Dividends from fractional shares?


Just wondering how dividends will work with fractional shares (for those shares that pay dividends)?

Fractional dividends?

Fractional shares (UK)
(Rob) #2

Correct. When you buy other unitised assets (say, mutual funds/OEICs/unit trusts) your distribution is based on your holding down to the Nth decimal place. Same here. If a dividend is £1 per share and you have 0.5 shares you’ll get 50p. Unlike units trusts we won’t have to get caught up with Group 1 and 2 unit distinction and the dreaded ‘equalisation’ calculation on dividends! Rejoice!

(Vladislav Kozub) #3

Hell knows what that meant. But if there is “Rejoice” at the end, then this got to be damn good! :joy:

(Rob) #4

I could take a shot at explaining it, but I reckon this link might be easier.

(Vladislav Kozub) #5

That helped, thank you.

By the way, still waiting for the transaction settlement blog masterpiece*!

*@Viktor’s definition

(Viktor) #6

The masterpiece is coming in the next few days! :wink:

(Vik Paw) #7

Did this happen @Viktor ? I had a brief search on the blog and here and couldn’t find it.

(Vladislav Kozub) #8

This is the one

(Vik Paw) #9