WHAT ARE THE ADVANTAGES OF BOOK-ENTRY SYSTEMS
Book-entry systems, in the fields of dematerialization, refer to the process of electronically tracking all capital market instruments, which were previously physically printed, in a manner that maintains their identical characteristics and all associated rights. They also provide services in how to acquire them. The processes of dematerializing capital market instruments are generally managed by the central depository institution, which is the central record for these instruments and all related rights. This is typically done in a computerized environment, where rights over the instruments are asserted against third parties by issuers, intermediaries, and rights holders. They are defined as legal systems that take into account all notification dates. Nowadays, there are lower risks and costs for all market participants. In addition to saving millions of dollars annually in certificate printing and issuance costs, it also saves on personnel, storage, insurance, and borrowing costs.WHAT TO KNOW IN THE CAPITAL MARKET
The Capital Markets Board decides in the most effective ways which capital market instruments will be dematerialized. The SPK has decided to dematerialize investment fund participation certificates, how to buy shares, all bonds, and private sector debt instruments, and these securities have been dematerialized. After the dematerialization dates of shares, all subsequent paid and bonus capital increases no longer involve the physical printing and delivery of certificates; only the issuance of book-entry shares occurs. On the other hand, after the dematerialization dates of investment fund participation certificates, excluding liquid funds, the certificates of liquid funds also become the subject of this process in the most effective ways. It always holds an important place in how to buy shares. It offers individuals the most effective means to obtain healthy and reliable shareholder ledger information for all issuers. In capital increases, it offers time and cost advantages in dividend payments and communications with partners, as well as zero risk of counterfeit loss and theft.