Definition: Registrar or transfer agents are the trusts or institutions that register and maintain detailed records of the transactions of investors for the convenience of mutual fund houses.
Description: Investors' transactions like buying, exchanges, processing of mails and related information, changes in personal data, etc occur frequently and have to be recorded. Registrar & transfer agents have skilled expertise for maintenance of such data on a professional basis, thereby contributing to saving costs and time involved in keeping detailed accurate records of the investor transactions.
Their role also extends to providing information to the investors about new offers, maturity dates and all other investor-friendly information at one place for their reference. Some of the RTAs operating in India are Computer Age Management Services (CAMS), Karvy, and Deutsche Investor Services, among others.
Also See: Agents, Custodian, Trusts, Investor Relations, Shareholder Service Agents
FAQs
Definition: Registrar or transfer agents are the trusts or institutions that register and maintain detailed records of the transactions of investors for the convenience of mutual fund houses.
What are registrar and transfer agents? ›
Registrar and Transfer Agents (RTA) are SEBI-registered entities that provide services related to share registry maintenance and share transfer activities on behalf of companies that have issued shares to the public.
What is the purpose of a transfer agent? ›
A transfer agent is a financial services company that manages and keeps track of registered shareholders for companies that issue stock. As a transfer agent, EQ handles the recordkeeping, reporting and communications for hundreds of U.S. corporations and their millions of shareholders around the world.
What is the primary function of an R&T agent? ›
Role of registrar and transfer agent
RTAs keep track of investors' transactions in mutual funds. The different types of investor transactions are buying, redeeming, switching in or out, changing bank mandates, updating personal information, and many others.
What is a transfer agent Computershare? ›
The issuer (or more usually its transfer agent, such as Computershare) keeps the records of ownership for the registered shareholders and provides services such as transferring shares, paying dividends, coordinating shareholder communications and more.
Who are the most common transfer agents? ›
The top five transfer agents for the total population market share include: Computershare, Equiniti Trust Co/American Stock Transfer & Trust, Continental Stock Transfer & Trust, BNY Mellon and Broadridge. Computershare maintains its lead with 25.7% market share in 2022 compared to 27.2% in 2021.
Do you need a transfer agent? ›
For publicly traded companies that are listed on an exchange, do proxy voting, and pay dividends, there are a lot of complexities and so they are required to have a registered transfer agent.
What is an example of a transfer agent? ›
Some examples of transfer agents are financial companies, trust companies, banks, or individuals. Listed firms often assign their shareholders' data management to a transfer agent. For instance, Amazon's transfer agent is Computershare.
Who are the top 5 transfer agents? ›
The top 5 transfer agents for the total population market share include Computershare/BNY Mellon, Equiniti Trust Co/American Stock Transfer & Trust, Continental Stock Transfer & Trust, Broadridge, and Vstock Transfer.
What is the difference between a transfer agent and a paying agent? ›
The paying agent is responsible for payment initiation. On the other hand, a transfer agent is liable for maintaining the investor's financial record and balance.
The custodian is liable for keeping the investment account of the mutual fund. Registrar and Transfer Agent (RTA) – The RTA maintains and updates all the investors records. The main function is investor servicing through its office and various other branches.
What is the final step in the fund settlement process? ›
The settlement cycle is divided into different phases. These include trade date, pay-in, and pay-out. During the pay-in phase, the buyers must pay the funds for the securities they have purchased, and during the pay-out phase, the sellers receive the funds for the securities they have sold.
Who has the basic role in protecting interest of investors? ›
SEBI stands for Securities and Exchange Board of India. It is a statutory regulatory body that was established by the Government of India in 1992 for protecting the interests of investors investing in securities along with regulating the securities market.
Is Computershare a brokerage or transfer agent? ›
Computershare is, among other things, a transfer agent for company stock/dividend reinvestment plans. Selling the inherited shares at Computershare will incur more fees than at a mainstream low cost brokerage such as Fidelity.
How do I become a transfer agent? ›
Registration as a Transfer Agent
Each registrant must submit Form TA-1 along with their ARA. A registrant's ARA can be determined by the following: A national bank, a bank operating under the District of Columbia's Code of Law, or a subsidiary of any of these banks must register with the Comptroller of the Currency.
What are examples of transfer agent? ›
Some examples of transfer agents are financial companies, trust companies, banks, or individuals. Listed firms often assign their shareholders' data management to a transfer agent. For instance, Amazon's transfer agent is Computershare.
What is the difference between a custodian and a transfer agent? ›
In summary, a custodian is a financial institution that holds and protects assets on behalf of its clients, while a transfer agent is a company that maintains records of securities and processes transactions involving those securities.
