The Unit/Share Adjustment e-doc allows you to change the number of units of a security held by a KEMID without affecting the original cost or carry value of the security tax lot(s). You input the number of units to be adjusted up or down, and the system spreads that change across all tax lots for the KEMID. If this transaction should not affect multiple tax lots, you may select only a specific tax lot or set of lots to be adjusted.
This e-doc does not affect the General Ledger because it does not change the carry value as recorded on the General Ledger. It does, however, affect the market value of the security held by the KEMID because it is a calculated value based on the number of units held.
Some situations in which you might want to use this e-doc include:
• Stock splits.
• Reverse stock splits.
• Adjustments to bring the information in line with that provided by a bank, manager or broker statement.