- The internet and online brokerages have made the physical stock certificate a thing of the past.
- You may still request a stock certificate through the issuing company or via a broker.
- Brokerage firms keep an account in your name with the number of shares that you hold.
- Outdated stock certificates may have value as decorative collectibles.
According to the regulations laid out by the Securities and Exchange Board of India (SEBI), you can only trade and invest in shares that are in the dematerialized format. This step was taken primarily to ease the process of buying, selling, and transferring the shares of a company. The process of converting the physical shares of a company into an electronic form is commonly known as dematerialization.
In investing, a correction is a decline of 10% or more in the price of a security from its most recent peak. Corrections can happen to individual assets, like an individual stock or bond, or to an index measuring a group of assets.
The Income Tax does not allow loss under the head capital gains to be set off against any income from other heads – this can be only set off within the ‘Capital Gains’ head.
- Long Term Capital Loss can be set off only against Long Term Capital Gains.
- Short Term Capital Losses are allowed to be set off against both Long Term Gains and Short Term Gains.
An affidavit if your old and current signatures do not match. Signature mismatch is the biggest problem shareholders face. It gets a little more complex if your sign has actually changed.
In case of the death of the holder the shares, it will be transferred to the legal representative and in case of insolvency to the official assignee.
Transmission of shares takes place due to the operation of law that is when the holder is no more or has become lunatic or insolvent. It can also take place when the holder of shares is a company, and it has wound up. There is no transfer deed executed, and the transferee will be given the rights to the shares, and the transmission is recorded only when the transferee gives proof of entitlement to the shares.
Bonus issues and stock splits are two common corporate measures used by publicly traded firms to increase the number of shares available for trading. Both of these words are commonly misunderstood by investors. Shareholders are rewarded in a variety of ways by publicly traded corporations. These benefits can come in the shape of dividends or additional shares.
Shareholders do not have to pay anything more in the case of a stock split or bonus issue.