Go ahead and laugh… at me, not with me. You have my permission.
I bought some stock in GM several months ago. It was trading around $10.25 and I thought it would be a good buy. Two days later, when it sank into the $8 range, I figured it was bound to go back up but would be a bargain at the current price. I bought a few more shares.
Well, the current price is $1.91, up 2 cents from yesterday’s close. Wow! Up 2 cents!
As you can imagine, I already wrote off this stock as a loss but thought I could make some money off of it anyway. Stock certificates can be valuable documents in and of themselves. They are not only historical in nature, but often have an aesthetic value or may bear a highly desirable signature. For instance, an 1897 specimen from General Motors is listed for $150.00. No way do I expect my certificate to be worth THAT much, but at less than $2.00 a share, I’d be happy to see any value!
Going from a broker-held security to a certificated stock was NOT easy and was NOT inexpensive. It turns out the broker had to transfer the stock to a holding company who then in turn converted the shares to a certificate—and snail-mailed it to me. Each handler had to take a cut and by the time my certificate arrived, I had paid out about 20% of what the stock was originally worth in fees.
One more thing: I knew I needed to act quickly because at the time I did this, GM was seriously looking at bankruptcy. I wanted the certificate just to ensure I had SOMETHING for my money. So even if it goes belly up now and I take the capital loss, I may be able to get something back on the sale of the certificate. It’s a gamble but probably no worse than the initial gamble of buying GM stock.
Then too, who knows, things could turn around for GM and this stock could soar, maybe even up as high as—$2.00!!!