How Do You Spell STOCKHOLDER?

1. A stockholder, also known as a shareholder, is an individual, institution, or entity that holds ownership rights in a company or corporation. These ownership rights are represented by shares or stock certificates issued by the company. By owning stocks, a stockholder becomes a partial owner of the company and benefits from the company's profits proportionally to the number of shares they own.

   As partial owners, stockholders hold certain privileges and responsibilities. They have the right to vote in the company's annual general meetings and participate in decision-making processes, including the election of board members. Additionally, stockholders can receive dividends from the company if it distributes profits to its shareholders. Dividends are usually paid out based on the number of shares owned by each stockholder.

   Furthermore, stockholders can benefit from capital gains by selling their shares at a higher price than the initial purchase price, making them an investment asset. This potential for financial gain is accompanied by the risk of losing money if the value of the company's stock decreases.

   Stockholders often engage in trading stocks on stock exchanges or through brokers to buy and sell shares. Their decisions and actions can influence the value of a company's stock, making stockholders active participants in the financial markets.

   Overall, stockholders play a fundamental role in corporate governance and the functioning of financial markets, contributing to the growth and development of companies while potentially reaping financial rewards.

2. A proprietor of stock in the funds, or of shares in a public company.

   Etymological and pronouncing dictionary of the English language. By Stormonth, James, Phelp, P. H. Published 1874.

Common Misspellings for STOCKHOLDER

The word "stockholder" has its roots in the verb "stock" and the noun "holder".

The noun "stock" originally referred to a stick commonly used for support or as a representation of a capital or investment. In the late 14th century, it began to be used specifically in the context of financial markets, representing shares or ownership in a business entity.

The term "holder" is derived from the Old English word "holdere", which meant "one who holds or possesses". It eventually extended to describe someone who possesses or owns shares or stocks in a company.

Combining both components, "stockholder" emerged to describe a person who holds shares or stocks in a corporation or business entity. The term is still widely used today to refer to individuals who have invested in a company and thus hold a stake or ownership in it.

Similar spelling words for STOCKHOLDER

Plural form of STOCKHOLDER is STOCKHOLDERS