Corporate Actions Processing Lifecycle

Announcement to payment for mandatory events, with a voluntary election window that lapses to a default at the deadline

Corporate Actions Processing Lifecycle Announcement to payment for mandatory events, with a voluntary election window that lapses to a default at the deadline 01 / Lifecycle dates 02 / Entitlement engine 03 / Terminal exit Announced · golden source · Lifecycle dates · captured 01 Announced golden source captured Ex-Date · price adjusts · Lifecycle dates · trading 02 Ex-Date price adjusts trading Record Date · holder snapshot · Lifecycle dates · snapshot 03 Record Date holder snapshot snapshot Election Window · voluntary only · Lifecycle dates · deadline 04 Election Window voluntary only deadline Payment / Posted · cash or stock · Lifecycle dates · settled 05 Payment / Posted cash or stock settled Entitlement Calc · position x ratio · Entitlement engine · compute Entitlement Calc position x ratio compute Election Capture · deadline enforced · Entitlement engine · instruct Election Capture deadline enforced instruct Lapsed · default applied · Terminal exit · terminal Lapsed default applied terminal Legend active state waiting terminal success failure / exit

Key Dates

  • • Ex-date strips the entitlement from the traded price
  • • Record date freezes who is entitled
  • • Payment date books the cash or stock

Entitlement Engine

  • • Computes against the record-date snapshot, not live positions
  • • Ratio math is exact; fractionals pay cash in lieu
  • • Rounded holder totals reconcile to the issuer total

Voluntary Elections

  • • Only voluntary events open an election window
  • • The response deadline is terminal, with no retry
  • • A missed election lapses to the pre-defined default

Lifecycle diagram • Built with Archify • Create yours ↗ • Hover to trace • R route • Click to focus • +/− zoom • M radar • [/] views • P play story • T theme • E export