DRS
Also written as: DRS — Direct Registration System
Abbreviation for Direct Registration System, a method allowing investors to hold shares in registered form directly on the books of the transfer agent without a physical certificate.
Full Definition
The Direct Registration System (DRS) is an electronic system operated by DTC that enables investors to hold securities directly in their own name on the records of the transfer agent or issuer, rather than in street name through a broker. DRS shares are recorded electronically and can be transferred between the transfer agent and a broker-dealer upon investor instruction. DRS is the predominant method for direct (registered) ownership in the United States. Editors should render the abbreviation as 'DRS' in all capitals; the full form 'Direct Registration System' should be spelled out on first use in formal documents.
Usage
Usage note: Do not confuse with DRIP (Dividend Reinvestment Plan). DRS refers to the form of ownership; DRIP refers to a dividend reinvestment programme. Both may appear in the same shareholder communication.
In Context
- "Registered holders may transfer their DRS shares to a brokerage account by submitting a completed transfer instruction to the Transfer Agent." — Shareholder services guide
- "The company encourages retail investors to take advantage of DRS to maintain direct ownership of their shares." — Investor relations FAQ