Lets say I have 10 shares of ABC company and it’s distributing 17% bonus shares? How many bonus shares I get, mathematically I should get 1.7 shares. How does this work?
View on r/NepalStock by ShoddyStreet677
how is fractional bonus share distributed?
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Depends on the company. Some will round off and adjust their cash payable, eg BPCL. Most keep the fractions in their account until it becomes a whole number and pay it out. You will need to look at their AGM notifications to see what they intend to with fraction share.
Your .7 will be rounded up to 1 share point and added to your demat. Same thing has happened to me twice before.
I think u’ll get remaining dividend in form of cash according to the adjusted price. Coz similar case happened with me in SIP n they credited my bank account.
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I think you’ll get 1 share