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1
2
DreamWorks
3
Harley-Davidson
4
Wal-Mart
5
General Motors
6
Tiffany & Co.
7
Microsoft
8
Coca-Cola
9
McDonald's
10
Starbucks
Wendy's
,
Wrigley's
and
Yahoo!
— the most recent companies to potentially lose their stock certificates — signal a growing trend: the disappearance of official stock certificates.
Stock certificates used to be how everyone showed ownership in a public company. But that's changing. The securities industry has embraced digital record-keeping to lower the cost of doing business.
Plus, Depository Trust & Clearing, who handles most stock trades, now has just 3.4 million certificates in its vaults. Sounds like a lot, but it's a tiny sum compared to the 30 million certificates they held back in 1990. They aren't replenishing their supplies.
Last but not least, the passage of a new law in Delaware — where more than half of the nation's publicly traded companies are incorporated — is expected to make stock certificates even rarer. The law drops a requirement forcing companies to issue stock certificates. And many are doing just that.
Over the next year, we believe most major companies will abandon stock certificates for good, whether to cut costs, or because of mergers and acquisitions. So now's the time to grab a piece of a company you have a connection with. Produced from hand-etched cold press printing plates by artisan craftsmen, stock certificates are historic documents that'll only grow in desirability. Individually-numbered and emblazoned with the shareholder's name, each is one-of-a-kind.
Stay tuned to this page for the latest scoop on the disappearance of stock certificates.
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