How should I account for scrip dividends, bonus shares, rights issues, etc?

FAQ
1

Question:
For scrip Dividends/Re-invested Dividends

Updated Answer:
Use the recommended approach on this page

Question:
For bonus shares/free shares

Answer:
You can simply enter a buy transaction at price SGD 0 (on the date the shares is given) and maybe add a note to yourself for clarity.

(Although StocksCafe will give you a warning by visually highlighting the price in red, it is fine to ignore it. It is there just in case you have made a mistake in entering the price.)

1 Like
2

Hi Evan, Iā€™m navigating via the App, and I canā€™t find the ā€˜removeā€™ link you mentioned, to remove scrip dividend from being double counted under the dividends that are auto added. Can help?

3

Hi Alex,

Sure.

Please use desktop or laptop and click on this link. Then use control+f to search for ā€œremoveā€. It should be there.

Please let me know if it is still not showing up.

Thanks,
Evan

4

Found it! Sorry I didnā€™t know that function was only available on Desktop Browsers. Thanks.

1 Like
5

I was wondering whether to account this way for share units issued under DRIP - Dividend Re-Investment Programme for Reits, or to reflect as the true value re-invested (since the fractional units are not issued - means there is a slight difference in amount than if cash dividends were received). Would greatly appreciate any advice here! Thank you.

6

Hi Julie,

I am not sure if I understand correctly. I almost always take cash :slight_smile:

I would suggest based on limited experience to always reflect true value/cost spent for investment.

Cheers,
Evan

7

I always account for scrip dividends as shares but bought w cost price of dividends being issued. Is that not right?

8

This sounds about right to me.