Transfer Agents & Market Participants

Part of the mission of the GLOBAL REGULATORS is “to maintain standards for fair, orderly, and efficient markets.” To do this, many governments regulate a number of securities markets.

These include:

• Broker Dealers charge a fee to handle trades between the buyers and sellers of securities. A broker-dealer may buy securities from a customer who is selling from their own inventory to its customer who is buying; this can also be referred to a private purchase, often used in Mergers & Acquisitions, or also known as a private purchase.

• Clearing Agencies Organizations that are required to register with at least one U.S Regulator when handling any form of U.S securities, Stocks, Shares, Bonds, Commodities, pre-IPOs, Options. They are also required to follow laws rules and regulations. There are two types of clearing agencies, transfer agencies, and compliance departments, both have to maintain records of any securities purchased and both parties must submit any records of any securities purchased to the central register, which can be accessed by private companies wishing to privately purchase securities also referred to as (of the record securities).

• Clearing corporations compare member transactions, to ensure those trades are valid and prepare documentation for automated settlement of those trades. Clearing corporations often act as intermediaries in making securities settlements.

Information is then filed with the central registrar who then holds the securities certificates for their participants, allowing transfer positions between participants.

• Credit Rating Agencies - provide opinions on the creditworthiness of a company or security. They indicate the credit quality by means of a grade. Generally, credit ratings distinguish between investment grade and non-investment grade. For example, a credit rating agency may assign a "triple A" credit rating transfer agency as its top "investment grade", and a "double B" credit rating or below for "non-investment grade" or "high-yield" corporate bonds. A transfer agencies Credit rating is then registered as such with the regulators and is then known as “Nationally Recognized Statistical Rating Organization”.

• An Alternative Trading System is a trading system that meets the definition of an “exchange” under securities laws but is not required to register as a national securities exchange if it operates under the exemption provided under REGULATION 144 Act, which allows a cooperation to register a share purchase but operate under this exemption, however they must comply with the requirements set forth in Rules of REG S 144 Regulation, which includes registering as a broker-dealer, that trades stocks but must publicly file with the regulators an initial Form, and notices of cessations and operations. This Form requires disclosures about the manner of operations of the Stock and the related activities of the broker-dealer operator and its affiliates, among other things. A stock can be requested from various regulators throughout the global community, a company that does not submit an initial form, of notices of cessations of operations means this is regarded as a form of misconduct, and you would need the use or a transfer agency in order to have the securities transferred from one owner to another.

• Investment Advisers - Investment advisers are persons or firms that are in the business of providing investment advice to investors but must issue with that security a Regulation 144 restriction regarding the said securities. These shares CAN NOT be sold until this restriction has been removed, for this there is always a cost involved, as it is classed as a form of service and must be paid by either the issuing broker of the holder of the said securities.

•Securities Exchanges are markets where securities are bought and sold. Currently, there are fifteen securities exchanges registered thought the global community as national securities exchanges, including NYSE USA, Euronext, Eu, NASDAQ USA, Shanghai Stock Exchange (SSE), China, Japan Stock Exchange (JPX) Honk Kong Stock Exchange (SEHK) LSE Group, UK and Italy Saudi Stock Exchange, Saudi Arabia ASX Australian Securities Exchange, Johannesburg Stock Exchange, Deutsche Boerse AG.

• Regulatory Organizations (ROs) - An RO manages its industry through the adoption of rules governing the conduct of its members. ROs also enforce the rules they adopt and discipline members for violating RO rules. The frontline regulators of broker-dealers are based in the U.S and enforce rules regulating dealers of municipal securities. The Regulators oversees both Other ROs clearing agencies and securities exchanges.

• To Recap Transfer agents have and hold and have access to records and record changes of security ownerships, and maintain if the issuer's security holder holds those records, and distribute ownerships of registered securities. Transfer agents stand between issuing companies and security holders. Transfer agents are required to be registered with at least one regulator in the U.S, or if the transfer agent is a bank, with a bank regulatory agency, there is no RO that governs that transfer agency. The U.S Regulators have announced all the rules and regulations for all registered transfer agents. The intent is to facilitate the prompt and accurate clearance and settlement of securities transactions and assure the safeguarding of securities and funds.