Just wanted to add, you can submit a request via chat with fidelity. Just tell them you want to direct register your shares and they’ll ask how many you’d like to send. All info will be sent over to ComputerShare from Fidelity and they’ll create an account.
You currently only beneficially “own” your holdings when going through a broker as they are the custodian. This means your name is not associated with any ownership at all. If the broker goes tits up, good luck getting what’s owed to you and have fun with FDIC. This also means the brokers can do what they feel like with “your” shares since they’re the custodian. This is true for all your holdings when purchasing shares via a broker. Brokers make a lot of money lending your shares to the shorts for locates which in turn lowers the stock price and you get nothing in return for having your own investment used against you.
Direct Registration is putting you as the owner and companies can see who specifically owns their shares. Which means if tomorrow for some reason all brokers go tits up, it won’t matter as you have your shares registered under your name directly with the company’s transfer agent outside of a broker. This also means your shares cannot be lent out for shorting, or used as locates. It effectively removes the shares from the market while also giving publicly traded companies insight into who actually are their shareholders.
To boil this down to one simple question: Do you trust the Wall Street and the banks? If not, direct register.
Thankfully, I have done that with previous share purchases, so I already have some shares registered with Computershare. Thanks for reminding me that I need to DRS any future shares too.
Make sure to direct register the share with GameStop’s transfer agent: Computershare.
If you have any questions, happy to assist and provide documentation and research to look over before doing.
How do I direct register my stocks on fidelity?
Here’s a guide that will help walk you through the process: drsgme.org
If you have any questions just follow up on this thread. :)
Thank you
Just wanted to add, you can submit a request via chat with fidelity. Just tell them you want to direct register your shares and they’ll ask how many you’d like to send. All info will be sent over to ComputerShare from Fidelity and they’ll create an account.
What are the benefits of this?
You currently only beneficially “own” your holdings when going through a broker as they are the custodian. This means your name is not associated with any ownership at all. If the broker goes tits up, good luck getting what’s owed to you and have fun with FDIC. This also means the brokers can do what they feel like with “your” shares since they’re the custodian. This is true for all your holdings when purchasing shares via a broker. Brokers make a lot of money lending your shares to the shorts for locates which in turn lowers the stock price and you get nothing in return for having your own investment used against you.
Direct Registration is putting you as the owner and companies can see who specifically owns their shares. Which means if tomorrow for some reason all brokers go tits up, it won’t matter as you have your shares registered under your name directly with the company’s transfer agent outside of a broker. This also means your shares cannot be lent out for shorting, or used as locates. It effectively removes the shares from the market while also giving publicly traded companies insight into who actually are their shareholders.
To boil this down to one simple question: Do you trust the Wall Street and the banks? If not, direct register.
Thankfully, I have done that with previous share purchases, so I already have some shares registered with Computershare. Thanks for reminding me that I need to DRS any future shares too.