Episode Details

This podcast is made by Ran Chen, who holds an EA license, Insurance and Securities licenses (Series 6, 63, 65), and the CFP® designation. He is passionate about opening access to high-quality exam preparation resources and helping learners prepare more effectively for professional certification exams. In this episode you will learn: - A tender offer must remain open to shareholders for a minimum of 20 business days. - Stock splits and reverse stock splits do not change the total market value of a shareholder's position; they only adjust the number of shares and the cost basis per share. - Mergers and acquisitions typically require shareholder approval, which is solicited through a proxy vote. - It is crucial to differentiate between mandatory corporate actions (e.g., stock splits, mergers) and voluntary ones (e.g., tender offers, rights offerings), as the latter require a decision from the shareholder. - A reverse stock split reduces the number of shares and increases the price per share, often to prevent a company's stock from being delisted by an exchange.