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{{g}}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 security|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 [[Bearer instrument|freely transferable]] [[debt securities]], it is that fact that ''someone'' holds them that mainly concerns you, rather than precisely ''who''.
{{a|g|{{image|Shareholders|jpg|The [[hive mind]]’s conceptualisation of some shareholders, yesterday.}} }}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 security|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 [[Bearer instrument|freely transferable]] [[debt securities]], it is mainly that fact that ''someone'' (other than you)<ref>If it ''does'' happen to be you, then we should raise a glass, by the way, to whomsoever was the wizard who thought up [[Debt value adjustment|debt value adjustments]], allowing a near-bankrupt bank to book a profit off the discounted price at which it might buy its own paper back in the market, to massage its profit and loss statement in a particularly oily year.</ref> holds them that concerns you, rather than precisely ''who''.


Once upon a time, not terribly long ago, the shareholder was an opaque yet sacred being, somewhat divine, to whose improving ends everyone engaged in the company’s operation twitched their every last fibre. Measurement of performance was simple: the shareholders’ interest propelled the machine and that interest could be measured in a single dimension: earnings, before interest, taxes, depreciation, and amortisation. Nothing else mattered, and this even put a gate on the extent to which the company’s directors, officers, servants and agents could let the agency problem colour their pursuit of this noble singular goal.
How ''important'' the shareholder is — and should be in the grander scheme of things, is the topic of a JC essay, [[Stakeholder capitalism|here]].


 
{{Sa}}
{{sa}}
*[[Stakeholder capitalism]]
*[[Stakeholder]]
*[[Corporate veil]]
*[[Equities]]  
*[[Debt value adjustment]]
*[[Equity Derivatives]]
{{ref}}
*[[Equity Derivatives Anatomy]]
*[[Stock Lending]]

Latest revision as of 20:38, 10 January 2023

The Jolly Contrarian’s Glossary
The snippy guide to financial services lingo.™
Shareholders.jpg
The hive mind’s conceptualisation of some shareholders, yesterday.
Index — Click the ᐅ to expand:

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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 mainly that fact that someone (other than you)[1] holds them that 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.

See also

References

  1. If it does happen to be you, then we should raise a glass, by the way, to whomsoever was the wizard who thought up debt value adjustments, allowing a near-bankrupt bank to book a profit off the discounted price at which it might buy its own paper back in the market, to massage its profit and loss statement in a particularly oily year.