Cost Basis of AMC and APE

[ABSHK]

 

As I was holding AMC stocks, I was issued same number of APE stocks in my IG.com account.

When the stocks were added to my account, they were initially added with $0.0 price. 

Does anyone know what is the cost basis of the APE stock and does it affect my cost basis on AMC stock ?

If I sell my APE or AMC shares I need to know How do I calculate my capital gains and losses. Since I am not clear on the Cost basis.

[OfentseIG]

23 hours ago, ABSHK said:

 

As I was holding AMC stocks, I was issued same number of APE stocks in my IG.com account.

When the stocks were added to my account, they were initially added with $0.0 price. 

Does anyone know what is the cost basis of the APE stock and does it affect my cost basis on AMC stock ?

If I sell my APE or AMC shares I need to know How do I calculate my capital gains and losses. Since I am not clear on the Cost basis.

Hi @ABSHK

Thanks for reaching out. 

The APE line was a 1 to 1 distribution offered to AMC holders. Since you as the client did not purchase this holding, the price per share will be at zero. If you decide to sell your holding, you would be gaining the difference in the closing price minus the buying price of zero as your profit. Assuming you sell at 1.82 as showin on the platform, your profit will be calculated as (1.82 - 0)* number of shares = Profit

Thanks, @OfentseIG