You can think of CFD Cash Adjustments, as dividends on your CFD position. As it is not accurate to call it CFD dividends, the CFD Cash Adjustment definition is used instead. When an underlying stock goes ex-dividend, entitlements (adjustments) will be allocated to your account. Cash adjustments on CFDs are booked on Ex-date based on the eligible holding on ex-date-1 reflecting the market price movement on the Ex-date, but the actual value of the payment will be settled on Pay Date.
- For Long CFD positions, a cash adjustment is credited to the client's account
- For Short CFD positions, a cash adjustment is debited from the client's account
You can read more about CFDs corporate action handling on our home page. Please be aware, that CFD Cash Adjustments are visible in CFD Cash Adjustments report and not the Share Dividends report.