Why are bonus shares not visible in the demat account immediately after the Record Date?

Why are bonus shares not visible in the demat account immediately after the record date? 

The record date determines eligibility for the bonus issue, but bonus shares may not be credited to the demat account on the same day. Credit takes place after completion of the applicable corporate action process by the company, registrar, and depositories.  

Example: 

  • For a 1:1 bonus issue, 100 eligible shares result in an entitlement of 100 bonus shares. The additional 100 shares may be credited on a date subsequent to the record date. 

Important to remember: Record Date and Bonus Share Credit Dates are different events.   

Check Bonus Eligibility → 

Understand how the record date, ex-date, and settlement requirements determine your bonus issue eligibility. 

Have a question? 

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