Thread by @Nairametrics

Are you one of those with dozens of share certificates and dividend warrants stashed in a drawer or safe in your house? If yes, then this #Thread is for you:

How To Monetize Old Share Certificates and Locate Missing Stocks BTU by @nairametrics

As usual with all @nairamterics threads, Retweet the first tweet so that others can see and be educated too! Let’s begin

What are share certificates?

Share certificates are physical evidence of your ownership of shares in a private, public or quoted company. For quoted companies, they are typically issued during Initial Public Offerings (IPO’s) or Public Offerings

How Can You Make Use of them?

Share certificates can be used in many ways. You can use it as a collateral for a loan of the underlying shares is worth a lot. You can also monetize it by selling part or all of the shares listed in the top right or left corner of the share certificate

How To Monetize My Share Certificate?

To monetize your share certificate, you will have to open a stock brokerage account if you do not already have one.

You hand over the certificates’ to your stockbroker and instruct them to convert the shares into trad-able stocks, a process called Dematerialization.

Once the share certificates are dematerialized, it enters the database of the Central Securities Clearing System (CSCS) and you can now sell it.

What if the company no longer exists?

That is a possibility. However, some companies may no longer exist in their previous forms because they have transformed into other companies either through name changes, mergers, or a takeover.

If that is the case, then all you need to do is go online do a search in order to locate the name of the registrars of the company.

If the company no longer exists because it has been liquidated, then you can also contact the registrar who will link you up to the liquidator in the event that they were able to recover some funds for shareholders.

Side note: It is possible to have share unbeknownst to you! A lot of people loose share certificates either through post or undelivered mails. It could also be that it was stolen or just missing. Some could also have gotten a bonus issue but are unaware of this.

Whatever, the case it you can recover these lost shares by going to the registrar of the company. You can also mandate your stockbroker to check with the CSCS as the shares may have been lodged with them especially if it was an e-bonus or is already dematerialized.

Don’t know what happened to all your shares since the crash?

Don’t worry you are not alone in this. The first thing you should do is try to locate your CSCS number which is given to everyone who trades in shares.

You can also then contact your stockbroker and ask that they give you your statement from inception till date. If you do not remember who your stockbroker is then approach a new one with your CSCS number and ask that they locate your portfolio.

If you are living abroad and don’t have access to a stockbroker, just go to the website of the CSCS and click on their contact to get their details and give them a call, you can also click on their product and services portal and follow the prompts.

Once you register with them after paying some fees, you will be able to view all stocks bought in your name irrespective of the stockbrokers including their current value.

I hope you’ve learnt a thing or two of value. Remember to follow @nairametrics to stay up to date on financial matters. Click this link to connect via WhatsApp: bit.ly/NairametricsWh…