Definition

1. Noun:
   • Shares granting voting rights: "Voting stock" refers to shares of a corporation's stock that provide the shareholder with the right to vote on corporate matters, such as electing the board of directors or approving major corporate actions. These shares typically also confer proxy rights, allowing the shareholder to delegate their vote to another party.

Usage and Examples

• Noun:
  • The activist investor acquired a large block of voting stock to influence the company's strategy.
  • Only holders of voting stock are permitted to attend and cast ballots at the annual shareholder meeting.
  • The merger proposal requires the approval of a majority of the outstanding voting stock.

Advanced Usage

• "Super-voting stock": A specific class of voting stock where each share carries multiple votes, often held by company founders to retain control.

  • The founder's super-voting stock gives him ten votes per share, ensuring he maintains decision-making power.

• "Non-voting stock": Often discussed in contrast to voting stock, referring to shares that provide equity ownership but no voting rights.

  • The company issued non-voting stock to raise capital without diluting the control of existing voting stockholders.

Variants and Related Words

• Common stock (n): A type of security that often, but not always, represents voting stock. It signifies ownership in a corporation and a claim on part of its profits.
• Proxy (n): The authority to represent someone else, especially in voting. A right intrinsically linked to voting stock.
• Shareholder (n): An owner of shares in a corporation, who may own voting or non-voting stock.

Synonyms

• Voting shares: Shares that carry the right to vote.
• Voting equity: Equity ownership that includes voting rights.

Related Terms and Concepts

• Corporate governance: The system of rules and processes by which a company is directed and controlled, where voting stock plays a central role.
• Proxy fight: A contest between corporate factions for shareholder votes, which directly involves soliciting the proxies of voting stockholders.

Noun

1. shares in a corporation that entitle the shareholder to voting and proxy rights