RIL's declaration of 1:1 bonus issue came as a good surprise. People are treatting it as a Diwali gift from none other than Reliance. Bonus shares are considered to be highly beneficial to the shareholders. But in reality, I think, though these bonus shares are free gift on which dividends will be paid in future, but won't the share prices be adjusted downwards? So wont' shareholder's wealth remain the same?
But other view is that since its Reliance, in long term this will surely be friutful! Reliance has always been outperformer, so i hope this bonus will be beneficial to me...
Comments welocme :)
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