Who are share registrars and what do they do?
Registrars of shares keep an up-to-date record of all stocks bought, which includes names of individual shareholders, their shareholdings, their addresses, and signatures amongst other salient information. These addresses and signatures of clients can be changed upon request of holders after verifications are done. It is necessary to maintain a correct address at all times because notices of annual general meetings and other relevant correspondence are communicated through this medium. They are also responsible for paying dividend to qualified shareholders when it falls due. Indemnity for loss certificates and for lost dividend warrants forms are given upon request of holders when documents are lost or destroyed and after completion, new ones are issued. Among their numerous functions, they transfer shares on behalf of a deceased holder. If you should invest in shares, you would be entitled to dividends which are declared by board of directors at an annual general meeting. Capital gains, bonus share issues and right issues are among the several benefits of investing in shares. Capital gains are increase in the value of a capital asset (investment or shares) that gives it a higher worth than the purchase price. The gain is not realized until the asset is sold. A bonus share is a free share of stock given to current shareholders in a company, based upon the number of shares that the shareholder already owns. Although the total number of issued shares increases, the ratio of number of shares held by each shareholder remains constant. A rights issue is a way in which a company can sell new shares in order to raise capital. Shares are offered to existing shareholders in proportion to their current shareholding, respecting their pre-emption rights.
Responsibilities of the Registrar to Shareholders
Keep register of shareholders
See to the arrangement of annual general meetings and posting of annual reports to all shareholders
See to the issuance of certificates to new shareholders and existing shareholders who have misplaced their certificates
See to the payment of dividends to qualified shareholders
Works on share transfers( both mutual and deceased)
The responsibility of the registrar to the broker
Receive lodgments from brokers through which they effect transfers of share unto the central depository when document presented are verified and justified.
Print statement of broker’s holdings periodically.
Also print statement of holdings to clients upon request
The registry is also of assistance to Students and other stakeholders may need annual reports of listed companies for research purposes.
Documents you should always take along when going to the registry
Valid identification card (Driver’s License, passport, National Health Insurance Scheme Card and Voters’ Identification Card.
Receipt on shares bought
Share certificates
Where a deceased transfer is requested, a probate or Letter of Administration is required, depending on the circumstance in which the holder dies.
Where an Administrator or an Executor cannot come personally to help with the transfer. It is deemed necessary to apply for a power of attorney from the court to facilitate the transfer.
Documents you should take to your registrar as a broker
A broker should ensure that all the lodgments to the registry contain valid documents and duly certified since these documents are transferred to the GSD.
Correct number of shares must be quoted on the GSD form
Ensure that a photocopy of a valid photo ID of the shareholder is attached to the GSD form and is duly certified
Because there are several registrars dealing with different equities, brokers must always ensure that the right equity is presented to the registrar involved in the transaction.
Here are the registrars of listed companies on the Ghana Stock Exchange.
NTHC (located in MARTCO House, Adabraka near Farrisco Traffic light)
Fan Milk Ltd
Pioneer Kitchenware Ltd
Standard Chartered Bank Gh. Ltd
Sg-Ssb Ltd
Aluworks Ltd
Produce Buying Co. Ltd
Anglogold Ashanti Ltd
Enterprise Insurance Co. Ltd
Cocoa Processing Co. Ltd
Sam Woode Ltd
Benso Oil Palm Plantation Ltd
UT Bank
Clydestone Ghana Ltd
Golden Web Ltd
Ayrton Drug Manufacturing Ltd
Transaction Solutions Ltd.
COMPUTER SHARE REGISTRARS
Cal Bank ( Located in Osu opposite Pill Box Pharmacy)
MERCHANT BANK
ACCRA BREWERY LTD.
HFC BANK LTD
MECHANICAL LLOYD CO. LTD
PZ CUSSONS GH. LTD
SUPER PAPER PRODUCTS CO. LTD
UNILEVER GHANA LTD.
GUINNESS GHANA BREWERIES LTD.
CAMELOT GHANA LTD.
CFAO GHANA LTD
TOTAL GHANA LTD.
TRUST BANK (THE GAMBIA)
STARWIN PRODUCTS
SIC INSURANCE COMPANY LTD
GOIL GHANA LTD.
GHANA COMMERCIAL BANK (Located on the 4th floor GCB in Tower on High Street adjacent Bank of Ghana)
GHANA COMMERCIAL BANK
ECOBANK GHANA LTD
ECOBANK TRANSNATIONAL INCORPORATED
GOLDEN STAR RESOURCES LTD
Now that you know the role of registrars in the capital market, make use of this information as you invest in the capital market. Direct all questions, suggestions and comments to skafuiteye@gmail.com or skteye@gmail.com
©, Sophia Kafui Teye
