What Is a Shareholder Listing?

A shareholder is an individual or institution that owns part of a company as an investment with the anticipation of earning income in future. The owners of the company are entitled to part of the profit in the form of dividends. A shareholder listing is a record of all the owners of the company that shows the percentage, number and type of shares allocated to each owner. The listing enables the company to send out important communications to shareholders and also to classify them according to the way they are prioritized in the distribution of dividends.

  1. Ordinary Shareholders Listing

    • A listing of ordinary shareholders is a list of individuals or institutions that have regular shares. These types of shares carry the high risks but have the highest potential of gaining when the market size or the company value expands. Ordinary shareholder listing also identifies the owners who are allocated dividends after the other categories of shareholders.

    Preference Shareholders Listing

    • Unlike ordinary shareholders, preference shareholders are given first priority when allocating dividends. A preference shareholders listing shows the shareholders that receive fixed dividend. This category of shareholders is also prioritized in the distribution of assets in the event that the company is folded.

    Cumulative Preference Shareholders Listing

    • Cumulative shareholders are part owners of a company whose dividends may be received collectively in successive years in the event that dividends are not paid in a particular year. A listing of cumulative shareholders shows those shareholders whose dividends may be allowed to build up in successive years when dividends are not issued in their respective years. However, cumulative shareholders have to be paid as long as the company is making a profit.

    Redeemable Shareholders Listing

    • Redeemable shares are the shares that the company is able to buy back at a future date. The listing records all the shareholders that can sell back their shares to the company once the sell back period becomes due. The company may either fix a date for buying back the shares or buy them back at will, but a company is not allowed to issue redeemable shares without the prior consent of the Securities Exchange Commission.

    Active Shareholders Listing

    • Active shareholders are shareholders who are engaged in the running of the company to ensure that that recommendations arrived at during general meetings are implemented. An active shareholders listing is a record of individuals or institutions that are actively engaged in the running of the company. The active shareholder listing mainly comprises founders of the company or the shareholders who have the majority of the shares.

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