Capital allocation is the description of how management uses resources to create value on behalf of shareholders.
A shareholder of a legal entity is a person or entity registered by the legal entity as the legal owner of an interest in the share capital of a public or private legal entity. Shareholders can be considered members of the legal entity.
A shareholder is an individual, company or institution that owns shares in a company. A shareholder can only hold one share. Shareholders are subject to capital gains (or losses) and/or dividend payments as remaining beneficiaries of the company's earnings.
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