How does the Direct Registration Notice (DRS) System work?

What is the Direct Registration Notice (DRS) System?

The Direct Registration Notice (DRS) System is a document which certifies a person as the owner of securities electronically registered in their name, in the company’s records, and managed by the transfer agent.

 

How do I file a Direct Registration Notice?

Call us at 1-800-363-3511 to file a Direct Registration Notice. After reaching us by phone, you’ll need to send a copy of your notice to directbrokerage@nbc.ca.

Please note that fees will apply. To find out more, consult our Pricing page.

After depositing a share certificate, you must wait 5 to 10 business days for it to be cleared by the transfer agent. This time may vary depending on several factors, including the state of the market on which the deposited security is traded.

For more information, write to us through the secure Message Centre on the online brokerage platform or the NBC Wealth mobile app, or call us at 1-800-363-3511.

 

How do I convert a share certificate into a Direct Registration Notice (DRS)?

It is possible to convert a share certificate to a Direct Registration Notice by following the process of the transfer agent who issued your certificate. You can call the transfer agent directly to find out how or visit the website indicated on your certificate. This will facilitate the process of depositing your shares with NBDB.

 

What certificates or Direct Registration Notices are not accepted by NBDB?

NBDB does not accept physical certificate deposits and Direct Registration Notices for the following types of securities:

• A security traded on a U.S. OTC exchange (e.g., Pink Sheet, Grey Market)
• Security traded on the TSX Venture Exchange in Vancouver or Canadian OTC exchanges (e.g., CSE/CNQ/CNSX, NEX), apart from a Direct Listing Notice for a security traded on the TSX Venture Exchange
• Restricted security (legend33, escrow, not negotiable before a date)
• International security (unless also traded on Nasdaq, NYSE, or TSX)
• Warrant or subscription right

 

Why is there a delay in depositing and clearing my account when I deposit securities in the form of a Direct Registration Notice?

If you notice a delay of more than 10 business days following the filing of a DRS, call us at 1-800-363-3511, Monday to Friday, between 8 a.m. and 6 p.m. (ET), so that we can verify the cause.

• We'll then be able to validate whether the document meets NBDB's acceptance criteria. Please note that we cannot accept restricted securities.
• We will deposit the securities into your account within 2 to 5 business days. Additional time is required for the transfer agent to clear the securities before they are released for trading.
• A fee of $150 plus tax will apply. See our General fees page for more details.

 

REMINDERS:

• Clearing times for Canadian securities are generally 10 business days, while US securities usually take 30 business days since this operation depends on the transfer agent.
• NBDB accepts DRS for stocks, bonds, and debentures traded on the TSX, TSX Venture Exchange, NYSE, and NASDAQ markets. We also accept international securities that are listed on the above-mentioned exchanges, except for the TSX Venture Exchange. A 90-day clearing period applies to international securities.

To check whether your DRS has cleared, write to us through the secure Message Centre. We can confirm whether you can trade your securities online. For US securities, we must wait until the end of the prescribed 90-day period as we do not receive confirmation of clearing from the transfer agent.