Because the share is not registered to any authority, transferring the ownership of the stock involves only delivering the physical document. Bearer shares lack the regulation and control of common shares because ownership is never recorded. Similar to bearer bonds, these shares are often international securities.
Investment dictionary. Academic. 2012.
Look at other dictionaries:
bearer share — bearer securities; also bearer shares Securities where proof of ownership is a certificate rather than a register of holders. In the UK, companies are required to keep a register of members and so bearer shares are more common outside the UK.… … Law dictionary
bearer share — security not registered on the books of the issuing corporation and thus payable to possessor of the shares. negotiable without endorsement and transferred by delivery, thus avoiding some of the control associated with ordinary shares. dividends… … Financial and business terms
bearer share — (Finance, Economics) share belonging to the person in holding it … English contemporary dictionary
share — Shares represent a slice in the ownership of a company. Financial Services Glossary The authorised share capital of a company is divided into a number of equal parts. Each part is called a share. See ordinary shares, preference shares, securities … Financial and business terms
bearer certificate — ➔ certificate * * * bearer certificate UK US noun [C] (also bearer note) BANKING, FINANCE ► a document showing ownership of a bond or share, which is considered to be the property of the person who has it in their possession, rather than of a… … Financial and business terms
bearer paper — ➔ paper * * * bearer paper UK US noun [U] BANKING, FINANCE ► any document such as a bond, cheque, or share that is considered to be owned by the person who has it in their possession, rather than by a named person: »To qualify as a holder, a… … Financial and business terms
bearer — The holder of an instrument. American Banker Glossary also bearer form Euroclear Clearing and Settlement glossary The owner is not registered in the books of the issuer or of the registrar. Euroclear Clearing and Settlement glossary See also… … Financial and business terms
bearer form — Describes issue form of security not registered on the issuing ( issue) corporation s books, and therefore payable to its bearer. See also: bearer bond; coupon bond. Bloomberg Financial Dictionary also bearer Euroclear Clearing and Settlement… … Financial and business terms
bearer stock — An instrument ( instruments) for which there is no register of the owner held by the company. Evidence of ownership is given by physical possession of the instrument itself. Bearer stock is common in the Eurobond market. Dresdner Kleinwort… … Financial and business terms
bearer security — A security whose owner is not registered on the books of the issuer. Exchange Handbook Glossary * * * bearer security bearer security ➔ security * * * bearer security UK US noun [C] (plural bearer securities) BANKING, FINANCE ► a bond or share… … Financial and business terms