What is Bonus Share| Bonus Share Explained| Reason Behind Bonus Issue

Basically, Bonus shares are the additional shares that a company gives to its existing shareholders on the basis of shares owned by them. Bonus shares are issued to the shareholders without any additional cost. But people often get confused that bonus shares will affect their total investment amount, or it may cause a fall in share price. So, in this video, we have discussed what Bonus Shares actually mean and how they impact the company and its shareholders. This video covers -

0:00 Introduction
2:13 Calculation for Bonus Issue
3:30 Why do companies issue bonus shares?
4:55 Benefits to Shareholders
5:30 Who all are eligible for the Bonus Issue?
6:23 Conclusion

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Watch our video on What is Dividend -    • What is Dividend| Dividend explained ...  

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