Ignition to Wealth

039 | What is a Stock Spinoff?


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In Today’s Episode

Eric and Brandon discuss the interesting topic of spinoffs. The guys breakdown what a spinoff is and how it applies to the everyday investor. They also discuss an upcoming spinoff that was just announced.

 

What You’ll Get Out of Today’s Show

  • What a spinoff is and why a company would initiate a spinoff
  • The behind the scenes work a brokerage firm does to complete a spinoff
  • How partial shares are converted to cash in lieu
  • Some potential risks of spinoffs and the companies that announce spinoffs
  • Breakdown of Pfizer’s recent spinoff back in 2020
  • Discussion on what will probably come from the AT&T and Discovery spinoff coming in 2022



Links Mentioned in This Episode

 

ignitiontowealth.com/resources

 

ignitiontowealth.com/tools

 

ignitiontowealth.com

 

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