Claim 39.4 Billion KRW in Dormant Dividends and 1.68 Million Shares of Unclaimed Stock Now

[Asia Economy Reporter Lee Seon-ae] It has been revealed that the unclaimed dividends and proceeds from lost stocks held by investors amount to nearly 40 billion KRW.

According to the Korea Securities Depository (KSD) on the 22nd, as of the end of April, the amount of unclaimed dividends and proceeds from lost stocks held by the KSD reached 39.4 billion KRW, corresponding to 1.68 million shares. The amount of unclaimed dividends and proceeds generated this year (including proceeds from odd-lot shares) is 2.11 billion KRW and 19,000 shares, accounting for 5.3% and 1.1% of the total unclaimed dividends and shares, respectively. Unclaimed dividends and proceeds from lost stocks refer mostly to dividends, dividend shares, and bonus shares whose owners cannot be found, usually occurring when shareholders receive the physical stock certificates but fail to register in the shareholder registry.

Over the past five years, the KSD has been returning investors’ hidden financial assets through the “Lost Stock Dividends Recovery Campaign.” The KSD collectively receives and holds unclaimed dividends and proceeds from lost stocks on behalf of the lost shareholders from issuing companies. When a lost shareholder requests a refund of dividends through a securities company, the KSD reviews the claim and pays the rightful owner. Investors who currently hold or have held physical stock certificates withdrawn through securities companies can check for the existence of unclaimed dividends and proceeds by using the “Lost Stock Dividends Inquiry Service” on the KSD website. If unclaimed dividends and proceeds exist, investors can inquire about the refund procedure with the securities company where the stock certificates were deposited or withdrawn and then receive the proceeds.

Until last year, the KSD has found the owners of approximately 1.56 million shares of unclaimed dividends and proceeds stocks and about 860 million KRW in unclaimed dividends and proceeds. The KSD explained, “The most important thing to find the owners of unclaimed dividends and proceeds is for investors who have withdrawn physical stock certificates from securities companies to directly check whether unclaimed dividends and proceeds exist.” They added, “We will continue to make efforts so that owners can quickly reclaim their dormant unclaimed dividends and proceeds.”