What is a DWAC?
The acronym DWAC is for Deposit/Withdrawal At Custodian and is run by The Depository Trust Company (DTC). It allows DTC participants to electronically transfer DWAC eligibble shares to or from a transfer agent.
What is the fee to process a DWAC?
The fee is $30 plus a Transfer Agent fee which can vary from agent to agent.
What are the advantages of processing shares electronically as opposed to depositing a physical certificate?
Processing shares electronically can save on time, fees and risks associated with a lost certificate.
I want to make a DWAC deposit of shares I own. What is the next step?
You will first need to make contact with a broker here and discuss the details of your transaction. The broker will have you complete an Equity Deposit Questionnaire or the Quick Facts Questionnaire. See Guidelines for Depositing OTC Securities. Once our compliance department has approved your transaction you can then open an account, or if you have one already open, you can proceed to initiate the DWAC. The transfer agent must receive instructions from the issuer or shareholder to accept the DWAC. We will then initiate the DWAC and if our instructions match the instructions at the transfer agent, then the shares will be transferred into your account. You should usually allow a business day for the shares to appear in the account.
Am I able to DWAC shares out of my account?
If the issuer is DWAC eligible you would be able to transfer shares back to a Transfer Agent.
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