[prok-see] Pronunciation Key | 1. | the agency, function, or power of a person authorized to act as the deputy or substitute for another. |
| 2. | the person so authorized; substitute; agent. |
| 3. | a written authorization empowering another person to vote or act for the signer, as at a meeting of stockholders. |
| 4. | an ally or confederate who can be relied upon to speak or act in one's behalf. |
Based on the Random House Unabridged Dictionary, © Random House, Inc. 2006.
| prox·y
(prŏk'sē) Pronunciation Key
n. pl. prox·ies
[Middle English proccy, contraction of earlier procracie, annual payment to a prelate, from Anglo-Norman procuracie, from Medieval Latin prōcūrātia, alteration of Latin prōcūrātiō, from prōcūrātus, past participle of prōcūrāre, to take care of; see procure.] |
The American Heritage® Dictionary of the English Language, Fourth Edition
Copyright © 2006 by Houghton Mifflin Company.
Published by Houghton Mifflin Company. All rights reserved.
proxy
| proxy | |
noun | |
| 1. | a person authorized to act for another |
| 2. | a power of attorney document given by shareholders of a corporation authorizing a specific vote on their behalf at a corporate meeting |
proxy
A person authorized to act for another, or the written authorization to act for another.
Note: Shareholders in corporations may designate proxies to represent them at stockholders' meetings and vote their shares.
Copyright © 2005 by Houghton Mifflin Company.
Published by Houghton Mifflin Company. All rights reserved.
Proxy
1. An agent legally authorized to act on behalf of another party. Shareholders not attending a company's annual meeting may choose to vote their shares by proxy by allowing someone else to cast votes on their behalf.
2. A formal power of attorney document that may be signed by a shareholder to authorize another shareholder, a representative of the shareholder or the company's management, to vote on behalf of the shareholder at the annual meeting. Proxy statements must be filed with regulatory authorities (the Securities and Exchange Commission in the U.S.) on an annual basis prior to the company's annual meeting. Proxy documents are meant to provide shareholders with the information necessary to make informed votes on issues important to the company's performance. They are known to offer shareholders and prospective investors tremendous insight into a company's governance as well as a glance at the way that a company's management operates.
Investopedia Commentary
1. Management often encourages shareholders to vote by proxy so that ownership interests are fully represented even if shareholders are unable to attend the company's annual meetings in person.
2. The proxy discloses important information about issues to be discussed at an annual meeting, lists the qualifications of management and board members, serves as a ballot for elections to the board of directors, lists the largest shareholders of a company's stock and provides detailed information about executive compensation.
Related Links
Putting Management Under The Microscope
Three Documents You Shouldn't Do Without
The Purpose and Importance of Proxy Voting
Lifting the Lid on CEO Compensation
See also: Common Stock, Cumulative Voting, Proxy Fight, Shareholder, Statutory Voting, Voting Right
Also spelled: proxies
proxy
- The written authority to act or speak for another party. Proxies are sent to stockholders by corporate management in order to solicit authority to vote the stockholders' shares at the annual meetings.
Copyright © 2003 by Houghton Mifflin Company. Published by Houghton Mifflin Company.
Main Entry: proxy
Pronunciation: 'präk-sE
Function: noun
Inflected Form: plural prox·ies
Etymology: Middle English procucie, contraction of procuracie, from Anglo-French, from Medieval Latin procuratia, alteration of Latin procuratio appointment of another as one's agent
1 : the act or practice of a person serving as an authorized agent or substitute for another —used esp. in the phrase by proxy
2 a : authority or power to act for another b : a statement or document giving such authorization; specifically : an oral consent or written document (as a power of attorney) given by a stockholder to a specified person or persons to vote corporate stock
3 a : a person authorized to act or make decisions for another
Proxy
Prox"y\, n.; pl. Proxies. [Contr. from procuracy. Cf. Proctor.]1. The agency for another who acts through the agent; authority to act for another, esp. to vote in a legislative or corporate capacity. I have no man's proxy: I speak only for myself. --Burke. 2. The person who is substituted or deputed to act or vote for another. Every peer . . . may make another lord of parliament his proxy, to vote for him in his absence. --Blackstone. 3. A writing by which one person authorizes another to vote in his stead, as in a corporation meeting. 4. (Eng. Law) The written appointment of a proctor in suits in the ecclesiastical courts. --Burrill. 5. (Eccl.) See Procuration. [Obs.]
Proxy
Prox"y\, v. i. To act or vote by proxy; to do anything by the agency of another. [R.]
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