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Share Code/Class Change (Manual)

 

 

Navigation

 

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: 

If you access the Corporate Actions screen from the Transaction List, skip step 1 below. 

 

Process a Code change

When a code or classification of an investment changes, use the Code/Class change feature in Simple Fund 360.

In the example below, an investment listed under 78200 - Units in Listed Unit Trusts (Australian) will be now classified as 77600 - Shares in Listed Companies (Australian).

 

  1. Select New Corporate Action.



  2. Select the security code for the investment listed under 78200 - Units in Listed Unit Trusts.

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  3. Select Code/Class Change as the Corporate Actions Type. 



  4. Select the chart account for the investment listed under 78200 - Units in Listed Unit Trusts.

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  5. Input the EX / Balance Date and the Corporate Action Date. The following example will use the 01/07/2020. Current units on hand will now display.

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  6. Select the new 77600 - Shares in Listed Companies (Australian) account. If you have not added the investment click Add New Investment.

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  7. The Corporate Action Summary will detail the code change between 78200 and 77600. Once confirmed, select Process Corporate Action. 

Manual Revaluations

Please note that manual revaluations/cost-base adjustements (transactions with no units) will remain in the old account and will need to be moved manually to the new account.

 CGT and Accounting Transactions Created

Based on the Corporate Action Date an accounting entry will be automatically entered into the Simple Fund 360 ledger that will reflect the investment code change.

Simple Fund 360 will post 3 transactions to a single journal:

Transaction 1 - Will remove the units from the original investment account.

Transaction 2 - Will process a cost base adjustment to the original investment, reducing the value on the investment to zero.

Transaction 3 - Will process a purchase transaction to the new investment code, this transaction will reflect the units on hand and cost of the investment.

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Although the transaction will be processed on the Corporate Action Date, the original purchase date will be used and will be automatically transferred to the CGT register.

How to delete a code change

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. 

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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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