Do you have dozens of share certificates and dividend warrants stashed in a drawer or safe in your house? Or you are wondering on what has become of all the shares you bought during the stock market boom and how you can track it considering that it may have had a rebound, following the ensuing crash?
This article will go a long way to provide an insight on what to do with those share certificates and how you can track stocks you may have lost years ago.
Share certificates can be used in several ways. You can use it as collateral for a loan of the underlying shares is worth a lot. You can also monetise it by selling part or all of the shares listed in the top right or left corner of the share certificate.
READ ALSO: Eskom: South Africa’s Government Must Work with Private Sector – SACCI President
To monetise 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 stockbrokers and instruct them to convert the shares into tradable stocks, a process called Dematerialisation. Once the share certificates are dematerialised, it enters the database of the Central Securities Clearing System (CSCS) and you can now sell it.
If you are unaware of what happened to your shares since the crash of the market, do not 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. You may have to register with them as well before this service is rendered.
