What is the stock certificate?

Actions Certificate are documents that provide proof of ownership of a specified number of shares in a given corporation. The certificate of shares, sometimes referred to as the stock certificate, will include all the relevant information needed to determine the legal claim of the document holder, including details of the number and type of shares held. In the determination of Come Comporations, it is necessary for the shareholder to have a valid shares certificate at the shareholder meeting.

It is important to realize that shares in the company does not automatically mean that the shares certificate will be issued. Depending on the legal documents used to establish a company, it must not be individuals who own a small number of shares, of course, to issue a certificate of stocks. The actual document would only be issued to individuals and others who had a significant number of shares in the company.

There are two different types of stock certificates today. A registered certificate will provide a document of shares title, with the nameWell, shareholders appear in corporation records. The wearer certificate identifies the number of shares charged by the documents and will allow the holder of the document to vote for these shares. The wearer's certificate is not uncommon if the actual shareholder wants to remain anonymous for some reason or wish to vote on his actions.

While persons who own a smaller number of shares are not in most cases issued a certificate of stocks, it is still possible to verify the ownership of these shares. Many companies will provide simple proof of ownership through a formal letter provided on the official header of the company and signed one or more financial officials of the corporation.