Shareholder

Definition

A shareholder is an individual or institution that legally owns one or more shares of stock in a public or private corporation. Shareholders may be referred to as members of a corporation. They benefit from the company's success and may receive dividends or have a say in the company's decisions through voting rights.

Parts of Speech

• Noun

Pronunciation

American English

• IPA Pronunciation: /ˈʃɛrˌhoʊldər/
• Respelling: SHAIR-hohl-dər (with "SHAIR" as in "air," "hohl" as in "hole," and "dər" as in "butter")

British English

• IPA Pronunciation: /ˈʃɛəˌhəʊldə/
• Respelling: SHAIR-hohl-də (with "SHAIR" similar to "air," "hohl" as in "hole," and "də" as in "butter" but without the rhotic 'r')

In both dialects, "shareholder" is pronounced with primary stress on the first syllable, "SHAIR." The main differences between American and British English pronunciations can be found in the vowel sounds and the pronunciation of the rhotic 'r' at the end of words, which is typically more pronounced in American English.

Etymology

The term "shareholder" is a combination of the words "share," derived from Old English 'scearu' meaning 'a cutting, shearing, tonsure; a part or division,' and "holder" from Old English 'healdan' meaning 'to hold, keep, possess.'

Derivatives

• Shareholding
• Shareholders' Equity
• Majority Shareholder

Synonyms

• Stockholder
• Share-owner
• Equity Holder

Antonyms

• Debtholder
• Creditor
• Bondholder

Usage

The term "shareholder" is predominantly used in the realm of business and finance to signify individuals or institutions owning shares in a corporation. They hold a financial interest in the company and may exercise certain rights in line with the number of shares they possess.

Related Terms

• Dividend
• Capital
• Stock
• Equity

Detailed Definition

Noun

• Individual Share Ownership: An individual who owns shares of stock in a corporation, thus having a claim on part of the corporation's assets and earnings. They may also have voting rights which allow them to vote on certain corporate matters, typically in proportion to their ownership in the company.

• Institutional Share Ownership: An institution that holds shares in a corporation, often with an aim of financial gain through dividends or capital appreciation. Institutions like mutual funds, pension funds, and other investment entities could be shareholders.