SCRIP Dividend (DVSC):

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SCRIP Dividend (DVSC)

Status: Finalised Last Updated: 24 May 2021

SFTR Report – NEWT | Corporate Action Cluster – Addition Sec on Loan | Cash Move – Y

Description:
Dividend payment where holders can keep cash or have the cash reinvested in the market by the issuer into additional shares in the issuing company. To be distinguished from DVOP as the company invests the dividend in the market rather than creating new share capital in exchange for the dividend.

Best Practice:
When booking a Dividend Reinvestment, a loan contract should be booked in addition to the current contract with your counterparty on the pay date of the event. (COAC-59)