What is meant by stock split?
A company increases the number of shares that are
outstanding by issuing more shares to existing shareholders.
For example, in a
2-for-1 stock split, every shareholder holding one share is given an additional
share. In such a case, the face value of the share is reduced (say from ` 10 to
5 per share).
Companies stock's price is also affected by a stock split. After a split, the
stock price of the company reduces since the number of outstanding shares
increases, however the market capitalization remains the same.
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Why are the split shares not visible in my holdings?
After a stock split, the new shares will be added to your DEMAT account in 1 to 2 working days after the record date. Until the split shares are credited to your Demat, your holdings will show an artificial drop in P&L. If it has been more than 4 ...
What is meant by consolidation?
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What is meant by Dividend?
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What does the "Stock Holdings" section show?
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How can traders hedge their stock position?
If there is a long position in a stock or other asset, a trader may hedge with a vertical put spread strategy. This strategy involves buying a put option with a higher strike price and selling a put with a lower strike price.