Dividend Adjustment Of BAJAJ-AUTO For March 2023
Find out all the information about the Dividend Adjustment of BAJAJ-AUTO for March 2023, including the ex-dividend date, record date, cash and F&O adjustments, and more. Discover how Bajaj Auto Limited will adjust its dividends according to SEBI regulations.
BAJAJ-AUTO Limited announced the Dividend of ₹ 140 per share on April 25, 2023. This translates to a yield of 3.23% based on the closing price of ₹ 4332.10 on April 24, 2023. The ex-dividend date is set for June 29, 2023, with the record date for dividend payment scheduled for June 30, 2023.
SEBI’s Guidelines for Dividend Adjustment in F&O
As per SEBI regulations, companies declaring dividends higher than 2% of the preceding day’s closing price must adjust the dividends in futures and options markets. In compliance with these rules, BAJAJ-AUTO will adjust its dividends in both the futures/options markets and the cash market.
Dividend Adjustment of BAJAJ-AUTO for March 2023 in the Cash
Investors who buy BAJAJ-AUTO shares on or prior to June 29, 2023, will receive the cash dividends directly to their bank accounts, as this is the last cum-dividend date for the stock in the cash market.
Dividend Adjustment of BAJAJ-AUTO for March 2023 the Futures
In the futures market, BAJAJ-AUTO’s futures contracts will be adjusted by subtracting the dividend amount from the June 29, 2023 closing price. For instance, if BAJAJ-AUTO closes at ₹ 4640 on June 29, 2023, one futures contract would be worth ₹ 4640 x 250 = ₹ 11,60,000. The next working day, June 30, 2023, the value of the same contract would be adjusted to ₹ 4500 x 250 = ₹11,25,000. The difference between these two values will be transferred from the futures seller’s account to the futures buyer’s account.
Dividend Adjustment of BAJAJ-AUTO for March 2023 in the Options
In the options market, the dividends will be subtracted from the call and put option strike prices for ongoing monthly contracts i.e. July 27, 2023, and those expiring on August 31, 2023, and September 28, 2023. This can be understood through the table given below:
BAAJ-AUTO Dividend Adjustment
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