Stock Record

AAA

DEFINITION of 'Stock Record'

An electronic system that helps brokerage firms keep track of the positions, location and ownership of the securities it is holding. The stock record displays the names of the real and beneficial owners as well as the names of the securities and must be updated any time a trade is executed. Since today's brokerage firms hold shares in street name for investors, meticulous bookkeeping is necessary for keeping track of the actual owners of the securities.

INVESTOPEDIA EXPLAINS 'Stock Record'

Historically, stocks were issued as physical certificates and holding securities in street name eliminated the brokerage's step of transferring the paper securities to the customer. This system simplified transactions and significantly reduced the time required to settle trades. Today, securities are held in electronic form, making the need for physical transfers obsolete, but making an accurate stock record essential.

RELATED TERMS
  1. Bearer Form

    A security not registered in the issuing corporation's books ...
  2. Holder Of Record

    The name of the person who is the registered owner of a security ...
  3. In Street Name

    A brokerage account where the customer's securities and assets ...
  4. Stock Power

    A legal power of attorney form that transfers the ownership of ...
  5. Stock

    A type of security that signifies ownership in a corporation ...
  6. Business Broker

    A professional who specializes in the purchase and sale of companies. ...
Related Articles
  1. Material Adverse Effect A Warning Sign ...
    Markets

    Material Adverse Effect A Warning Sign ...

  2. The 4 Basic Elements Of Stock Value
    Markets

    The 4 Basic Elements Of Stock Value

  3. Where's The Market Headed Now?
    Fundamental Analysis

    Where's The Market Headed Now?

  4. An Introduction To Stock Market Indexes
    Investing Basics

    An Introduction To Stock Market Indexes

comments powered by Disqus
Hot Definitions
  1. Correlation

    In the world of finance, a statistical measure of how two securities move in relation to each other. Correlations are used ...
  2. Letter Of Credit

    A letter from a bank guaranteeing that a buyer's payment to a seller will be received on time and for the correct amount. ...
  3. Due Diligence - DD

    1. An investigation or audit of a potential investment. Due diligence serves to confirm all material facts in regards to ...
  4. Certificate Of Deposit - CD

    A savings certificate entitling the bearer to receive interest. A CD bears a maturity date, a specified fixed interest rate ...
  5. Days Sales Of Inventory - DSI

    A financial measure of a company's performance that gives investors an idea of how long it takes a company to turn its inventory ...
  6. Accounts Payable - AP

    An accounting entry that represents an entity's obligation to pay off a short-term debt to its creditors. The accounts payable ...
Trading Center