Transfer Agent and Securities Industry Reference Guide

An individual or entity that enjoys the benefits of ownership of shares, even though the shares are registered in another name, typically a broker or custodian. This means that while the broker or custodian holds the legal title to the shares, the beneficial shareholder retains the rights to dividends, voting, and other benefits associated with the shares.

An electronic system used in Canada to hold and transfer securities, such as stocks and bonds, in a dematerialized form. It facilitates the secure and efficient transfer of securities without the need for physical certificates.

The process of depositing securities into a Central Depository System (CDS) account.

The process of withdrawing securities or funds from a Central Depository System (CDS) account.

A unique nine-character alphanumeric code used to identify financial securities in the United States and Canada. This code helps facilitate the clearing and settlement of trades by providing a consistent identifier for each security.

A method of recording shares of stock in book-entry form, meaning the shares are registered directly in the shareholder's name on the company's books without the need for physical certificates. This system is managed by the company's transfer agent.

A central securities depository that provides clearing and settlement services for securities transactions in the United States.

A service provided by the Depository Trust Company (DTC) that allows for the electronic transfer of securities between a broker-dealer and the DTC. This method is used to deposit new shares or withdraw shares from an investor's account without the need for physical certificates.

A unique 12-character alphanumeric code used to identify a specific security, such as stocks or bonds, across the globe. The ISIN code helps facilitate the trading, clearing, and settlement of securities transactions, especially those that occur across international borders.

A special certification stamp used to authenticate the signature on documents related to the transfer of securities, such as stocks or bonds. This guarantee ensures that the signature is genuine and that the person signing has the legal authority to do so.

A beneficial owner of a company's securities who does not permit their information to be shared with the company, meaning all communications must go through the intermediary.

A beneficial owner of a company's securities who has given permission to a financial intermediary, such as a broker, to release their name and address to the company or issuer of the securities. This allows the company to contact the beneficial owner directly with important communications, such as annual reports, proxy materials, and other shareholder information.

A document that allows shareholders to vote on corporate matters without being physically present at the shareholder meeting. It is typically sent out along with the proxy statement, which provides details about the issues to be voted on, such as the election of directors or approval of significant transactions.

Also known as shareholder of record, is an individual or entity that holds shares directly in their own name on the company's register. This means their name and address are recorded in the company's share registry, which is usually maintained by the company's transfer agent.

A notation placed on a stock certificate or DRS (Direct Registration System) to indicate that the securities are restricted and cannot be sold or transferred in the public marketplace unless certain conditions are met.

A request for information typically sent out by the transfer agent to Intermediaries regarding the ownership of securities.

Also known as a stock certificate, is a legal document that serves as proof of ownership of a specific number of shares in a corporation. It includes important details such as: Certificate number, Company name, Shareholder’s name, Number of shares owned, Class of shares (common or preferred), and Issue date.

A form of authentication provided by financial institutions, such as banks, to verify the legitimacy of a signature on documents related to the transfer of securities, like stocks or bonds. This guarantee helps prevent fraud and ensures that the person signing the document is indeed authorized to do so. Computershare only accepts Signature guarantees from three Financial Institutions: RBC, Scotiabank, and TD Bank.

A financial institution, such as a trust company, bank, or similar entity, that is appointed by a corporation to manage and maintain records of its shareholders. The primary responsibilities of a transfer agent include recording changes of ownership, maintaining securityholder records, distributing dividends, and facilitating proxy voting.

A document used by beneficial shareholders to provide their voting instructions on corporate matters, such as the election of directors or approval of significant transactions. Since beneficial shareholders hold their shares through a broker or other intermediary, they do not receive proxy materials directly from the company. Instead, the intermediary sends them a VIF to collect their voting preferences.