How to Sign a Stock Certificate

A stock certificate is your proof that you own stock within a corporation. It also reflects the exact number of stocks that you own. When you have brokers acting on your behalf, it is often necessary to sign your stock certificate and submit it to the broker. This is referred to as “transferring” your certificate. By transferring your stock certificate to the broker it enables him to negotiate on your behalf.

Instructions

    • 1

      Visit a local bank or credit union to obtain a Medallion Signature Guarantee. The Medallion Signature Guarantee basically guarantees that you are the person who has the authority to endorse and sign over the stock certificate.

    • 2

      Look at the name that is on the front of your stock certificate. Turn your stock certificate over so that the back side is facing upwards.

    • 3

      Sign your signature on the back of the stock certificate. The name should be signed exactly as it appears on the front of the certificate. This should be done in the presence of the bank representative.

    • 4

      Place the name and tax ID number of your broker in the “Assigning To” field that is on the back of the stock certificate. This will ensure that only your broker can negotiate with your certificate.

    • 5

      Mail the signed stock certificate and Medallion Signature Guarantee to the address provided by your broker.

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References

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