Stock Trading Account Required With No Account, Custody Or Inactivity Fee For Perseus Mining ASX:PRU

spondyon

Can you help me to find a stock trading account where I can hold Perseus Mining Limited, listed on the Australian Securities Exchange ASX:PRU, without any account, custody or inactivity fees?

I am a long term holder of these shares from when the company was Cluff Gold. They were bought by Amara Mining and then Perseus Mining which is based in Australia. I currently have these in a Hargreaves Lansdown account and am holding them without any fees other than transaction related ones should I with to buy or sell.

Perseus Mining has made the decision to withdraw their Depositary Interest Facility for UK shareholders and before Christmas 2020 advised this would be by 31 December 2020 but have since extended the deadline to 31 March 2021. For more detail see the Investors section of the Perseus Mining website 'perseusmining dot com' >> ASX Announcements >> 2020 >> Extension Of Termination Date Of UK DI Facility (cannot post a link due to new member restriction).

I cannot buy shares on the Australian Securities Exchange with Hargreaves Lansdown and do not want to be subject to the trading regime they will have in place should I continue to hold the shares with them after 31 March 2021.

Below is the communication from Hargreaves Lansdown. I have looked for another broker to either transfer to or buy with but they all seem to have some fees, don't trade Australian Securities, don't accept new customers of are all about CFDs.

Further to our message dated 18 December 2020, we can confirm that Perseus Mining has agreed to extend the date that the Depositary Interest (DI) Facility will be terminated to 31 March 2021. An update to our timetable is therefore provided below.

The Perseus Mining Ltd Depositary Interest (DI) Facility will be terminated on 31 March 2021. This is the facility that allows you to easily trade the shares in the UK and as a result we’ll not be able to hold the shares in the UK Settlement System, CREST, after this date.

You have the following 2 options in respect of your shares:

1. Sell your shares

You’ll be able to sell your shares up until close of business on Friday 26 March 2021. You may do this online or by calling our Dealers on 0117 980 9800.

2. Do nothing

If you still hold the shares at the end of 26 March 2021, we’ll automatically transfer them to our global custodian, HSBC, so that we’re still able to offer you a facility to hold and sell the shares. The shares will continue to show in your Hargreaves Lansdown portfolio, but as the underlying custodian will be HSBC, or a sub-custodian of HSBC, there will be certain implications you should be aware of:

• We’ll only allow sale instructions to be processed and all purchase requests will be rejected.
• You’ll only be able to sell your shares over the phone by calling our Dealers on 0117 980 9800. We’ll convert the proceeds into Sterling, subject to the prevailing exchange rate at that time and our standard currency conversion fees.
• You’ll be charged our telephone commission of 1% of the consideration, subject to a minimum of £20 and a maximum of £50. HSBC will also charge a transaction fee of £15 per sale. These additional fees will be factored into your sale.
• You’ll continue to be able to trade your shares on the Toronto Stock Exchange once they have been successfully transferred into our HSBC Account. This process will begin once the shares have been converted and is likely to take a number of weeks, to complete, although we’ll work to ensure the transfer is concluded as quickly as possible. We’ll contact you again once the transfer is complete.
• The shares will be held with our third party custodian, HSBC, who may in turn hold the shares through a sub-custodian in the home country of the investment. The settlement, legal or regulatory requirements that apply to the shares may differ from those applicable in the UK. Your investment may not benefit from the same protections in the event of the insolvency of the third party that may apply under UK law. A more detailed explanation of these additional risks is provided in section A25 of our terms & conditions, which are available at Hargreaves Lansdown website (cannot post a link due to new member restriction).

maxsteam

Have a look at Degiro. They currently offer access to the stock on Australian, French and Canadian markets (as well as LSE). I have no idea what they will offer in the future. You may decide to sell on HL then buy on another platform, or you may decide to buy something else. It seems an odd holding to want to retain when something like this happens.

spondyon

Thanks for the reply maxsteam.

I’ve had a look at Degiro and the fees to buy and hold with them would appear to be an option.

Options are what I have and need to make a decision before the end of March 2021. They are;

1. Sell up before the end of March, keep it simple, take the money, move on and buy something else listed on the London Stock Exchange.

2. Do nothing, I don’t need the cash at the moment, it’s been a long term investment anyway, wait for further price improvement and sell at a time of my choosing after the end of March.

3. Sell before the end of March and see whether I can buy back in from the beginning of April with Hargreaves Lansdown using the Perseus Mining listing on the Canadian Toronto Exchange.

4. Sell either before or after the end of March and then open a new account with Degiro and buy Perseus Mining shares listed on the Australian Securities Exchange.

 

I’m trying to and avoid letting the heart rule the head. After a long time in these shares they are coming good which is why I want to remain invested. Maybe one day they will be bought out by one of the larger mining companies listed in London and then the problem would be resolved without me having to do anything. Consolidation in the mining industry is not unheard of.