Question: 1 . Shareholder ConcernsGuide Me Notificationsa. Voting Structure ( 0 . 5 mark ) : If it is a publicly traded firm, look at whether
Shareholder ConcernsGuide Me Notificationsa. Voting Structure mark: If it is a publicly traded firm, look at whether the firm has multiple classes of shares and if so whether they have different voting rights. If the government is an investor, check to see whether it has veto powers golden shares over key decisions.b Ownership structure marks: Start by looking at proportions of the outstanding stock held by institutions, insiders and individuals. This data is generally available in public sources, in most countries. How many stockholders does the company have? What percent of the stock is held by institutional investors? Does the company have listings in foreign markets? If you can, estimate the percent of the stock held by nondomestic investors Who are the insiders in this company? Besides the managers and directors, anyone with more than is treated as an insider What role do the insiders play in running the company? What percent of the stock is held by insiders in the company? What percent of the stock is held by employees overall? Include the holdings by employee pension plans Have insiders been buying or selling stock in this company in the most recent year?c Top shareholders mark: Look at the top ten to twenty Molders of the company's shares. In addition to checking to see how many are institutions, look for the presence of founders and activist investors on the list. You are trying to see if these stockholders will be willing to stand and contest management, if they feel that their value is being put at risk.d CEO and top management mark: Look at the background of the CEO and examine how he or she got to the position. In particular, check for tenure how long he or she been CE whether the CEO came up through the ranks or from another organization, hisher age and connections to the ownership of the company. If you can, ask theame questions about the rest of he top management team. Who is the CEO of the company? How long has he or she been CEO?
Step by Step Solution
There are 3 Steps involved in it
1 Expert Approved Answer
Step: 1 Unlock
Question Has Been Solved by an Expert!
Get step-by-step solutions from verified subject matter experts
Step: 2 Unlock
Step: 3 Unlock
