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BB Hokie

Joined: 09/06/2010 Posts: 3161
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Here is Fidelity's answer to that question...


Q4: Why did Fidelity decide to do share splits?

A: Fidelity made this change for operational purposes. The firm launches most funds with an initial NAV of $10.00, which is consistent with market convention for new funds. Over time, the NAVs on several of our funds have appreciated significantly, above $100 per share. The share splits will now align the NAVs of the funds with their industry peers. The lower NAVs combined with Fidelity’s recent removal of investment minimums might also allow for more flexibility for any shareholders who prefer to buy shares in full, rather than fractional shares.
There is no change to the value of your investment and there is no tax impact to you as a result of this change.

(In response to this post by RTFC)

Link: link


Posted: 08/13/2018 at 11:45AM



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Current Thread:
 
  
Mutual fund question -- RTFC 08/13/2018 11:32AM
  A mutual fund is having a colonoscopy? ** -- Hokie360 08/13/2018 1:40PM
  I agree -- RTFC 08/13/2018 12:54PM
  If it's a fidelity fund, they answer that question. -- vtbones 08/13/2018 11:47AM
  Here is Fidelity's answer to that question... -- BB Hokie 08/13/2018 11:45AM
  Yeah, I read that -- RTFC 08/13/2018 11:54AM
  It is a true split -- RTFC 08/13/2018 11:50AM
  Someone smarter? That's a tall order here. ** -- Brown Water 08/13/2018 11:41AM

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