shareholder

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(shâr'hōl'dər) pronunciation
n.
One that owns or holds a share or shares of stock; a stockholder. Also called shareowner.

shareholding share'hold'ing n.



1. owner of one or more shares of stock in a corporation. A common shareholder is normally entitled to four basic rights of ownership: (1) claim on a share of the company’s undivided assets in proportion to number of shares held; (2) proportionate voting power in the election of directors and other business conducted at shareholder meetings or by proxy; (3) dividends when earned and declared by the board of directors; and (4) preemptive right to subscribe to additional stock offerings before they are available to the general public except when overruled by the articles of incorporation or in special circumstances, such as where stock is issued to effect a merger.

2. owner of one or more shares or units in a mutual fund. Mutual fund investors have voting rights similar to those of stock owners.
Shareholders’ rights can vary according to the articles of incorporation or bylaws of the particular company.
See also preferred stock.

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Any person, company, or other institution that owns at least one share in a company.

A shareholder may also be referred to as a "stockholder".

Investopedia Says:
Shareholders are the owners of a company. They have the potential to profit if the company does well, but that comes with the potential to lose if the company does poorly.

Related Links:
We delve into common stock owners' privileges and how to be vigilant in monitoring a company. Knowing Your Rights As A Shareholder
Companies balance the interests of owners, customers and employees. Find out who comes out on top. Whom Should Corporations Please?
This calculation will serve up your portion of the shareholder pie. Digging Into Book Value
Learn which management style best fits your investment goals. Mutual Fund Management: Team Players Or All-Stars?
Regulatory actions usually have lofty intentions that end up with unintended and negative consequences. The Pitfalls Of Financial Regulation


Random House Word Menu:

categories related to 'shareholder'

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Random House Word Menu by Stephen Glazier
For a list of words related to shareholder, see:
  • Securities - shareholder: owner of share or shares in company


  See crossword solutions for the clue Shareholder.
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A shareholder or stockholder is an individual or institution (including a corporation) that legally owns any part of a share of stock in a public or private corporation. Shareholders own the stock, but not the corporation itself. (Fama 1980).

Stockholders are granted special privileges depending on the class of stock. These rights may include:

  • The right to sell their shares,
  • The right to vote on the directors nominated by the board,
  • The right to nominate directors (although this is very difficult in practice because of minority protections) and propose shareholder resolutions,
  • The right to dividends if they are declared,
  • The right to purchase new shares issued by the company, and
  • The right to what assets remain after a liquidation.

Stockholders or shareholders are considered by some to be a subset of stakeholders, which may include anyone who has a direct or indirect interest in the business entity. For example, labor, suppliers, customers, the community, etc., are typically considered stakeholders because they contribute value and/or are impacted by the corporation.

Shareholders in the primary market who buy IPOs provide capital to corporations; however, the vast majority of shareholders are in the secondary market and provide no capital directly to the corporation.

Therefore, contrary to popular opinion, shareholders of American public corporations are not the (1) owners of the corporation, (2) the claimants of the profit, nor (3) investors, as in the contributors of capital.[1] [2]

References

  1. ^ Berle, Adolf. 1962. Modern Function of the Corporate System. Columbia Law Review,
  2. ^ Stout, Lynn. Bad and Not-So-Bad Arguments for Shareholder Primacy, 75 S. Cal. L. Rev. 1189 (2002)

Translations:

Shareholder

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Dansk (Danish)
n. - aktionær, andelshaver

Nederlands (Dutch)
aandeelhouder

Français (French)
n. - actionnaire

Deutsch (German)
n. - Aktionär

Ελληνική (Greek)
n. - (οικον.) μέτοχος

Italiano (Italian)
azionista

Português (Portuguese)
n. - acionista (m)

Русский (Russian)
держатель акций

Español (Spanish)
n. - accionista

Svenska (Swedish)
n. - aktieägare

中文(简体)(Chinese (Simplified))
股东

中文(繁體)(Chinese (Traditional))
n. - 股東

한국어 (Korean)
n. - 주주

日本語 (Japanese)
n. - 株主

العربيه (Arabic)
‏(الاسم) ألمساهم‏

עברית (Hebrew)
n. - ‮בעל מניות‬


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Voting Right (business term)
Voting Stock (business term)
Capital Contribution (business term)
Voluntary Accumulation Plan (business term)