WHAT ARE BEARER SHARES?
The certificate of bearer share does not include the name of the owner, and the owner of the share is any person having physical possession of the certificate. Bearer shares facilitate the transfer of assets, because transfer of ownership is accomplished simply by the transfer of the certificate. Now, Bearer shares are required to be held in the country of incorporation by a Fiduciary Institution in all the jurisdictions, except for Panama. Also, some businesses are not likely to enter into agreements and contracts with companies which have issued bearer shares, and the banks are reluctant to open bank accounts for companies that have issued bearer shares.
