Voting Rights

Class A/Class B Shares
Class A and Class B shares refer to different types of stock issued by the same company, typically differentiated by voting rights, dividend preference, or participation in the company's profits.
Classified Stock
Classified stock refers to a company's common stock that is divided into two or more classes, typically with varying voting rights and privileges. This approach is often used to maintain control within a specific group, such as management or the founders, while raising equity capital from the broader market.
Common Stock
In the USA, the equivalent of the ordinary shares in a public company or privately held firm that give the holders voting and dividend rights. Common stock holders are paid after bondholders and the holders of preferred stock in the event of corporate bankruptcy.
Equity Share
An equity share, also known as an ordinary share, represents an ownership interest in a company, granting the holder voting rights, dividends, and a claim on assets upon liquidation.
Founders' Shares
The shares issued to the founders of a company, often carrying special dividend rights and voting rights, offering an incentive for sustained involvement and control by the original founders.
Golden Share
A golden share is a type of share in a company that holds significant voting rights, often retained by governments to maintain control in strategic sectors following privatization.
Mutual Association
A financial institution similar to a Savings and Loan Association (S&L) but organized as a cooperative. It is owned by its members, with deposits representing shares. Members, as shareholders, vote on the association’s affairs and receive income in the form of dividends.
Ordinary Share
An ordinary share is a type of equity ownership in a company that typically provides its holder with voting rights and a share of the company's profits.
Poll Tax
A nominal lump-sum tax imposed on individuals who vote in public elections, historically used as a disenfranchisement tool and ruled unconstitutional under the Fourteenth Amendment.
Proxy Fight
A technique used by an acquiring company to attempt to gain control of a takeover target by persuading shareholders to oust the current management in favor of directors favorable to the acquirer.
Shareholder
A shareholder, also known as a stockholder, is an individual or entity that legally owns one or more shares of stock in a public or private corporation. Shareholders are entitled to certain rights, such as voting on corporate matters and receiving dividends, if distributed.
Shares
Shares represent units of ownership in a company, conferring certain rights such as earning dividends and voting in company matters. They can differ in type, such as ordinary shares and preference shares, and their trading is subject to various regulations depending on whether the company is public or private.
Stewardship Code
A code of best practice for institutional investors, such as pension funds, insurance companies, and investment trusts, which sets guidelines on how these entities should engage with their investee companies, notably in the exercise of voting rights.
Unissued Stock
Unissued stock refers to shares of a corporation's stock authorized in its charter but not yet issued. These shares are displayed on the balance sheet along with shares that are issued and outstanding. Unissued shares do not pay dividends and cannot be voted. They differ from treasury stock, which is issued but not outstanding as it has been reacquired by the corporation.
Voting Shares
Voting shares are shares in a company that give the shareholder the right to vote at the company's general and extraordinary meetings, typically associated with ordinary shares.

Accounting Terms Lexicon

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