Date: August 11, 2017
A scrip is a certificate representing shares.
What are scripless shares?
A: Scripless shares are shares which are held in a securities account. In Singapore, physical shares are deposited in The Central Depository (Pte) Ltd (CDP). The CDP records all scripless share transactions electronically and debits or credits shares to your personal CDP Securities Account with each share transaction you make.
Why scripless trading?
A: With the increasing volume traded on stock markets, it becomes more difficult to keep up with transactions using traditional methods of delivering physical shares to buyers. Computerised transfer of shares in many markets, including Singapore, means transactions are recorded accurately and almost instantaneously. Share owners no longer have to hold physical shares to prove ownership.