ABC: ASX sends shareholders millions of worthless letters a year resulting in 'staggering waste'

Press/Media: Expert Comment

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An associate professor in applied finance at Macquarie University – "looking at the plumbing, if you like, of the financial markets" – he's also a share trader.

The envelopes he's throwing are cheques worth less than a dollar, they would cost more to process than they're worth.

"There is absolutely no way," to avoid receiving paper communications he explains.

 

 

 

"So they just smash you with it, no matter if you want it or not."

 

 

 

Here's how it works. If you buy shares in three different companies – like BHP, CSL and NAB – and a record is placed in the ASX's Clearing House Electronic Subregister System (CHESS), you'll receive three separate pieces of paper from the ASX confirming those trades.

Even though most people trade online or through brokers who submit the trades on their behalf, it's almost impossible to opt out of receiving reams of paper communications.

Period13 Sep 2021

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