Scottrade - TD America merger, what happens to my shares?

[Left]

Wondering if anyone has been through a brokerage merger before. I've been through a company merger where my stocks got sold. I didn't have a lot then so I didn't have to worry about taxes. But I have a lot more now in scottrade, so what happens when they get merged? I don't want to get hit with a tax penalty for selling shares.

Should i find another brokerage to do a in-kind transfer? Will this happen automatically with TD America and I don't have to worry about it? I use vanguard ETFs, just didn't want an online only brokerage so I don't want to go to Vanguard if possible.

I'll try to head to the broker and ask in person, but thought someone might have knowledge of this

[PaulMaxime]

You are going to be fine. They might keep things as-is. if they do transfer things it will be non-taxable.

[jim555]

If your shares are held in street name nothing happens to your shares.  Cede & Co. will still be holding your shares on your behalf.

[Left]

If your shares are held in street name nothing happens to your shares.  Cede & Co. will still be holding your shares on your behalf.

I get the meaning behind it, but what does street name mean? Is it a technical term or something, haven't hear this before.

The scottrade agent said same thing, nothing to worry about. I was the first person that went to ask about it since it is so new. Buyout isn't even final so it may not go through. I did get a guess of if everything goes as planned, it would be about 18-24 months out before they switch over.

[Vagabond76]

"Street name" is jargon for when a brokerage holds your shares.

Nothing will happen.  I started with Waterhouse in 1996.  Then it became TD Waterhouse, then TD Ameritrade.  Now it will be TD Ameriscottrade, or something like that.

Stocks are like a piece of property.  You pay some guy (brokerage) to buy it and store it for you.  The guy may die or quit, so a new guy comes in and continues to hold it.  The property does not change when that happens.

Now if the underlying company gets bought out, splits, or changes in some other way, then that is a different story.