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The 2020 Guide to Issuer Sponsored Shares

The 2020 Guide to Issuer Sponsored Shares

So, you’ve found yourself in possession of some Issuer Sponsored Shares. Perhaps you earned them in an Employee Share Scheme, or you inherited them from a family member. Regardless how you obtained them, the question you now face is the one of what to do with them. Should you sell them or hold on to them? How do you even go about selling them? Don’t worry! We’ve got all your questions answered. Keep reading to find out about Issuer Sponsored Shares.

What Are They?

An Issuer Sponsored Share is slightly different than general stock. When you buy stock, you are buying a tiny part of a company and have control of that small percentage. Whereas if you purchase Issuer Sponsored Shares, they are still controlled by the issuer, or rather, the company who owns the shares. That’s why they are most often given to employees as part of an Employee Share Scheme.

What Can I Do with Them?

When deciding what to do with them, you have two options—sell or wait. Both options have their benefits, so it really depends on your current finances. If you are in need of immediate money, selling your Issuer Sponsored Shares is an excellent way to receive fast cash up front. If you sell your shares using an online broker such as, you can see money deposited in your bank account in as little as three days.

If you prefer to wait, you could actually make more money off the dividends over time. This is a slower option and a bit of a risk but, if you’re playing a long game, it could pay out. It all depends on how well the market improves. If the company holding your shares continues to mature, you’ll earn higher dividends continuously until you do eventually sell.

How Can I Sell My Shares?

Most often, Issuer Sponsored Shares are sold in a one-off share sale. A one-off sale can quickly and effortlessly be done online. All you would have to do is submit the reference number on your holdings statement and some proof of identity and an online broker would take care of the sale from there. They’ll confirm your shares with the registry to guarantee the number and owner of the purchase. Your shares are then valued against the best markets and sold. After a three-day waiting period, you’ll receive either a check or a money deposit straight into your bank account.

Don’t keep sitting on cash. Sell today and reap the benefits of your Issuer Sponsored Shares!

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by Brian Perry // Brian Perry is a contributor to Businessing Magazine.

Opinions expressed by contributors are their own.