Small shareholders lose physical shares of ABC, need to publish a notice, costing nearly 6,000 yuan in value. Attached are the methods for reporting loss and reclaiming

Many "old stock investors" often hold a few physical stock certificates, and many love this tangible feeling of truly owning shares in a company. However, once a physical stock certificate is lost, it becomes "impossible to sell the shares," and one must face the complicated process of reporting the loss and reissuing the certificate.

Central Securities Registration: 2,200 Loss Reports in the First Three Quarters

How common is it to lose stocks? According to the response from Central Securities Registration to an inquiry from Sing Tao Daily, there were approximately 2,600 loss reports for stock applications throughout 2024, and in the first three quarters of 2025, there were about 2,200 cases. As of September 30 this year, the company managed over 10 million physical stock certificates for about 1,100 listed company clients.

Mr. Tang, a stock investor, told Sing Tao Daily that he subscribed to Agricultural Bank of China (1288) during its IPO in 2010. He recalled that the H-share IPO of the Agricultural Bank attracted citywide attention, so he followed friends and colleagues to subscribe using a "white form" for two lots. According to reports from that year, there were 117,000 applicants for the public offering. It is said that 40% subscribed using the white form, and a total of about 160 million physical shares were allocated.

The listing price of Agricultural Bank at that time was HKD 3.2, and Mr. Tang was allocated one lot, worth HKD 3,200. Since Mr. Tang is not an active stock investor, he has been receiving Agricultural Bank dividend checks regularly over the years, and the amount was quite decent, so he continued to hold the shares without paying much attention to the stock price fluctuations.

This year, with the strong performance of Hong Kong stocks, one day Mr. Tang whimsically opened a stock pricing website and discovered that Agricultural Bank shares had reached HKD 6, meaning his shares were worth about HKD 6,000, doubling from the IPO price, prompting him to consider selling for cash.

However, currently, investors need to find a brokerage or bank to store the physical stocks before they can sell them on the stock exchange. So, Mr. Tang went home and searched everywhere, but he could not find his Agricultural Bank stock certificate. He had no choice but to inquire at the share transfer office, where the staff candidly told him, "Every day, investors inquire about lost stocks." He learned about the procedures and costs for reporting the loss and reissuing physical stocks, only to find that the expenses exceeded his profits from Agricultural Bank.

Written Notification to the Transfer Office and Oath

Most listed companies in Hong Kong choose Hong Kong Central Securities Registration Company Limited and Tricor Securities Limited as their transfer registrars, and the Agricultural Bank shares held by Mr. Tang are registered with Hong Kong Central Securities Registration. The reporter inquired with both transfer offices, and their loss reporting procedures are similar. Investors need to submit a written notification for reissuing physical stocks to the share transfer registrar, and both institutions have dedicated forms; at the same time, investors can swear a declaration of the lost stocks in front of various district offices or lawyers, with the benefit of using the district office's swearing service being that it is free of charge.

Subsequently, the stock transfer office will calculate the costs involved based on the investor's declaration of the lost stocks. First, if the stock value exceeds HKD 200,000, the handling fee for both transfer offices is HKD 400; if the stock value is HKD 200,000 or below, the handling fee is HKD 200.

Local Newspaper Advertisement Costs Over HKD 6,000

Another key factor is the company's registered location. For companies registered in Hong Kong, if the stock value is HKD 200,000 or below, only an announcement needs to be published on the company's website; however, if the value exceeds HKD 200,000, it must be published in the government gazette. The customer service office indicated that it would cost at least HKD 8,000, depending on the number of stock items and the length of the advertisement As for Mr. Tang's purchase of Agricultural Bank of China, it is a mainland registered company (H shares). Regardless of the stock value, an advertisement must be published in local newspapers, costing about 6,000 to 7,000 yuan. Additionally, there is a fee of 2.5 yuan for each new certificate issued. In terms of time, it takes about 4 to 5 months from reporting the loss to reissuing H shares, while for non-H shares valued over 200,000 yuan, it takes about six months, and for those valued under 200,000 yuan, it takes about three months.

When a Relative Passes Away, Heirs Must Also Reissue Stocks

Furthermore, if physical stocks held by a deceased relative are lost, the same procedure for reissuing new stocks must be followed in order to inherit those stocks. Heirs need to apply for a will certification authorization letter from the probate registry and contact the transfer office to request the reissuance of stocks. Once completed, the transfer office will transfer the stocks from the deceased holder to the executor/administrator of the will.

Hong Kong will implement "paperless stocks," with the relevant regulations applicable to new issuers starting in early 2026; other securities will transition to the paperless securities market in phases from 2026 to early 2031. However, for investors who have already lost stocks, they still need to reissue the stocks. Zhong Jianghong, Managing Director of Vistra and Director of IPO and Transfer Office, told Sing Tao Daily that "paperless" means that physical stocks are not needed to prove legal ownership. When an investor's listed company implements "paperless," they will need to open an account called USI at the transfer office and return the physical stocks to the transfer office for dematerialization, i.e., converting them into paperless form. Therefore, for investors who have already lost stocks, they still need to complete all necessary reissuance procedures