Securities Transfer Corporation

Corporate and Municipal CUSIP Request Volumes Surge in October. CUSIP Global Services today announced the release of its CUSIP Issuance Trends Report for October 2024. Year-over-year increases in nearly every category, some at significant percentages. Only CDs and short-term municipal notes are trending negatively.

How will election results shape Opportunity Zone investing? We are hearing about a shift from an apparent pause in investment capital flowing into Opportunity Zone investments prior to the election into immediate renewed investor interest after the election outcome. It seems that some investors and financial advisors are of the opinion that the tax legislation in 2025 looks very likely to extend and possibly revive OZ’s. Is this enough of a catalyst to supercharge the OZ market, or will a majority of investors have a “wait and see” approach?

Today, we honor the brave men and women who have served our country, whose sacrifices have secured the sovereignty, prosperity and freedom of our nation.

Are the significant CUSIP number increases a sign that the economic conditions seem more favorable to issuers to initiate new equity and debt offerings? Gerard Faulkner, Director of Operations for CUSIP Global Services, seems to imply this may be the case: “After two consecutive months of slowdowns in request volume, August brought a significant surge in new issuance activity. With this bump in volume, we’re now seeing year-over-year increases in CUSIP request volume across nearly every asset class we track – a sign that issuers are eager to seize on current market dynamics to issue new securities.” Contact STC to obtain your needed CUSIP numbers, including obtaining DTC eligibility for the securities that may apply, at 469-633-0101, or by email at [email protected]

Back to School with STC Today’s acronym is, “DRIP.” A DRIP, or Dividend Reinvestment Plan, enables shareholders to reinvest their dividend earnings back into additional shares of the dividend paying security. A DRIP plan allows shareholders to compound their earnings by buying additional shares leading to increased dividends. DRIPs are valuable programs companies provide their shareholders which encourage long-term investment in the company and ultimately provide a more beneficial and long term shareholder experience. To learn more, visit stctransfer.com

Back to School with STC Today’s acronym is, “DTCC.” DTCC, the Depository Trust and Clearing Corporation, provides custody, settlement, post-trade clearance and information services for securities. Having a security that is DTC eligible offers an Issuer and their securityholders numerous advantages compared to securities that are not DTC eligible and expands access to additional potential investment opportunities. To learn more, visit https://lnkd.in/ggzQh5XC

Back to School with STC Today’s acronym is, “OFAC.” OFAC, or the Office of Foreign Assets Control is an division of the US Treasury Department that administers and enforces economic and trade sanctions based on US foreign policy and national security goals. OFAC checks are a crucial piece of a robust KYC and compliance program for any Issuer and transfer agent. OFAC checks involve checking the names of individuals and entities against various lists of US government sanctions. It is generally illegal to do business with or transfer goods, services or money to sanctioned individuals or entities. To learn more, visit stctransfer.com

Back to School with STC Today’s acronyms are “NACHA” and “ACH.” NACHA, the National Automated Clearing House Association, is an independent organization that manages the Automated Clearing House or ACH network, which is the financial network that enables direct deposits and direct payments and can reach all US bank and credit union accounts and some international accounts. Utilizing ACH payments instead of checks or wires for dividend and other distribution payments provides an efficient, convenient, and secure method of payment for your shareholders. It is usually significantly cheaper than wires and is both cheaper and much faster and more secure than checks. To learn more visit stctransfer.com

Back to School with STC As students around the country go back to school, its a good time to remember some commonly misunderstood acronyms from the back office world that we often encounter . Today’s acronym is, “DWAC.” DWAC, or Deposit Withdrawal at Custodian is an easy and fast way to deliver shares electronically a brokerage account directly from the transfer agent. The DWAC process saves time and is usually more economical than traditional methods of depositing shares. To learn more, visit stctransfer.com

What constitutes a “corporate action”? A corporate action is an event carried out by a company that materially impacts its shareholders and/or bondholders. Common corporate actions include the payment of dividends, stock splits, tender offers, and mergers and acquisitions. These actions are usually approved by the company's board of directors and authorized by its shareholders. To find out how STC can assist you with all aspects involved in various types of corporate actions, reach out to us for our expert assistance at (469) 633-0101 or by email at [email protected].