The STAMP program, which is the most widely used, provides a database which can be searched by City to see which local institutions can provide a Medallion Guarantee: At Olympia Trust, we recognize the challenges that some individuals face when trying to obtain a Medallion Guarantee. Where can a securityholder get a Medallion Guarantee?Īs mentioned above, most major brokerage firms, banks and credit unions will be a member of a Medallion Program. In other words, the Medallion Guarantee protects both the transfer agent and the issuer in the event of a fraudulent transfer. ![]() For this reason, transfer agents must rely on a member of a Medallion Program to provide a Medallion Guarantee.įinancial institutions that become members of a Medallion Program must obtain a surety bond to provide coverage for the value of their specific stamp, which can have a limit ranging from $100,000 to $10,000,000. Most major brokerage firms, banks and credit unions will be a member of a recognized Medallion Program.Īlthough a transfer agent maintains the official securityholder register for an issuer, they do not have a client/account relationship with the securityholders and therefore cannot verify if an endorsement on a transfer form is legitimate or valid. There are three acceptable Medallion Programs in North America: the Securities Transfer Agents Medallion Program (STAMP), the Stock Exchanges Medallion Program (SEMP) and the New York Stock Exchange Medallion Signature Program (MSP). the signer was an appropriate person to endorse and.This guarantee warrants that, at the time of signing: These two words can elicit some strong reactions, from confusion over what it is and why it’s needed, to frustration over where to get one.Ī Medallion Guarantee is a stamp that is used to guarantee the endorsement of a securityholder when transferring securities. ![]() ![]() For those working in public capital markets, you might have come across the term Medallion Guarantee at some point when assisting an investor with a transfer of securities.
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