How does the stock dividend affect the adjusted cost base when I sell my shares?
A. There is no change to the total adjusted cost base as the Bank is ascribing essentially no monetary value to the stock dividend. The adjusted cost base per share falls by half as the number of shares doubles (for example, 100 shares bought at $40 per share now become 200 shares with an adjusted cost base of $20 per share). For more information, please contact: The Bank’s Transfer Agent: Computershare Trust Company of Canada 100 University Avenue, 9th Floor Toronto, ON M5J 2Y1 Tel.
Related Questions
- Can I close my Direct Stock Purchase and Dividend Reinvestment Plan account or sell a specified number of shares, and keep my account open?
- Can I sell shares held in certificate form through my Direct Stock Purchase and Dividend Reinvestment Plan Account?
- What is the cost basis of the shares I will receive through the stock dividend?
