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Letter Stock

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Letter stock
Privately placed common stock, so-called because the SEC requires a letter from the purchase stating that the stock is not intended for resale.

Restricted Security
A stock or right that one acquires through some means other than the open market. One may receive a restricted security through a merger or acquisition, private placement prior to an IPO, or sometimes through a stock option. A restricted security is not registered with the SEC and thus may not be sold publicly until registration has been made. It is less commonly called a letter security.

letter stock


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You can purchase resume paper and letter stock through your local office supply store or department store in the office supplies section.
In the United States, owners of such shares are usually restricted from selling them for some period after the offering, and some of these shares may be letter stock.
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