Let’s say I have stocks held under Margin Trading Facility (MTF) and some corporate actions are upcoming. I want to understand how these actions affect my MTF positions.
I assume that in the case of bonus issues or stock splits, the share price would decrease and the number of shares held would increase in the same ratio, keeping the overall position value unchanged.
But in the case of a spin-off, rights issue, or price adjustments due to an extraordinary dividend, how do these affect my position?