Watching Your Account Balance

         At the end of last month, I received a dividend from one of my stocks called Just Energy.  This stock gets dripped inside my brokerage account. I looked at my account activity and notice it was not right. My account said that I received the correct amount of dividends that I was expected to receive for that dividend payment.

So what went wrong ?

        So the stock has the DRIP turned on and I have enough to acquire a whole share. My account activity states I receive  6 shares @ $6.45  for a cost basis of  $36.75.  I noticed this right away and contacted my broker ASAP through e-mail.  I told my broker that either the $6.45 was wrong or the $36.75 was wrong and one of their employees said they think the stock trades in US dollars.  I have owned this stock for a year and a half at least.  I told them that I purchased the stock in Canada on the TSX. I told the stock in Canada trades in CDN dollars and the listing on the NYSE (New York ) trades in US dollars.

Towards the end of the e-mail they suggested on contacted Just Energy to find out which currency they trade in. I then contact Just Energy Investor Relations and ask them to clarify what currency the stock trades on the TSX and the NYSE..  They replied " The stock in Canada on the TSX trades in Canadian Dollars and the stock trades in US dollars on the NYSE. The dividends are paid in Canadian Dollars for both the Canadian listing and the US listing"

I then contacted my broker through e-mail and attached a copy of the e-mail from JE investor relations. My broker then admitted that they made a mistake and used US currency.

What to learn from this ?

As an investor you need to know the following:

1. When your dividend payment dates are roughly
2. What currency you dividends are being paid
3. What currency you stock trades in
4. Monitor activity in  your account.
5. If dripping, if your cost basis makes sense according to your number of new shares and the reinvestment price.

Disclosure: I currently still own JE


DISCLAIMER:

     I am not a financial planner, financial advisor, accountant or tax attorney. The information on this blog represents my own thoughts and opinions and should NOT be taken as investment or business advice.  Every individual should do their due diligence to make their own financial decisions based on their financial situation and tolerance for risk