# share certs/crest account/nominee account



## laila (8 Feb 2008)

Any update on this debate? It is discussed in key topics but dates from 2003. At that time it seemed that while holding certs was the safest that the way of the future was probably electronic - crest? Thanks. 
Also best lump sum and saving thread is closed in 2006 is there a survey on this anywhere else? Thanks again.


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## Gautama (9 Feb 2008)

I moved from Goodbody to Sharewatch when the former downgraded their service from Crest to Nominee.  I don't like the system of the Nominee Account.
Share certs are fast becoming a thing of the past.


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## Brendan Burgess (9 Feb 2008)

> Share certs are fast becoming a thing of the past.



Until another broker goes bust and the nominee shareholders can't sell their shares or get inadequate compensation. 

Unless you are trading, which is a form of gambling anyway, you should always hold your shares yourself. 

Coincidentally, another advantage of holding share certs is demonstrated in  this thread


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## MOB (9 Feb 2008)

I think that the worry about a broker\bank going bust might be avoided without necessarily holding paper share certificates.   As far as I can see, from an admittedly cursory look, you can have the advantages of both systems by having your own Crest personal account.


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## twofor1 (9 Feb 2008)

I know with my NIB Custody A/c they offer protection under the Danish Guarantee Fund for deposits and securities up to €20K per investor. 

Do the other Crest or Nominee A/c's offer similar protection ? if so given the ease with which you can buy and sell is this not a safe and inexpensive way to buy and sell for the small trader anyway ( who does not exceed this limit) ?


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## Brendan Burgess (9 Feb 2008)

I _think _that Crest is safe too. 

But why take any risk at all?  OK, if your shares are worth less than €20k, there is some protection in place. How long will it take to process your claim ...in Denmark?  What happens if the shares grow beyond the €20k. 

If you are buying shares for the long term, just tell the broker you want share certificates. Then you don't need to worry about compensation schemes or anything else. 

Brendan


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## laila (10 Feb 2008)

Thanks for all your replies so far. In answer to MOB. Crest would hold the certs in my name but when reading their small print I notice that they will take instruction from my sponsor - I assume this means broker and that they (crest) are not responsbile then for any fraudulent use of my account. It is unlikely but not impossible that a broker would fraudulenty use my account. I am probably being over cautious but I can't help spotting a weak link in the security re crest. 

I am tending towards holding certs but with a view to their security thought I would check out the cost of safety deposit in the bank. I rang an AIB  city centre branch who said they were phasing out this service in that branch. They would not clarify if this was policy throughout the bank but I got the impression that this was going to become a thing of the past. They said they could recommend private firms.  Keeping certs at home might also lack security. Possibly any method of holding shares poses some risk so is crest any riskier than any other method ....


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