Legal ownership of UK shares used to be determined by share certificates, but is now captured electronically on the register of share ownership for each firm, which is updated after every share transaction.
Usually a broker records shares bought on behalf of clients using a general 'nominee' account on the register with a name chosen by the broker. Nominee accounts are preferred because recording many shareholdings under a single name reduces administration time and cost, since share certificates are not issued.
MoneyWeek
Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE
Sign up to Money Morning
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
-
Nationwide: House prices unexpectedly dropped in AugustHouse prices fell by 0.1% in August in a surprise drop, according to Nationwide, as “affordability remains stretched”
-
Premium Bonds winners announced – did you scoop the September jackpot?NS&I has announced the winners for September’s Premium Bonds prize draw, with two lucky savers becoming overnight millionaires. Did you win this month?
