Bonus Issue vs Stock Split: What is the Main Difference Between Stock Split and Bonus Issue

Did you know that when a company needs to adjust its share structure, it can choose between a bonus issue and a stock split. What is difference between stock split and bonus issue? These two strategies serve unique purposes and offer distinct outcomes for both investors and the company. what is a bonus issue? A bonus issue often signals confidence in the company because bonus shares are more like rewarding investors without necessitating additional investment. Conversely, a stock split aims to make the stock more available to a wider range of investors by lowering the price per share. Today, let us understand the bonus issue vs. stock split in detail.