nominee shareholder

nominee shareholder
The registered owner of shares held for the benefit of another person (the beneficial owner). The beneficial owner may choose to appoint a nominee because it does not wish to have the shares registered in its own name, or it may be required to appoint a nominee. A nominee shareholder may be an individual or a body corporate. Brokers adopt the practice of creating a company to act as a nominee shareholder to ease the administration of buying and selling holdings on behalf of their clients.
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Practical Law Dictionary. Glossary of UK, US and international legal terms. . 2010.

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