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| Corporate Action Announcement Type | Definition |
|---|---|
| Assimilation | The completed distribution of a new securities issue to the public. |
| Calls/Puts/Refunds | A bond that can be redeemed by the issuer prior to its maturity. |
| Cash Dividend | A payment of cash in the same company. |
| Cash in Lieu | Payments made to investors who received fractional shares as a consequence of stock splits, corporate mergers, and reorganizations. |
| Cash Tender | To surrender shares in return for cash payment. |
| Dividend Reinvestment | The option to reinvest the original cash dividend to purchase additional shares of the same company. |
| Dividend Reinvestment Position Percentage | Allows you to make a fund election that will support any DRIP corporate action notification and not require an election. |
| Exchange Offer | An offer by a firm to its shareholders to exchange one security into a fixed number of shares of common stock or other debt security. |
| Final Factor | The process of repaying a portion of an outstanding loan balance. |
| Merger (FMV Price) | |
| Merger (FMV Rate) | |
| Name Change | Change in security reference data such as a security identifier and/or security description. |
| Nominal Value decrease | Nominal value changes with compensation are the reduction of cost basis. |
| Partial Pre Refunding | Issuing a longer maturity bond in order to pay off an earlier bond to take advantage of a drop in interest rates. |
| Payment in Kind Bond | A type of bond that pays interest in additional bonds rather than in cash. |
| Payment in Kind Preferred | A dividend payment in the form of additional shares. |
| Redenomination of Bonds | Converting of quantity and par amount of all debt securities |
| Return of Capitol | |
| Rights/Warrants Exercise | |
| Rights/Warrants Redemption | |
| Share Offer | To purchase shares in the same or different company. |
| Share/Cash Tender | To surrender shares in return for shares and/or cash of the same or different company. |
| Sink Schedule | A means of repaying funds that were borrowed through a bond issue. |
| Spin Off FMV Price | |
| Spin Off FMV Rate | |
| Stock Dividend | A stock dividend is a payment of additional shares in the same company. |
| Stock Split | A stock split increases the number of shares in the same company. |
| Trains | A basket of investment grade bonds. Of a bond falls out of the investment grade category, it is either liquidated from the trust, or delivered to the investor. |
| Underlying Collateral Coupon Reinvestment | The repurchase of outstanding shares (repurchase) by a company in order to reduce the number of shares on the market. |
| Unit Separations/Unit Splits | The separation of two securities in which more than one class of securities is traded together. A unit is usually comprised of a warrant and another debt security. Cost is allocated from the old security to the new security, and interest is distributed from the old debt security to the new debt security. |
To add a corporate action announcement manually:
From the Market Data Center’s Security workspace, double-click Corporate Actions, and then double-click Announcements in the left navigation
In the Announcements folder, you see the list of options for each panel where you can add
specific types of corporate action announcements.
2. Select the option for the type of corporate action you want to add.
You see the entry panel for the type of corporate action you selected.
3. Indicate whether this is a mandatory or voluntary corporate action by selecting the
appropriate value from the Mandatory/Voluntary Indicator drop-down field.
4. Complete the fields on the corporate action announcement panel you selected.
The fields include common options that apply to all corporate action announcements and
options specific to the corporate action you selected. See “Corporate Action Announcements
Panel Fields” for more information.
5. Click Submit.
The system adds the corporate action to the Corporate Actions table. You can change a
corporate action announcement if it does not have a Released status.
6. After adding a mandatory corporate action announcement, you can set up a mandatory
corporate action exclusion to prevent the system from processing a mandatory corporate
action for a certain entity. See “Adding Mandatory Corporate Actions Exclusions.”
7. After adding a voluntary corporate action announcement, you need to identify entities that
elected to participate in the corporate action. See “Adding Voluntary Corporate Actions
Elections.”