This looks like an interesting development for UK shareholder rights. Online broker TD Waterhouse launched pre-Xmas a free service that enables nominee customers to exercise their voting rights online. The "TD Waterhouse Shareholder Voting and Information Service" is an opt-in service that is available for free to all customers and is provided in association with Broadridge Financial Solutions.

Once TD Waterhouse customers have signed-up to the service, they will automatically receive information and voting rights on their UK listed shares held in nominee, which includes companies listed on the LSE and PLUS Markets, as well as providing access to equivalent services from Investment Trusts, AIM listed companies and OEICs.

Jason Robinson, Director of Operations, TD Waterhouse commented:

"At TD Waterhouse we appreciate that not being recognised on the share register has long been an issue for UK investors when holding shares electronically with a broker. For this reason we have worked with Broadridge to find a solution that will alleviate this problem for our nominee customers".

The UK Shareholders Association has welcomed the news, and believes they should be automatic for nominee shareholders. TD Waterhouse claims to be the first execution-only broker to offer this in the UK, although (according to UKSA) Killik & Co, The Share Centre, and Brewin Dolphin also support voting and information rights for nominee shareholders. The UKSA apparently recommends personal Crest accounts, as this puts investors on a company’s share register.

Roger Lawson, Communications Director, UKSA said:

"The UK Shareholders Association welcomes the new service from TD Waterhouse because we consider it essential that shareholders are given voting and information rights in the companies in which they invest."

I doubt that this alone will mean companies start to listen more to retail investors, but at least it's a step in the right direction....

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