corporate events

corporate events
A term used to describe certain types of actions taken by a company's governing board that directly affect the valuation of the company's stock. Actions classified as Corporate Events include stock splits, extraordinary dividends, rights offerings, mergers, spin offs, tender offers, and certain other types of transactions. In some cases, derivatives exchanges must make adjustments to contract specifications with regard to Corporate Events to ensure continuity in the markets for the relevant derivative securities. Chicago Mercantile Exchange Glossary

Financial and business terms. 2012.

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