T O P
burnerwig

Pretty sure that's only applicable to any cash dividends. GameStop plans to issue a stock split dividend - there's debate if a broker can issue a cash equivalent for stock dividend, but Computershare will issue the split shares to be distributed to brokers.


GiantRobot0

This is correct. Only cash dividends are automatically reinvested. Fidelity isn't going to liquidate the split shares to deposit cash to your core account.


1965wasalongtimeago

It seems likely they're not going to *get* enough shares to distribute properly, if part of their holdings consists of synthetics.


Phoirkas

Yes, this has nothing to do with the GME split, not changing this will not prevent you from getting the addtl shares. That said, you generally are better off utilizing the dividend reinvestment option for any securities….but this is misinformation otherwise.


jasron_sarlat

Whole lot of misinfo and fud going around today. "You can't vote!" "You won't get your stock dividend!" I'm sure OP is sincere, but this is straight up FUD.


cosmotropik

No, grasshopper.. it isn't..


DeepFuckingAutistic

Its stiłl wrong. Fidelity allows for cash dividend to be automated into buying stock, this is done before you get the dividend and saves you from taxation, it is a service. If set for cash and dividend/sharesplit is on stock, you still get stock instead of cash. The general lack of knowledge by most apes who do posts like this ends up being FUD, not by intent, but by ignorance.


PercMaint

Shortly after the announcement was made to do a share split in the form of a dividend I contacted fidelity and they stated that you would receive the appropriate number of dividend shares based on the shares on the date reported when that time comes.


Flaky-Fish6922

in theory, the company can demand shares given with no cash option. trying anyway is something more like what RH would do than fidelity, but if they managed to be short shares too, i wouldn't put it past them. (or any broker at this point.)


merrythough

I would think cash equivalent isn't really possible because they would still need to adjust cost basis for the new share total. To reduce the cost basis without also issuing the new shares is basically theft and will complicate things for them at tax time. But then again the entire system has been based around basically stealing for the last 20 years so who knows?


Doovster

Try last 100 years lmao


ThatsthewayitJoes

Cash is a taxable event no?


DeepFuckingAutistic

Yes, stock is not. Its a service offered by fidelity to save you from tax. It is not cash instead of stock, it is an option to make cash dividend into shares before you get it, to save you from taxes. Its all fud out of ignorance.


mr1nico

At this point I've looked into most of the questions people have raised and to the best of my abilities I believe this is how things will shake out (sources at the bottom): * CS held: 100% book entries. * Cash account held: Some combination of actual shares plus entitlements.¹ * Margin account held: Same as above with cash accounts, unless your share(s) are actively being lent out and the borrower is either unable or unwilling to return your share(s), then you will receive cash-in-lieu (CIL) in those cases. * Fractional shares: Any fractional shares leftover that are owed to you may be paid out as 'shares' or CIL depending on your broker's preference.² Tax issues: Shares will inherent the same tax status as their parent shares, and similarly taxes will only be owed at the time of sale. If you are compensated by cash for a missing share divided then that will be classified as a short term capital gains tax event, so you will owe additional taxes in that case. Go back and reread your broker's terms and conditions which you previously signed, since they all have acknowledgment clauses warning about this scenario. ¹Uniform Commercial Code § 8-102 ²DTCC Distributions Service Guide - June 17, 2021


DeepFuckingAutistic

All shares, be they cash, margin, fractional or in the options market....split. Simple. There is no need to push DRS into every event. Like the short borrow fee increase when we had our last run, tons of apes claimed it was because DRS was working, well that fee dropped back pretty fast..nobody mentions that. Somehow the most obvious answer got drowned, borrow fees went up because more shares were borrowed. Now the stock split, tons of apes claiming mainly DRS apes are sure to get it, wait and see...everyone gets a split. Somehow none of you have noticed that we had stock splits and stock dividents on shorted stock before as well with zero issues. But you need to push DRS into every fucking irrelevant thing, here is a reality check. Direct registering does not give you any special perks, it cant be shorted, yes, but thats it No perks, no special entitlement for dividend, nothing. Do you know WHY we began to DRS? It was to remove locates from shorters and later, also to count the float. Thats it, it is all we need. We dont need this FUD you guys come with either by ignorance on how markets work, or ill intent hoping apes sell shares that cant be transfered so that you get faster to 100% at CS. Its fucking shitty move to do. Next up. My coffee tastes better after i DRS'ed, un-DRS coffee gives you cancer...


Spinmoon

Fake info. It has nothing to do with what you receive. You can't choose what you receive being cash or stock dividend it's up to the company giving the dividend to chose what they give. This option only serves to auto invest when you receive cash. Stop spreading fake info.


directedbymichael

This.


Pretty-Bandicoot-887

Let them parrot things they read from yet another opinion piece on SS. If they won’t, who will?


NefariousnessNoose

This guy DRIPs.


Spinmoon

Exactly, should have added this feature is called Drip. Thanks.


Key_Coffee4941

How come this supposedly smart sub always has the smoothest dd?


AdRepresentative5664

Lol for real though


LunarPayload

That's only for traditional cash dividends. Fidelity has cleaely stated cash can only be issued in lieu of shares if the issuer (GameStop in this case) has allowed for that. GameStop instructs ComputerShare (the transfer agent), then they send out the shares to the DTC to distribute to brokers to disburse to clients as the dividends.


crazzme

How can a broker issue dividend as cash which would result in a tax event for the stockholder?


Apprehensive_Pop_305

They can't.


PercMaint

You can also log in, click "Account Features", click the + in front of "Brokerage & Trading" and then click on "Dividends and Capital Gains" \*\*\*while you're on that menu also click on "Margin" and make sure it's turned off for all of your accounts.


purpledust

Thanks for the reminder. Sometimes it mysteriously changes back to margin without me remembering doing that.... For Fidelity self directed IRAs and Roth IRAs are knowledgeable enough to confirm that neither of these can be margin accounts in any way as per Fed (Presumably SEC?) regulations? What do you know about loaning IRA shares.. I've called Fidelity and asked them not to, but I forget if they are even allowed to. And you'd think there would be some dropdown menu somewhere for "don't lend my shares" but I suppose there isn't, since Fidelity would pocket all of the cash from the loan.


PercMaint

I understand them not offering an option to say "don't loan my IRA shares" if it's supposedly not even possible. That being said I wouldn't be surprised if brokers are using pools of shares, and they're just counting on enough people selling and others buying at the same time to cover the float of their internal pool. By doing this they are technically not loaning "your" shares as long as they have enough in the pool to cover settled shares. So on paper they aren't loaning IRA shares, but in reality they don't know or don't care where the shares came from.


purpledust

I suspect you are right. I commented further on something I learned about Fidelity and loaning shares elsewhere in the comment thread that you and I just replied to.


coyoteka

Fidelity does "auto-journaling" for margin accounts, where they automatically switch cash shares to margin. Even if you call and ask them to turn of auto-journaling, it doesn't seem to ever stick. The only way to avoid it is to deactivate margin altogether on your account.


purpledust

Thanks. Yeah, I thought I did, but you reminded me that I should probably check again (then again, I've ony got 1 share in my individual account, so what could that turn into, 1 million shares? NBD


purpledust

They tell me that if you never had a debit balance that they'll never loan shares. So I can either make it cash and walk away from my margin application (do it again at another time) or just make sure that I never buy more than I have (which I always do anyhow). So, effectively, they'll never loan my shares. As far as I can tell anyhow. That's how I understand it.


coyoteka

Hm, interesting. I wonder if that matches up with their end user agreements.


purpledust

Ain’t gonna read that. But for FWIW I’ve been told that several times by different reps.


coyoteka

Haha same.


boborygmy

No. You're talking about cash dividend reinvestment, which has nothing to do with a split.


Bacup1

…or DRS your shares. Honestly, the voting fiasco last year was not an issue for me this year. Literally took me all of 30secs. Computershare is the future. Being in a broker is like having a Kenny shaped condom between you and your partner.


CalicoJake

Some of us cant DRS everything yet. I have DRS'd 90% of my shares, and will be DRSing more when I buy again, which will be happening soon.


Bacup1

Feel your pain dude. I was Etoro originally 🤦🏻‍♂️.


Cole1One

You can purchase shares directly on ComputerShare. Probably the easiest way to get them DRS'd


No-Fox-1400

Just did it through virtual chat. Types in manage dividends. It gave me my setting and confirmed I wanted to change to Reinvest in Security. Said yes. Told me my change was confirmed and changes take 5 days. Do it now everyone


ericredbike

Isn't this for if you want to setup DRIP (drividend reinvestment program)? Lets say every quarter you get $300 from a dividend from a stock you own. If you select the "reinvest in security" option, then instead of receiving that $300 in cash, basically $300 of that stock is bought. Then the next quarter you own slightly more stock so you get slightly more dividend. Its compounding interest. No new shares are created like will be with GME's stock dividend.


Link_1986

What’s the computer share version of this?


robertleeblairjr

Better idea. DRS out of Fidelity.


PercMaint

Would like to, but due to legal obligations and IRAs this isn't always an option.


CalicoJake

Exactly. I've DRS'd everything I can though! And I will be DRSing when I buy more :-D


robertleeblairjr

I agree that for some. But, there's the majority who haven't. Options and margin, "safety" with the broker, low quantity and cost to transfer, locking up shares that aren't used for collateral, etc. I've been more impressed with international apes that US who should dwarf their number.


cackalackattack

This is misinformation. I’ve spoken with a fidelity rep and no further steps need to be taken to receive your share dividend.


purpledust

Did you ask a Fidelity representative if this would work or think it yourself?


CalicoJake

Both. I was on the phone with the Fidelity Rep and a TDA Rep, to make sure the steps worked.


purpledust

Interesting. I just got off the phone with Fidelity and (I already had my dividends going to more shares) to ask about voting, actually. After I was done with that (they expect info on voting to be sent to them sometime after April 21, didn’t know when). Anyhow, afterwards I asked the rep about rehypothecation and whether she was privy to any discussions about what Fidelity might do if there weren’t enough shares to go around. After a long conversation. She basically said (my words, not hers) that she’s on the call center. We here are not privy to any conversations, there are none down here in the trenches. What happens upstairs? Who knows. End paraphrase (but my tone and words) Finally, and this is new to me, I was told that shares in my IRAs (and Roth IRA) can never ever be sold as a matter of Fidelity policy (and law? I dunno) BUT, and this was the new part (new to me) was that in my individual account (only 1 share, the rest I DRSed), shares will only ever be loaned out I had a debit balance in my account (in other words, I’d be borrowing fr Fidelity against margin, which makes sense: if I’m borrowing, then they hold GME and my other shares in my individual account as collateral and they can use that collateral. That last bit was a new thing I learned today, so I thought I’d share. Thanks you, and have a fabulous day CalicoJake!


CalicoJake

Thanks! And I hope you have a great weekend. Cheers!


Imhereforallofthis

Thanks!!! I will utilize this tonight!


CalicoJake

You are very welcome! It's super simple, and I have no idea why my account was set to receive cash rather than stock, because I definitely didnt choose that. TDAmeritrade is the same way, but the process to change it is different. I am writing that up now.


Silly_Goose111

Your instructions don’t apply to what GME is doing. It applies if the company pays quarterly/monthly dividends. In which case you can have those dividends reinvested or added to your core cash account. Again, not what GME is doing.


Imhereforallofthis

Thanks for the TD write up too! I have a few in The F word company and TD. Those are the only ones I might sell.


CalicoJake

Same, I kept a few in each and have DRS'd everything else. I'm holding for the Apes with X shares. Enjoy your moon tickets!


DeepFuckingAutistic

Do you even read the comments? Your post is seriously flawed and based on an misunderstanding. I


6_Pat

Dunno if IBKR needs this too. I don't see in the android app, will check on the web site


6_Pat

Ok I tried on IBKR website. Looks feasible, needs confirmation. 0. Log on interactivebrokers.co.uk 1. click help/support center (on top right of the page) 2. In the search box, type "manage corporate actions" 3. Unfold the first result, which should be "How do I manage Voluntary corporate actions" 4. Read everything 5. Read again 6. Click on the red boxed text "Access corporate action manager" 7. It should show a grid of upcoming events/choices, which is empty at the moment for me. I *suppose* the stock split dividend will appear when it is officially announced, with the relevant choices (cash/reinvest/shares ?) Disclaimer: *I'm not sure if it's the proper way to do it*. We need an experienced user of IBKR to confirm this. And a less lazy ape to write a how-to with screenshots, when it's confirmed.


B33fh4mmer

1. Log into fidelity 2. Transfer to computershare. Much, much less hassle.


FlowBoi1

Thank you.


Jbroad87

Anyone know how to do this for Vanguard?


CalicoJake

You may have to call them and ask. Sorry, Im not sure and dont have an account there.


Leviathan8675309

On a desk/laptop, log onto your account and go to Holdings. Click on stock symbol, scroll down to Holding options to see how dividends/capital gains are handled. Click edit to change if it’s not already set to Reinvest.


Silly_Goose111

You don’t need to. The stock is splitting and you’re receiving it VIA dividend but you’re not getting paid monthly/quarterly dividends. You only need to hold the stock when it splits.


ProfessionalMcUseful

Thank you! It's pretty scummy that they default you to receiving cash without giving you the choice when you set up the account.


Silly_Goose111

His instructions are unrelated to what GME is doing. There’s nothing scummy here.


gl129384

These settings also work on IRA's! Thanks fellow ape!


CalicoJake

You're welcome - Glad it helps!


[deleted]

Why worry about receiving the dividend at all? Just DRS and you won't have to worry about this.


hobowithaquarter

I appreciate the information! I changed my settings. Whether it applies to a stock dividend or not, I want my dividends reinvested anyway.


upotheke

Thanks ape! Funny how for a fidelity money market accout the default is "reinvest in security" but for everything else the default is cash. Hrmmm....


hukd0nf0nix

Was able to change through virtual assistant as well!


EnvironmentalPoet298

Thanks for posting this!


Glad_Emergency7460

And for CS we are guaranteed stock right?


bearrfuk

If Fidelity issues cash in lieu then this option will simply invest the cash equivalent in buying GME shares. This also means that these shares will be short term holding until 1 year however I am assuming ComputerShare distribution of shares will hold the same long term holding as your current shares in CS, DRS is the foolproof safest option


Glad_Emergency7460

Are you making sure that you are all in CS for this? Right now I have about 95% in CS. But if I do what OP is saying, I should be fine on BOTH ends to get stock only?


bearrfuk

Yes I am going to go 100% in CS before this split. I don’t want brokers to give me cash etc.


CalicoJake

I asked about that - The rep assured me that the shares I receive from the split would be dated the same as the shares that spawned from.


bearrfuk

That’s great to know if that’s the case but I am personally planning to move 100% to CS, don’t want to get fucked by brokers in the end


Ampoo

Anyone know about revolut?


arnott

What about Vanguard?


myalux

THANK YOU!!!!!!


exclaim_bot

>THANK YOU!!!!!! You're welcome!


YWeSoPuzzldObvious17

Umm I'd drs my shit if was yall


CalicoJake

I've DRS'd everything I can, save for a few shares I have kept in Fidelity and TDA. Those are the leftovers from my original shares from last Jan/Feb and are the only ones I plan to sell (on the way down).


YWeSoPuzzldObvious17

U can sell drs shares on the way down. I'd drs them all. We need all we can get


JacX2820

Please write up for ameritrade


x0rn

Thanks homie!


Timeburners

Never in history have I heard of getting cash instead of shares in a stock split but if for some chance something that's never happened happens then use your cash to buy shares. I'm a freaking genius.


Fit_Ad557

What date is the split set to occur?


cosmotropik

That won't be announced until sometime after the annual meeting scheduled for June 2, 2022. There is an item up for vote that has to pass before gamestop even thinks about offering a split for stock dividend


workinghormiga

Saving for later


DeepFuckingAutistic

Zero chance. You will get stock, anything else is unheard of, this is not the first stock split in the world.


col2thecore

thanks done


5tgAp3KWpPIEItHtLIVB

I have a better guide that applies to Fidelity and all other brokers: 1. Log into your broker management interface 2. Go to transfers 3. Go to position transfers 4. Transfer to transfer agent into the DRS This ensures you will get your share dividend. 100% guaranteed. No fuckery.


ShaughnDBL

Apes don't use FUDelity.


CalicoJake

Thats a pretty blanket statement. I like the sentiment, but the real world is more complicated than that. Everything I buy now (and in the future) is DRS'd though :-)


ShaughnDBL

Fidelity more deeply fucked up than most people can believe. They were exposed. It's RH for boomers.


Inverse_my_advice

I buy from Fidelity to lock in my cost per share at that exact moment and then initiate the transfer. I have done this multiple times now


ShaughnDBL

That's not a feature unique to Fidelity, though. You're just locking in a price with streetname in real time because clearing trades through DRS has been underdeveloped. That's forgivable.


txtoby

Thanks for this! Just updated mine.


minesskiier

Thanks Friend!


Swineservant

Ook!


Logen-Nine-Fingers

Having a TD guide to do this would be most helpful!


CalicoJake

Done, and posted. :-)


roeJimmy_roe

Can this be done on the mobile app? I can’t seem to find it on the app.


CalicoJake

I dont know, but I can experiment with it this afternoon - Cheers!


ceciliagar

Anyone know how to do with Schwab…Have custodial accounts for my kids. Been lurking since Dec. 2020…first time ever posting on Reddit. Appreciate any guidance.


p0ppyshmurda

Can this be done from the mobile app, or only on a pc?


CalicoJake

Im looking into that. At the moment I would assume it can be done on mobile, but maybe not.


sendmepics-

Nice thanks OP


Daddygrez

Im using wealthsimple, is it possible to do the same?


genniearse

IBKR is so confusing, anyone can give step by step for IBKR?


Vnmous

!remindMe 48 hours


ImmoralBlueCoral

There is no link for "manage dividends"


CalicoJake

Are you on mobile, or Web?


ImmoralBlueCoral

Mobile. Should i tryout the web version?


CalicoJake

Yeah, the mobile version may have a different layout due to screen real estate limitations.


Investor_Pikachu

Posting to bookmark this when I get home.


ApeYoloDFV

Quick comment - but exact same process to configure your dividend on SAXO. There is an option for cash or shares and it defaulted to cash for me I changed it ! I ll post about this soon especially for Europoors


CalicoJake

Cool, cheers!


rmme32

Retard alert


untamedHOTDOG

Holy shit. Thanks u/CalicoJake ! Looked at my all my accounts and literally every single one except for the govt tickers were set to “deposit into core” account. Changed everything into “Reinvest into security.” Take my updoot! Also made sure to check boxes “All equity positions currently held in this account” and “Future equity purchases, transfers, and deposits to this account.”


leegamercoc

This is great thank you!!!!!!


RvrsFlash

Nice one, mate


Danwphoto

Way rad.. it worked.