|Course Code: 404
|Duration: 1 day
|CPE Credits: 7
|Prerequisite: No Prerequisite Required.
This one-day seminar presents to the participants an in-depth review of the risks, nuances, and processing issues associated with Global Corporate Actions. We will concentrate on core corporate actions and the processing risk associated with the management and control of specific corporate event types, e.g.: Takeovers, Mergers, Stock Optional Dividends, and Rights Issues. We will examine some of the routine processing errors made during the life of a corporate action. We will review specific event types and the routine errors made, and discuss suggestions on how to mitigate the risk associated with the life cycle of an event. We will define and discuss the life cycle of Corporate Actions from announcement at source through all of the points of control that it passes. We also examine the potential risk associated with each link in the life cycle.
The course will include a guest presentation from a Global Custodian, providing and overview of how they manage and control corporate action events, and will conclude with an in-depth review of Market Practices.
Overview and Definitions; Terms and Entitlements
Agent Cut Off Date
The Life Cycle of a Corporate Action Event
Stock Optional Entitlements with Coupons
Special Handling / Exception Processing
Bonus Issues Versus Stock Dividends
Contrasting Trade and Settlement Cycles
Dual Settled Versus Dual Trading
The Roles of Your Sub-Custodian and Agent Bank
Complex Corporate Actions: Multi Currency and Market Entitlements
Market Specific Regulatory Issues, Announcements and Restrictions
Guest Presentation from a Global Custodian
In-depth Market Analysis