Stock Certificates

Hang a Picture of Your Investment on Your Wall

Most people need some kind of incentive to start investing.

This is not the cheapest or necessarily the best, but it might be enough to get some people excited enough to begin on the slow road to wealth.

As everybody knows, all financial transactions are being reduced to "book entries" - little scribbles on your bank and brokerage statements.

People rarely, if ever see a stock certificate.

There is a form of collecting called Scripophily - the collecting of old stock and bond certificates.

DreamWorks Animation Stock Certificate

They are generally beautifully engraved pieces of industrial history and some contain valuable historic signatures, like that of John D. Rockefeller.

Brokerages don't issue stock certificates unless you ask them to. It is more expensive to transfer ownership that way and you have to produce the certificates if you want to sell.

Most brokerages now hold your shares in trust. You might just own a small piece of a million share block that it owns. This simplifies buying and selling and also makes it easier to credit dividends and stock splits. However, here is a way to see and admire at least one share of your investment.

Since 1996, a company known as OneShare has been selling single framed shares of stock.

This has introduced many to the fun and beauty of stock certificates.

Disney Corporation Stock Certificate

Not only are these beautiful collectibles, but they are valuable proof of ownership in some of America's most famous corporations.

Over 100 corporation have their shares listed in this program. Some like the Disney and DreamWorks Animation certificates seem like they were designed for the collectible art market.

As pretty as these look their cost is based on the underlying value of the stock and like any stock, it can go up or down over the years. Since you become a registered owner, you are entitled to dividends, stock splits and other benefits of ownership.

As you may know, companies come and go. Right now Yahoo seems to be on the endangered species list. So, some of these companies, sooner or later, will become extinct, making their certificates all the more valuable.

Coca Cola Enterprises Stock Certificate

It is important to remember that most stock trades are simply book entries on brokerage account records and that stock certificates are much rarer than they should be.

These certificates are also an excellent way to introduce children to the world of investing and, as well, make great gifts for special occasions.

I am always in favor of encouraging saving and investment, so I think buying and hanging real representations of your efforts on your walls give you some incentive to diversify your holdings among some of the strongest companies in America.

In the meantime, you will have beautiful framed mementos of your stock ownership to hang on your walls. They will make a much better display than a copy of your brokerage account.

  | Top | Financial Planning | Home |