Apple stock split

I see in the latest news that Apple announces 4-for-1 one stock split amid earnings
Will investors with fractional shares in Apple stock via T212 be eligible for this ?

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i would like to know too. following this

Yes you will.

All shares are splitting.

If we have current investments in Apple, what will happen once the split happens? Do we close our posistions or does it automatically do it?

Why would positions close? I don’t understand. If you’re talking about CFDs I don’t know as I don’t gamble.

For ever one share you own you will have four post split.

If you own 0.2 -> 0.8 post split

0.12456 -> 0.49824 post split

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I use Investment platform. So i just keep the positions open for apple, and i get more shares? But i thought they were closing the posistions?

Quote: “Each Apple shareholder of record at the close of business on August 24, 2020 will receive three additional shares for every share held on the record date, and trading will begin on a split-adjusted basis on August 31, 2020.”

I thought the current posistions would be closed, and a new position would re-opend on the August 31.

But i guess i missunderstood

If I understand correctly, you need to hold Apple sharrd on the 24 Aug in order to receive the spilt but then the price will as well I guess l.

It’s quite simple: 1 share will be cut in 4 shares. Price also will be divided by 4.

If you own 1 share Apple, you will have 4 shares after the split. Total value will be the same.

Unfortunately, fractions don’t get split (reverse-split), yet.

0.2 won’t become 0.8, neither will 0.3 -> 1.2. They’ll just become cash which you can use to purchase the post-split shares.

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So fractions will be closed and funds added to free funds?

@chantal Yes, that’s correct.

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Going to be interesting for the investors who have fractional shares in pies :slight_smile:

That’s true. To be honest the selling procedure is frankly rubbish and with a huge stock split like this coming up, there’s no time like the present to build something better.

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Only fractional part that is closed or whole position?
If some one holds 1.2 shares for example.

yep, +1 to this @David. how will these be treated? also to @chantal’s point, what about their treatment in pies?

Given that IB or T212 hold shares in nominee accounts why does a stock split require selling off of fractionals - surely the ultimate holder of the shares will still hold an amount of Apple stock and will benefit accordingly from the split? The rest is just maths to apply to the “internal” stock holdings.

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@kannaiah Only fractional part.

What will happen with pies please? @David

As we all heard Apple will split stock 4-1, now I am interested if I have, let’s say, 0.1 shares will I get 0.1 x 4 when the stock split happens?

If you read what has already been posted in this thread you’ll find David writing:

So practions will be sold and moved to the free funds for you to buy new fractions. (I expect the price to go up shortly after the split so that could be a little loss but if you are online the same day i don’t think it would be much)