We continue our discussion on critical dates by working through a second practical example. This is the second of two working examples.
Fractional Shares Explainer1:10
What are fractional shares, where do they come from and how are they processed.
Quiz on Stock Splits

What are Reverse Stock Splits3:22
A brief introduction to Reverse Stock Splits - what are they and how do they work.

This will provide a foundation to the following sections.
Reverse Stock Split Video on General Electric - 2021 Event0:50
Brief Overview of the terms of General Electrics' 2021 Reverse Stock Split
Reverse Stock Splits - Fractional Share Processing0:58
Fractional Share Processing Considerations with Reverse Stock Splits
Reverse Stock Splits - Security Master Considerations0:50
Security Master Considerations with Reverse Stock Splits
Reverse Stock Split Quiz

Requirements

Absolutely no experience is required. We will start with the basics and gradually build up your knowledge. Everything is in the course.
A willingness to learn and practice

Description

Course Introduction and Overview

This course is for you if you are you looking for a highly-effective and easy way to understand the fundamentals of Corporate Actions. You will quickly gain a firm grasp of the key concepts and vocabulary around Corporate Actions.

You will also earn a certificate on completion of this course from a recognized Corporate Actions expert.

During the past 25 years Pearse Carney has worked at various organizations such as FIS Gobal, Brown Brothers Harriman, Fidelity Investments (Ireland), SunLife Information Services, Information Mosaic (now IHS Markit), Fidelity Investments (USA) as Principal Systems Analyst (Technology) where he was Project Lead from a Corporate Actions perspective for their T+2 Industry Initiative.

Throughout his career Pearse has gained a deep understanding of Corporate Actions from both an operations as well as a software development perspective. This enables him to bring a unique and distinct approach to delivering a Corporate Actions course.

Whether you are looking to take a Corporate Actins course for professional or personal reasons this course will set you apart from your peers.

How the course is delivered:

We use real World examples of recent Corporate Actions announced by recognizable companies such as Apple Corp, Netflix and Starbucks. Doing so creates relevance and context and helps the learner grasp concepts quicker and with deep meaning.

Each Corporate Action Type is explained as follows:

Participants are introduced to the objectives of each lecture
The instructor then explains the background and function of the particular event type in focus. There is an accompanying PDF to this section which the student can download and keep as a handy reference.
Participants view a short custom video of a real World Corporate Action Event. This sets the stage for the next step.
The instructor discusses the terms of the event by referencing the company’s own official press releases - typically located in the Investor Relations section on the company’s website.

Of importance and interest here is a discussion on the events critical dates (Ex-date, Record Date etc) and terms such as cash and / or stock rates.
The instructor the runs through a set of “what if” scenarios to explain how entitlements are calculated. For example we assume you own 100 shares on the events announcement date and then execute a number of trades (buys & Sells) during the events lifecycle. The instructor explains how some of these trades can increase or decrease your entitlement and why they do so.

There is an accompanying PDF to this section which the student can download and keep as a handy reference.
Each lecture has a minimum of one quiz designed to assess your learning and enhance it further given that each answer (whether correct or incorrect) is explained.

I look forward to seeing you inside!

Best,

Pearse Carney

Who this course is for:

New entrants to the securities industry who wish to accelerate their understanding of Corporate Actions.
Existing persons within the securities industry such as Fund Accountants, Business Systems Analysts, Broker/Dealers, Investment Bankers, Settlement & reconciliation staff.
Finally, anyone who trades and invests and has a general interest in learning more about Corporate Actions.

Corporate Actions

What you'll learn

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Course content

Course Introduction1 lecture • 3min

What are Corporate Actions1 lecture • 3min

Cash Dividends11 lectures • 23min

Stock Splits6 lectures • 13min

Reverse Stock Splits4 lectures • 6min

Tender Offers4 lectures • 9min

Spin Offs -3 lectures • 5min

Rights Offering3 lectures • 8min

Requirements

Description

Who this course is for: