Why are split shares not visible in the holdings?

When a stock undergoes a split, the new shares may take up to two working days from the ex-date or record date to be credited to the Demat Account during this period, the split shares will not be visible in your holdings.

As a result:

• Your Profit & Loss (P&L) statement may show an artificial decrease in profits or an increase in losses until the new shares are credited.
• Once the split shares are credited, the holdings and P&L will be automatically adjusted.

Understanding Stock Splits and Their Impact on Share Price

A stock split is a corporate action where a company increases the number of its outstanding shares by issuing additional shares to existing shareholders. However, the total market capitalization and value of the investment remain the same.

Example of a Stock Split (2:1 Split)

• Suppose Mr. A holds 100 shares of a company at ₹200 each (Total Value = ₹20,000).
• After a 2:1 stock split, each existing share is split into two.
• New Holdings: 100 × 2 = 200 shares
• New Price per Share: ₹200 ÷ 2 = ₹100 per share
• Total Value Remains the Same: 200 × 100 = ₹20,000

What If Split Shares Are Not Credited?

If the split shares have not been credited even after four days from the record date, investors should:

1. Check the corporate action details on the stock exchange or the company’s official announcement.
2. Verify with the RMoney or depository participant (DP) for any updates on the crediting process.
3. Contact the company’s registrar and transfer agent (RTA) if there are further delays. 

Need Help?

Contact RMoney at 0562-4266600 / 0562-7188900 or email askus@rmoneyindia.com