RE: IAG Rights17 Oct 2020 11:07
Frazel124..... if you had 10,000 IAG shares before the RI... what would have happened would be that in your account you would have got another row added for the RI issue. That row would have also said 10,000 at 11.50p I believe was the last valuation before they were actually changed to shares.
You should have seen on the 7th or 8th October the amount of main shares going from 10,000 to 25,000 (That is your original 10,000 + the right issue which basically is one and half time your original holding). So if you had bought 10,000 shares at £2 and then the rights at 10,000 /2 x 3 ( or 15,000) at £0.85 ( which was the approx end number) your cash outlay would have been £32,750.... but after the right issue has actually updated you account you should see the 25,000 shares. So you average would now be £32,750/25,000 shares = £1.31.... IF your shares on your original line has not increased by your rights issue amount then you need to RING your provider. I’m with Fidelity. It took them an extra day than most other providers but in the end it was right.
The problem is that (for Fidelity) they have not added the RI cost outlay to the original IAG cost.
So for me, using the above example, my line would now show 25,000 shares at a cost of £20,000 with a current price of £23,750 (25,000 x £0.95 as of today)... so it would LOOK LIKE I’m in profit even though I’m actually not.
I hope that is / was helpful. Appreciate this is all confusing for people who have not been involved in RI before.