Friday, May 23, 2008

Financial Jargons-I


Distinguish between promoters,shareholders and stakehoders ?
Promoters are the first shareholders of a company and they actively participate in the company affairs. e.g Mukesh Ambani is the promoter of RIL.
note:some companies have no promoters e.g L&T.

Shareholders are the investors in the company who are entitled to get dividends.All promoters are shareholders but vice-versa is not true.Shareholders can be individuals(retail),Institutional such as other corporate bodies or govt.

Stakeholders are the individuals or institutions which has got interest in the company.
e.g Employees,clients,shareholders,promoters all are stakeholders of the company.




No comments: