Definitions
In plain terms
A split can be announced earlier but begin trading on the new share basis only from its effective date.
Technical
The field requires event type, affected security and market, calendar and time zone, boundary convention, source, status, and distinction from publication and availability.
Scope
Different legal, settlement, tax, and index treatments can have separate effective boundaries.
Examples
- A governed index record identifies corporate action effective date with its applicable methodology version, effective time, source, and units.
Common misconceptions
- Corporate Action Effective Date does not have one universal implementation without the named index methodology, data cutoff, and governance context.
Concept relationships
Prerequisites
Contrasts with
Required by
Where this concept is used
- ImportantBackward Split AdjustmentD02-F01-A01
- ImportantForward Split Adjustment: carry later observations onto an earlier share basisD02-F01-A02
- ImportantCash-Dividend Total-Return Adjustment: From Price Drop to Exact ReturnD02-F01-A03
- ImportantRights-Issue TERP AdjustmentD02-F02-A01
- ImportantSpin-Off Price Adjustment: Separate Parent Price from Distributed ValueD02-F02-A02
- ImportantStock-Dividend Adjustment: Convert Price and Quantity Bases Without Inventing ValueD02-F02-A03
- ImportantSpecial-Dividend Adjustment: Preserve Return Meaning Across the Ex-DateD02-F02-A04
- ImportantReturn-of-Capital Adjustment: Keep Price, Return, and Tax Views SeparateD02-F02-A05
- ImportantMerger Predecessor/Successor Mapping: Preserve Identity and Entitlements Without Inventing ContinuityD02-F03-A04
- ImportantCorporate-Action Divisor BridgeD03-F01-A04
- ImportantDividend-Point IndexD03-F04-A05
- ImportantIPO Fast-Entry RuleD03-F06-A04
Evidence and governance
- Nasdaq Daily List Product Description Nasdaq Trader · official exchange
Supports: preferred label, short definition, technical definition
Limits: Product coverage, field semantics, timing, history, access, and redistribution are specific to Nasdaq and its delivery products.
- Fintech Builder Glossary Definition Contract The Fintech Builder · internal governed contract
Supports: variant distinction
Limits: Defines governed platform behavior rather than claiming these policies are universally prescribed by external McClellan methodology.
- Reviewed by
- fintech-builder-owner-approved
- Last reviewed
- 2026-07-27
- Next review
- 2027-07-27
- Record status
- published