Corporate Actions
Bonus, mergers, stock splits and more
When there is a stock split, your share quantity increases, but your total investment stays the same.That’s why your average price gets adjusted based on the new quantity:
New Average Price = Total Investment ÷ New Quantity
📘 Let’s understand this in a better way with an instance:
🗓️ On 30th April, you bought 500 shares at ₹100 = ₹50,000 investment
A stock split (from face value ₹10 to ₹2) happens with the ex and record date on 5th May.
📈 Your shares will become 2,500 and the new average price (₹50,000 ÷ 2,500) = ₹20
💡 Note:
The new average price will be updated as per the new split quantities, even if the new quantities are yet to be updated (within 1–2 working days from the record date).
The investment will reflect ₹10,000 (500 × 20 = 10,000)
Your updated quantity and average price will show in the portfolio tab within 1–2 working days from the record date.
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