Good Delivery Requirements
Chapters in this video
- 0:00 The 150-share certificate trap and the magic number 100
- 1:57 Endorsement rules, name changes, and the stock power solution
- 3:42 Joint account signatures and deceased owner freezes
- 5:24 Registered bond denominations and bearer bond coupon rules
- 6:43 Mutilated certificates and the transfer agent fix
- 7:19 Rapid-fire exam recap
What this video covers
- Why a 150-share certificate is never good delivery, and how the magic number 100 governs all valid stock denominations (multiples, divisors, and combinations)
- How endorsement signatures must match the registered name exactly, and what documentation fixes a maiden name or legal name change
- When to use a stock power instead of endorsing the certificate itself, and why mailing an endorsed certificate is a security disaster
- Why joint account certificates require ALL registered owners to sign, with zero exceptions for missing signatures
- Why certificates registered to a deceased person are frozen until letters testamentary or a court order transfers ownership
- How registered bond denominations differ from stock (multiples of $1,000 up to $100,000), and why bearer bonds must have every single unpaid coupon attached
- What makes a certificate mutilated, and why only the transfer agent or issuer can validate or replace it
Read the full lesson, free
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