Mandatory corporate action

Roles that need it

• Corporate Actions Analyst
• Custody Operations Analyst
• Fund Accountant
• Investment Operations Analyst

Skills it belongs to

• Corporate actions processing
• Attention to detail

Related concepts

• Corporate actionA corporate action, or corporate event, is an action by an issuer that affects its securities and their holders, such as a dividend, a coupon payment, a stock split, a rights issue, a merger or a redemption. Events are mandatory, mandatory with choice, or voluntary, and must be processed along the whole custody chain.
• Voluntary corporate actionA voluntary corporate action is an event where each holder chooses whether and how to take part, such as a tender offer, a rights issue subscription or a dividend reinvestment option. Holders send elections through the custody chain before a deadline; missed or wrong elections are a classic source of losses.
• Record dateThe record date is the date on which the issuer, or its CSD, determines who is entitled to a corporate action, based on settled positions at the end of that business day. Under a two-day settlement cycle it falls one business day after the ex-date; under T+1 the two dates coincide. The payment date follows it.
• Ex-dateThe ex-date is the first day on which a security trades without the right to a pending corporate action, such as a dividend. A buyer on or after the ex-date does not receive the entitlement; with a T+1 cycle the ex-date and the record date fall on the same business day.
• Income collectionIncome collection is the custodian's process of receiving dividends, coupons and other distributions on securities it holds, crediting them to clients and chasing any amounts not received. It includes checking rates, tax withheld and currency, and reconciling expected against actual income.

Sources

• AMI-SeCo SCoRE Standards for corporate actions, ECB (external site) accessed 31 Oct 2026
• ECB glossary (C) (external site) accessed 31 Oct 2026

Updated 31 Oct 2026.