RoboMarkets: important information regarding Apple and Tesla stock splits on August 31st, 2020
Dear Clients and Partners,
On August 31st, 2020, Apple (AAPL) and Tesla (TSLA) will have their stocks go through a split. A stock split is a corporate action, as a result of which the company increases the number of issued shares by a specific multiplier and reduces the value of each share by that multiplier.
Apple will have a 4-for-1 stock split (1 share will be split into 4), while Tesla – 5-for-1 (1 share will be split into 5).
How it will influence positions and orders?
If you have open positions in Apple and Tesla shares or plan to open such positions, please pay attention to the following changes, which will be effective as of August 31st, 2020:
Stock Trader accounts
The split procedure will take place on August 31st at 3:00 PM server time.
During the split procedure, all active pending order (Buy Limit, Sell Limit, Stop Loss, and Take Profit) in AAPL.nq and TSLA.nq will be canceled.
For positions in AAPL.nq opened before 3:00 PM server time, the opening price will be divided by 4.
For positions in TSLA.nq opened before 3:00 PM server time, the opening price will be divided by 5.
The volume of all open positions in AAPL.nq will be multiplied by 4.
The volume of all open positions in TSLA.nq will be multiplied by 5.
All positions in any of these instruments in the same direction and on the same account will be combined into one new position. This new position will have the opening price and a volume based on an average weighted price of all positions held before the split.
The historical charts in your trading terminal will be updated to reflect the new prices of the above-mentioned instruments.
All other aspects of trading conditions shall remain intact. Please, take into account this information when planning your trading activity.
Sincerely,
RoboMarkets team