DeSmog

Facebook-f X-twitter
Subscribe
Donate
Donate

DeSmog

Donate
Search
Search

Explainer: What is a Nominee Account?

authordefault
By Chloe Farand
on
Series: London's Oil Secret

A nominee account allows a stockbroker to hold shares on behalf of a client, making buying and selling those shares easier. The investor remains the only beneficial owner of the shares.

This may be a way for the investor to make it more difficult for anyone to find out how many shares he/she owns in a company since the name of the investor does not appear on the companyโ€™s register of shareholders.

It also allows investors to own shares without being involved with any of the paperwork.

The stockbroker is also able to move or sell shares from the nominee account at any time, a mechanism that enables fraud as regulators are not able to check on nominee accounts holdings daily.

Read DeSmog UK‘s Empire Oil series:

Part One – Black Goldโ€™: Londonโ€™s African Oil Hub

Part Two – Taking AIM: Londonโ€™s Wild West Stock Market

Part Three – Exposed: The Elite โ€˜Boys Clubโ€™ Running Londonโ€™s Opaque Oil Network

Image Credit: Ken Teegardin/Flickr/CC BY–SA 2.0

Get Weekly News Updates

By Chloe Farand
authordefault

Related Posts

Analysis
Canadian Gas CEOs Are Hyping AI Data Centres to Investors as a Lifeline for Their Industry
ByMitch Anderson
on

Investor call transcripts show that gas companies see the data centre build-out as their next growth sector, even as the energy transition accelerates.

Investor call transcripts show that gas companies see the data centre build-out as their next growth sector, even as the energy transition accelerates.
Event | Join Naomi Klein, Michael E. Mann, and Jim Hoggan to Celebrate DeSmog's 20th Anniversaryย 
ByDeSmog
on

Sign up for our July 8 virtual conversation on combatting fossil fuels and fascism, keeping up with climate denial, and solving polluted information ecosystems.

Sign up for our July 8 virtual conversation on combatting fossil fuels and fascism, keeping up with climate denial, and solving polluted information ecosystems.
Seafood Industry Giants Failing to Tackle Pollution, New Study Finds
ByBrigitte Wear
on

More farmed salmon will not necessarily bring better food security, say researchers.

More farmed salmon will not necessarily bring better food security, say researchers.
Series: Spotlight on Industrial Aquaculture
Series: Spotlight on Industrial Aquaculture
uk/โ€˜Detailed and Determined Scoopโ€™: DeSmog Wins Association of British Science Writersโ€™ Award
ByDeSmog
on

Clare Carlile's reporting was recognized under the โ€˜News Item of the Yearโ€™ award for revealing how UK government staffing shortages would harm the environment during a historic drought.

Clare Carlile's reporting was recognized under the โ€˜News Item of the Yearโ€™ award for revealing how UK government staffing shortages would harm the environment during a historic drought.