The requirements for obtaining Medallion Signature Guarantees often create confusion, but the reality isn’t as complicated as many may think. [Name], [job title] at Share Data explains where the confusion arises and what can be done about it.
For many shareholders, administrators and estate executors worldwide, obtaining a Medallion Signature Guarantee in the UK can initially seem difficult, particularly when transfer agents or financial institutions require it for a US or Canadian securities transaction.
A common question we receive is whether someone can complete the process remotely, without visiting a participating bank branch in person.
In many cases, the answer is yes.
What is a Medallion Signature Guarantee?
A Medallion Signature Guarantee acts as a specialised certification used primarily in the United States and Canada to verify the authenticity of a signature, the legal authority of the person signing, and the legitimacy of the transaction.
Transfer agents such as Computershare, AST, Equiniti, and Broadridge commonly require this information when individuals transfer or sell securities.
Unlike notarisation or solicitor certification, recognised Medallion programmes issue a Medallion Signature Guarantee, specifically designed for securities transactions.
The source of the confusion
Many clients assume they must complete this task in person because historically, customers obtained the guarantees primarily through participating banks in North America.
As a result, many shareholders believe they must travel to a bank branch, hold a US bank account, or attend appointments overseas.
In reality, specialist providers may be able to assist eligible clients remotely depending on the transaction type, documentation, and verification requirements.
Remote solutions
Remote handling may be possible where documents can be reviewed electronically, identity verification requirements can be satisfied, supporting documentation is complete, and the transaction falls within acceptable compliance parameters.
The exact process will vary depending on the transfer agent, the value of the securities, whether probate or estate documentation is involved, and the jurisdiction of the shareholder or executor.
However, certain cases may still require certified documentation or additional verification steps.
Requirements vary between cases, but commonly requested documents may include proof of identity, proof of address, copy share certificates or holding statements, transfer forms, probate documentation, death certificates or corporate authority documentation.
Providing complete documentation at the outset can help reduce delays.
Some common scenarios to look out for
You would typically need a Medallion Signature Guarantee for selling US or Canadian shares, transferring inherited securities, estate administration, changes of ownership, transferring shares to beneficiaries, or updating registration details.
Many shareholders in the UK only become aware of the requirement after submitting a transfer request to the registrar or transfer agent, causing delays.
Delays commonly arise because supporting documents are incomplete, signatures are submitted without proper certification, incorrect forms are used or Medallion requirements are identified late in the process.
Educational guidance and early review of documentation can often help avoid these unnecessary delays.
Share Data Ltd, based in Horsham, is a provider of comprehensive securities valuation and probate-related services, offering solutions to solicitors, executors, accountants, and private individuals since 1995.
