# What is computershare.com.au?



## warakawa (17 January 2011)

Hello, 

I bought some just BHP shares, it was the first time I bought shares in my life, today I received a letter from BHP asking me register with computershare.com.au. In the letter BHP asked me register my payment instructions for dividend, shareholder communication elections and taxation numbers. 

My question is this registration even necessary? I thought that the dividend is paid to my cash account I have with my broker, I have already provided my tax file number to my broker so why do I need to give it BHP or computershare.com.au

BTW, what months are the dividend paid anyways? 

Thanks.


----------



## burglar (17 January 2011)

warakawa said:


> ... I received a letter from BHP asking me register with computershare.com.au. ...




Can't tell you much, but this much I know.
Every Company deals with a share registry company!
Computershare is one such share registry company.


----------



## warakawa (17 January 2011)

what is the function of a share registry company?


----------



## Junior (17 January 2011)

warakawa said:


> Hello,
> 
> I bought some just BHP shares, it was the first time I bought shares in my life, today I received a letter from BHP asking me register with computershare.com.au. In the letter BHP asked me register my payment instructions for dividend, shareholder communication elections and taxation numbers.
> 
> ...




Computershare provide share registry services for BHP Billiton shareholders.  I believe it works something like this:

If you purchased your shares via a broker, and opted to have them 'CHESS sponsored' then you shouldn't need to worry about entering details with Computershare as this will have been handled by your broker.

If your shares are 'issuer sponsored' then you will need to provide your dividend payment instructions etc. to computershare.

It will tell you on your holding statement whether your shares are issuer or CHESS sponsored.

In either case, you will be able to view your BHP holding via the Computershare website by logging in using your SRN (shareholder reference number).

Dividends:  Most dividend-paying companies will pay twice a year.  You can find a history of dates and dollar amounts either by visiting the 'shareholder/investor' section of the BHP website, or by entering the stock code into the ASX website.


----------



## bellenuit (17 January 2011)

Junior said:


> If you purchased your shares via a broker, and opted to have them 'CHESS sponsored' then you shouldn't need to worry about entering details with Computershare as this will have been handled by your broker.




I don't believe that is correct. I am with CommSec, but every time I buy a share in a new company for the first time, a week later I get a letter asking me to fill in my dividend payment details and, where applicable, dividend reinvestment details. These forms go to the share registry of the company.

Since you may want your dividend paid differently for different shareholdings that you have, your dividend handling details needs to be specified at the company / share registry level, not once at the broker level. If Chess sponsored, you make the election or subsequent changes to your election through the share registry company.

Another company that provides share registry services for some companies (for example Westpac) is Link Marketing Services.


----------



## pixel (17 January 2011)

Junior said:


> Computershare provide share registry services for BHP Billiton shareholders.  I believe it works something like this:
> 
> If you purchased your shares via a broker, and opted to have them 'CHESS sponsored' then you shouldn't need to worry about entering details with Computershare as this will have been handled by your broker.
> 
> ...



 You covered the essence, Junior, 
... but there's a little more.

If your shares were bought through a broker, you're usually CHESS sponsored. True so far. The registry (think of it as an outsourced shareholding management service) will then know your name, address, and usually also TFN. But they do NOT know your bank connection or email address. If you want to receive the dividend as a cheque, that's fine. But many, if not most, companies are now also offering electronic banking - and for that, you must nominate a bank account. That can be the a/c that you use to fund your dealings with your broker. But you can also nominate another - maybe your regular household cheque a/c. Up to you.

As regards dividends, you can find everything you need to know at the ASX website:
http://www.asx.com.au/asx/markets/dividends.do - type in BHP and click Go.


----------



## pixel (17 January 2011)

bellenuit said:


> I don't believe that is correct. I am with CommSec, but every time I buy a share in a new company for the first time, a week later I get a letter asking me to fill in my dividend payment details and, where applicable, dividend reinvestment details. These forms go to the share registry of the company.
> 
> Since you may want your dividend paid differently for different shareholdings that you have, your dividend handling details needs to be specified at the company / share registry level, not once at the broker level. If Chess sponsored, you make the election or subsequent changes to your election through the share registry company.
> 
> Another company that provides share registry services for some companies (for example Westpac) is Link Marketing Services.



 Bookmark these four links if you wish. As far as I know, they're Australia's registry services.
http://www.advancedshare.com.au/Home.aspx
http://www.registries.com.au/
https://www.securitytransfer.com.au/index.cfm
https://www-au.computershare.com/investor/

IMHO it pays to be registered with them as an investor; then you have access to all your holdings that each is managing and can make sure that your instructions are correct; you can also easily make wholsesale changes to your contact details etc.
You need to register one user name per CHESS HIN (Holder id number).


----------



## warakawa (17 January 2011)

Junior said:


> Computershare provide share registry services for BHP Billiton shareholders.  I believe it works something like this:
> 
> If you purchased your shares via a broker, and opted to have them 'CHESS sponsored' then you shouldn't need to worry about entering details with Computershare as this will have been handled by your broker.
> 
> ...




Hi Junior 

Thanks for your reply, 

I called computershare, the representative told me that I will need to provide them with dividend payment instruction and TFN. If I do not provide them with bank detail then dividend will be send out in form of cheque. And if neither my broker nor I provide them with my TFN then 47% tax will be withhold by computershare.


----------



## So_Cynical (17 January 2011)

warakawa said:


> I called computershare, the representative told me that I will need to provide them with dividend payment instruction and TFN. If I do not provide them with bank detail then dividend will be send out in form of cheque. And if neither my broker nor I provide them with my TFN then 47% tax will be withhold by computershare.




Correct...and please don't call them, just go online and do it all there.


----------



## Julia (17 January 2011)

About a year/18 months ago, Etrade introduced a facility whereby you could bypass all that filling out of details.  Just do it once on the Etrade website and they then handle all the rest.  Dividends are paid into your Etrade cash a/c.

I used to have to send off Power of Attorney form copies etc for the second Trustee of my SMSF and fill our all the forms with TFN, bank a/c details etc.

But now, buy a new company, and Etrade take care of all the advising of bank details etc.


----------



## warakawa (18 January 2011)

do you guys know if CMC gives our my bank detail and TFN to registries? It would a hassle if I have to fill out form every time I buy shares from a different company.


----------



## burglar (18 January 2011)

warakawa said:


> do you guys know if CMC gives our my bank detail and TFN to registries? It would a hassle if I have to fill out form every time I buy shares from a different company.




Email them, they will be glad to help!


----------



## Junior (18 January 2011)

warakawa said:


> Hi Junior
> 
> Thanks for your reply,
> 
> I called computershare, the representative told me that I will need to provide them with dividend payment instruction and TFN. If I do not provide them with bank detail then dividend will be send out in form of cheque. And if neither my broker nor I provide them with my TFN then 47% tax will be withhold by computershare.




'View your holding details' through computershare here:  https://www-au.computershare.com/Investor/Security/Summary.asp?bhjs=1&fla=1 

You don't even need to register, all you need is your SRN and postcode.  Then you can enter your payment instructions and TFN online, no forms or signatures required.


----------



## matty77 (18 January 2011)

Get a commsec account and buy the shares yourself. Why would you use a broker to buy BHP shares?  You dont need to be internet savvy to set it up even. And make sure you register for a computershare account, then you can always keep track of your shares and control them. There is no way I would let a broker do this for me. Good luck


----------



## burglar (18 January 2011)

warakawa said:


> ... account I have with my broker ...




Is your broker
 a).  a telephone advisory broker?
 b).  a telephone non-advisory broker?
 c).  an online broker?

If a). I agree 100% with matty77 that you are wasting your hard earned and risking that he makes mistakes, (however unlikely you may think that is.)

I make my own mistakes and take responsibility for them!



matty77 said:


> Why would you use a broker to buy BHP shares?



matty77,

Didn't see where the Original poster was dissatisfied with his broker, but I agree nuntheless.


----------



## warakawa (20 January 2011)

matty77 said:


> Get a commsec account and buy the shares yourself. Why would you use a broker to buy BHP shares?  You dont need to be internet savvy to set it up even. And make sure you register for a computershare account, then you can always keep track of your shares and control them. There is no way I would let a broker do this for me. Good luck




Isn't commsec a broker as well, charging traders $19.95 for each trade? 

I thought it is compulsory to buy and sell shares through broker? At least that's why I learned through uni textbook, trader>broker>chess>asx.

How can I trade shares without broker? It would be nice though to trade without having to pay any brokerage fee. 

thanks.


----------



## skyQuake (20 January 2011)

warakawa said:


> Isn't commsec a broker as well, charging traders $19.95 for each trade?
> 
> I thought it is compulsory to buy and sell shares through broker? At least that's why I learned through uni textbook, trader>broker>chess>asx.
> 
> ...




I think matty meant broker as a person - ie talking to someone on the phone and paying high $$$ for something that can be done at the click of a button.


----------



## matty77 (20 January 2011)

I was more implying that if your strategy was to purchase say, blue chip shares like BHP, why use a 'real broker' for the job when you can just use Commsec, and I would assume Commsec would cost you less anyway per trade. 

Nowdays I just cant see the advantages of the "Broker on the phone".


----------



## warakawa (20 January 2011)

matty77 said:


> I was more implying that if your strategy was to purchase say, blue chip shares like BHP, why use a 'real broker' for the job when you can just use Commsec, and I would assume Commsec would cost you less anyway per trade.
> 
> Nowdays I just cant see the advantages of the "Broker on the phone".






Plus commsec's brokerage fee is 200.5% of CMC's brokerage fee, so why would you suggest commsec?


----------



## So_Cynical (20 January 2011)

warakawa said:


> Plus commsec's brokerage fee is 200.5% of CMC's brokerage fee, so why would you suggest commsec?





Probability of comsec falling over etc 0.001%
Probability of CMC markets falling over etc 0.002%  
Comsec give you a highish interest (5.5%) account with instant access via your commsec settlement account....and a ATM card all for free.
CMC markets/Bankwest cash account pays 1.85% _ $10,000 to $19,999 :nono:

http://www.comsec.com.au/Public_FrameSet.asp?Page=HCash

http://www.cmcmarkets.com.au/stockbroking/cash-rates


----------



## warakawa (21 January 2011)

intesting to note that commsec's cash rate is 5.5%, that is higher than the NetSaver account.


----------



## matty77 (21 January 2011)

Commsec and Bell Direct, I use them both.

Which ever it doesnt really matter, depends on your trading strategy I guess, if you are doing lots of trades maybe Bell is better because the trades are cheaper, although Commsec will reduce your trade price if you ask...


----------



## burglar (21 January 2011)

warakawa said:


> intesting to note that commsec's cash rate is 5.5%, that is higher than the NetSaver account.




If you ring an telephone advisory broker you can ask for advice, eg.
"Should I buy penny-dreadfuls or blue chip?"

He'll tell you Blue Chip, of course!! BHP RIO 4 major banks CBA NAB WBC ANZ 2 major retailers WOW WES and QBE. 
Because he knows almost nothing about penny-dreadfuls. (and for sound reasons)

"I'll take a few of each"
Goody, that'll be 9 times $75 per trade plus GST, Ker...Ching

If you should ring and ask for BHP you've done his work for him and it's still $75 plus GST

Anyway glad to hear you are with an online broker!


----------



## warakawa (21 January 2011)

lol, why would you assume anyone here would use telephone brokerage? Everyone here that post are at least a little bit internet savvy.


----------



## Mickhartnett87 (24 January 2015)

*Question on Computershare for a newbie*

Ok I am signed with commsec with all my trading. Under the CHESS arrangement.

I have recieved letters from the company's I have purchased about registering my shares with computer share...

Question is what is computer share, and is it absolutely necessary that register?

Or can I disregard ? 

Thanks


----------



## Bill M (24 January 2015)

*Re: Question on Computershare for a newbie*



Mickhartnett87 said:


> Ok I am signed with commsec with all my trading. Under the CHESS arrangement.
> 
> I have recieved letters from the company's I have purchased about registering my shares with computer share...
> 
> ...




Computershare is a share registry. 

If you have bought your shares through Commsec and your HIN (holder Identification Number) is on the contract note then your shares will be automatically registered with the relevant share registry. It is usually Computershare or Link Market Services. (There are others too but these are the main two) 

If the above is in place and your stock is with the Computershare registry then they will send out documents for you to fill in. You should fill out all of the info required because if you don't they might start taking out with-holding tax and you could get dividend cheques in the mail which is a slower process. It is better to give them all your details so they can bank your dividends immediately into your bank account and not take out with-holding tax. You can also set up communications via email. For example, they can alert you when the Annual Report is available for download. In the old days we use to get 1 inch think annual reports in the mail. What a waste of paper, it's far easier and quicker online and better for the environment too.

Note: You can apply for a Computershare account online and once setup you can enter all those details online. In my opinion it is better to be totally paperless and all electronic, hope that helps.


----------



## So_Cynical (24 January 2015)

*Re: Question on Computershare for a newbie*



Mickhartnett87 said:


> Ok I am signed with commsec with all my trading. Under the CHESS arrangement.
> 
> I have recieved letters from the company's I have purchased about registering my shares with computer share...
> 
> ...




Commsec is a broker and CHESS sponsor.

CHESS (Clearing House Electronic Subregister System) is the computer system used by the Australian Securities Exchange to record shareholdings and manage the settlement of share transactions.

Computershare and Link are share registry's that are employed by Listed company's to manager their share holder communications etc.

Disregarding shareholder communications could cost you a lot of money.


----------



## pixel (24 January 2015)

*Re: Question on Computershare for a newbie*



Mickhartnett87 said:


> Ok I am signed with commsec with all my trading. Under the CHESS arrangement.
> 
> I have recieved letters from the company's I have purchased about registering my shares with computer share...
> 
> ...




Hi Mick,

You've probably misunderstood the letters. *It's not about you registering your shares* with Computershare. Companies outsource the management of their register of shareholders to professional outfits, such as Link or Computershare. These service providers handle all dealings between company and holders. And the less postage and paperwork they have to expend, the better it is for the company - and ultimately for you, as a part-owner.
It makes good business sense for you to register your HIN with someone like Computershare. Then you can keep your contact details, email address, bank connections, Tax File Number ... updated without the need to write and mail letters. Where available, company dividends will also be paid by bank transfer into your nominated account.
Many brokers will actually provide those crucial data - bank connection TFN, postal address - to the Registry. Check with Commsec, maybe they do too. That would leave only the email address and kind of information you want to receive - usually found under the "Communication" option.

In summary: Do yourself a favour and set up a login for your HIN with every relevant Registryl That way, you stay in control how closely you wish to remain in contact with each company you hold shares in.


----------



## waimate01 (25 January 2015)

*Re: Question on Computershare for a newbie*



Mickhartnett87 said:


> Question is what is computer share, and is it absolutely necessary that register?
> Or can I disregard ?




The shorthand way to think about this is to rephrase your question as "I have become a part owner in a business, and now that business would like to know all my contact details and how to pay me my share of the profits in a tax-effective way. Should I tell them?".

As others have said, Computershare (et al) is just who they've outsourced the writing of envelopes and licking of stamps to.  It's really your investment doing the asking.


----------

