Investors will be easier to buy stock FXDE Foundation

The first fund, which will be produced by the corporate action «Split» (crushing shares), will be FXDE (Finex Germany Ucits ETF).

The official letter about this was published on the EUROEXT Dublin website and on the Finex ETF website. The letter is available immediately in the bilingual version — in Russian and in English.

Split means «division» or «crushing» of shares into several shares in proportion to lower cost. The crushing coefficient of shares is set at 1: 100. This means that if the investor owned 1 share of the Fund, after completing the crushing procedure, it will have 100 shares, each of which will be worth 1/100 stock price before crushing. The total result will not change — there will be no reduction, not an increase in the value of the shares owned by the investor.

According to the Moscow Exchange Procedures, FXDE Bidding will be stopped for 2 days — that is, the FXDe shares will not trade on September 7 and 8.

According to the Tax Code, the Corporate Action «Split» (crushing of shares) does not have tax consequences and does not affect the timing of ownership of the valuable paper or the possibility of obtaining tax deductions. Isin (unique number) paper will not change.

After the completion of corporate actions on FXDE, the crushing of some other stocks of Finex ETF funds will be made. List, dates and crushing coefficients will be announced later.

After split, private investors will have the opportunity to acquire or sell stock shares by smaller amounts. Ease of work for private investors can lead to further improvement of the liquidity of funds.