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Share Consolidation (Notifications)

 

 

 

 

Note

BGL do not provide accounting or taxation advice. The following is designed to act as a guide for Simple Fund 360 users. It is not designed to be accounting or tax advice and should not be taken as a strict guideline. Other methods that are more suitable may be used instead of these steps.

 

Overview

A share consolidation is where the number of shares/units in an investment is decreased with no change in the original cost of the shares\units.

Unit Rounding
Processing a share consolidation through Corporate Actions will round units to the nearest whole number.
If you wish to record the consolidation using partial units, please refer to Recording a share consolidation using partial units for more information.

Process a Share Consolidation 

This share consolidation is an example only.

 

  1. From the Corporate Actions screen, view the Type column. Confirm Share Consolidation appears under the column before proceeding. 



  2. Select Process under the Status column.


  3. The Security will be automatically selected.


  4. Share Consolidation will display as the Corporate Action Type.


  5. Select the chart account for the corporate action (for example, 77600/BHP.AX).


  6. The Ex / Balance Date (Corporate Action Ex Date) and the Corporate Action Date (Transaction Date) will be selected. Simple Fund 360 will create a consolidation transaction in the Transaction List based on the corporate action date that was entered; and parcels dated prior to the Ex / Balance date will be affected by the action.


  7. The units on hand after the consolidation will appear (the current units on hand for the investment will appear on the left). The Corporate Action Effect field will display the reduction in units.


  8. The Corporate Action Summary will appear below. Select Process Corporate Action once you have confirmed the share consolidation details are correct.

The share consolidation will display as a Transaction in the Transaction List.

How to delete a Share Consolidation

If you are required to change a corporate action, you can delete and re-process the action from the Corporate Action screen.

 

From the Main Toolbar, go to Investments.
Select Corporate actions from the list.

 

 

Alternatively, you can access the Corporate Actions screen from the Transaction List:

 

Locate the corporate action to delete. Select the check box located next to the transaction and Delete. 

 

 

If disposals have been processed after the corporate action date for the investment it is recommended to delete the disposal first from the Transaction List.

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