Registered Shareholder
A shareholder whose name appears directly on an issuer's stock register, as maintained by the transfer agent, rather than holding shares through a broker or nominee.
Full Definition
A registered shareholder holds securities in their own name on the books of the transfer agent, as opposed to a beneficial owner who holds shares through a brokerage account in 'street name.' Registered shareholders receive corporate communications directly from the issuer and can exercise voting rights without an intermediary. Editors should distinguish this term carefully from 'beneficial owner' and 'record holder,' as the distinction has legal and regulatory significance. The concept is central to proxy solicitation and dividend disbursement processes.
Usage
Usage note: Do not use interchangeably with 'beneficial owner.' A registered shareholder may hold shares on behalf of a beneficial owner.
In Context
- "Only registered shareholders as of the record date were eligible to vote at the annual general meeting." — Proxy Statement
- "The form should be completed by the registered shareholder, not the broker of record." — Stock Transfer Instruction Form