Hello, Can anyone help me make the following clear. I use IB and have a long position in NXP Semi for a few weeks. I chose to tender in the Corp Action message and as I continued to buy, the original 100% tender choice should have been reduced to 30% or so of total position. Right before the offer deadline (2 days ago), my NXP positions were shown as NXPI and NXPI.TEN in the account and the total cost for NXPI.TEN portion was shown zero and the NXPI portion the actual full cost base. Yesterday, the average cost shown for my holding was $3 above the actual avg cost which I keep track. IB Chat told me it would be corrected later. Today, the average cost is about $2 below the actual avg cost, but some other amount have been reduced (probably my USD cash balance but not sure exactly which), so the gross portfolio amount (net liquidation value) looks correct. Can you explain how the tendering affected my cost basis accounting first above and then below the true cost. IB Chat Corp Action mate somehow never available.
It will be worked out when the tendered position is either accepted (for cash or stock), or when it’s returned. For NXPI, you should get your shares back at some point since the deal is off. In the meanwhile, don’t believe the cost numbers in TWS, but the actual tax cost when it’s reported should be correct.
How does the accounting process work? The tendered shares go to some broker account? then affects my cash-cost balances...?