Gold Coast Brokerage
Gold Coast Brokerage is a licensed brokerage firm offering stock brokerage, investment advisory & Treasury management services;
- We are licensed by the Securities & Exchange Commission as a Broker-Dealer and registered as a Licensed Dealing Member of the Ghana Stock Exchange (GSE) as well as a Central Securities Depository participant.
- Gold Coast Brokerage is a member of Groupe Nduom which is a family business group of Ghanaian and American Origin.
- GCBL was incorporated on June 8, 2012 and started operations on July 1, 2012 to continue the tradition of service excellence from our mother company Gold Coast Securities. This was as a result of a regulatory directive to separate the Fund Management license and the Broker-Dealer license.
Listed Equities - Frequently asked Questions
They signify residual ownership of an organization, so a holder of any company’s shares is a part owner of that company and therefore has voting rights at shareholder meetings. Shares are one of the several means by which a company can raise capital.
Shares are created with an Initial Public Offering (IPO) when a company decides to raise capital from the public or with a Private Placement for private companies. On deciding how much capital it needs, the company will write a prospectus (approved by the Securities and Exchange Commission) describing how they will use the money. After the company sells the shares to individuals in the primary market, the shares are then listed on the secondary market (GSE) where they can be traded among investors.
A primary market refers to any market where new shares of stock are sold. A corporation wishing to sell new shares of stock benefits from this sale because the stock is sold in the market directly by the issuing company. This is in contrast with secondary markets where shares of stock already in circulation and issued at a previous date are traded among investors. The company who issued the stock does not directly benefit from the sale of stock in a secondary market because the money paid for the stock goes to the seller in exchange for part ownership in the company. In this case, the company is not involved in the transaction.
There are no fees buying from the primary market through an IPO or Private Placement on the Primary Market. However, brokers on the Secondary Market may charge a commission of no more than 2.5% of the purchase amount. Gold Coast has a graduated fee structure; fees are reduced as the size of the purchase increases.
Diversification refers to the strategy of spreading money among several different investments. It is most commonly used when purchasing stocks because it has been mathematically proven that diversification reduces overall risk of a portfolio.
Because shares represent residual ownership in a company, shareholders are the last in line to get money in the event of bankruptcy. The company liquidates its assets to pay its liabilities owed to creditors, Debenture/Bond Holders, Employees, government agencies, and preferred shareholders before ordinary shareholders are paid anything in accordance with the proportion of their holdings.
Shareholders exercise their rights over a company by voting on issues at elections of members of the BOD. Shareholders are invited to Annual General Meetings (AGMs) and get voting rights. AGMs give the company an opportunity to present its previous performance and outline a strategy for growth. AGMs also give shareholders an opportunity to ask questions and get feedback to the company. Voting rights are determined for each person according to the number of shares owned. Therefore, if any individual has 51% of the shares on the market, they have more power and influence than any other shareholder.
One can buy shares on the secondary market (Ghana Stock Exchange) through a Stock Brokerage firm. One has to first open a Securities Depository account into which the shares can be bought or sold from. To open a depository account, one needs to submit any form of national ID card, one passport sized picture and complete the appropriate form. Upon opening this account, one is ready to start buying shares.