Transferring Positions between brokerage houses

[Curious]

Does anyone know what the process is to transfer positions from one brokerage house to another. I heard from my new broker that I cant effect partial transfers and I have to transfer all the shares in all my positions at the same time or nothing at all.

Is this true? It doesnt seem to make sense to me.

Thanks

C

[alanbow]

That is absolutely true. it is all or nothing

I am in the process now so I know.

You need to get the MD/Chairman of your current firm to sign the transfer form as well as those of the receiving firm. The delay in the transfer is caused by the fact that the DG herself needs to sign it off.

There are two ways to do it I gather.

A: You will do what I said above and there is a standard letter you will write to the NSE/CSCS where you will indemnify them incase things go wrong. You will pay 500 naira, sit and wait for a month or two before the transfer goes through. If you have a good relationship with your current broker, you can continue to trade with them in the meantime or start trading with the new one who should get you a new CSCS account.

B: You can pay 5,000 naira to create a special account with CSCS, so all your stock would be transfrred to CSCS who will be the only one who can deal on your behalf, I gather this takes less than 5 days.
All your transactions will now have to be done by CSCS until the move is concluded and then you go to your new broker. I did not go through this route as I was not confident the CSCS will have that kind of time for a small time investor. I may be wrong. Seek advice from your new broker about this.

[olusolakemmy]

NSE should fashion ways to make this transfer easier.
One of my friend that treid that because he was not satisfied with the performance of his broker had it hot and waited for ages before he finaly finished the transfer.

why dont you open another account all together?

[Curious]

Thanks for the info. I am opening another margin account but i'm trying use some of my existing positions as adequate collateral.

[alanbow]

That is exactly why I went that route myself (To meet the minimum deposit). And I am now regretting it giving the grief to move and also bad treatment I am getting from the so called Zenith Securities ltd.