|The Jolly Contrarian’s Glossary |
The snippy guide to financial services lingo.™
The holder for the time being of a share in the equity of a company; a part owner of a corporate enterprise. Usually, shares are issued in registered form (as opposed to bearer form), because it is sort of important to know who — you know — owns the goddamn company. Whereas your creditors, on the other hand — could you really give a fig about them? Well, obviously you could, but as a general category, when you have issued that indebtedness in the form of freely transferable debt securities, it is that fact that someone holds them that mainly concerns you, rather than precisely who.
How important the shareholder is — and should be — in the grander scheme of things, is the topic of a JC essay, here.