   
|
|
Joint Stock Company
|
| FYI - For 2011, Dow up, Dogs of the Dow up more (double digits) |
| |
A joint stock company is a unique entity that resembles a corporation and a partnership, having features of both. Like a corporation, a joint stock company is made up of shareholders. Under the umbrella of a joint stock company, all shareholders have unlimited liability, yet the company's stock is fully transferable. The capital of a joint stock company is pooled into a common fund formed by individual shareholder contributions. The shareholders of a joint stock company are free to sell or transfer their shares without requiring the permission or consent of other shareholders. A joint stock company is managed by an elected Board of Directors on behalf of the shareholders. It is unusual for a shareholder to sit on the board of a joint stock company. The first joint stock company was established in 1602 as the Dutch East India Company. Jamestown was also financed by a joint stock company. While many joint stock companies still exist, they are considered an unpopular alternative to limited liability entities. The joint stock company business form has been attributed to a number of fraudulent asset protection schemes.
Rate this Joint Stock Company definition...
|
|
Where is the market headed? The answer may surprise you. Find out
right now with the exclusive & Barron's recommended charts of Chart of the Day.
|
Popular Terms: inflation, FICO score, EBITDA, labor relations, option premium, 1035 exchange, 144a, deferred revenue, limit order, balance sheet, ex-dividend date, dividends payable, command economy, current ratio, phantom income, required rate of return, average price per share, real GDP, FTSE, stock split, deferred tax, diluted share, margin rate, class C shares, debt service coverage, minority interest, open position, annual return, ex-dividend, 401a, risk management, reverse mortgage, covered put, in escrow, LIBOR, implied volatility, wholly-owned subsidiary, irrevocable trust, quality assurance, stock market close, liquidity ratio, cancelled check, 1031 exchange, APR, Key Rate Duration, Zero Cost Collar, per diem, retained earnings, VIX
|
|
| |