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Annual General Meetings (AGM) - A Dictionary of Terms

AGMs are meetings where company shareholders come together to discuss and vote on important matters related to the company. However, AGMs have various terminology that may be discussed and decided upon at an AGM you may want to be familiar with.

  • Agenda: A list of items to be discussed at a meeting.
  • Minutes: A written record of the proceedings and decisions made at a meeting.
  • Chairman: The person who presides over a meeting and ensures that it is conducted according to the rules.
  • Board of Directors: A group of individuals who are elected by the shareholders of a company to oversee its management and make important decisions on its behalf.
  • Shareholders: Individuals or entities that own shares in a company.
  • Quorum: The minimum number of people required to be present at a meeting in order for it to be valid.
  • Resolution: A formal decision made by a group, usually at a meeting.
  • Voting: The process of expressing a choice or preference, usually by casting a ballot.
  • Proxy: A person who is authorized to act on behalf of another person, especially in voting at a meeting.
  • Dividend: A distribution of a portion of a company's profits to its shareholders.
  • Financial Statements: Official documents that provide information about a company's financial performance and position, such as its income statement, balance sheet, and statement of cash flows.
  • Report of the Directors: A document prepared by the board of directors that provides information about the company's activities and performance during the year.
  • Report of the Auditors: A document prepared by the auditors of the company that provides their opinion on the accuracy of the financial statements.
  • Election of Directors: The process of choosing new members for the board of directors.
  • Appointment of Auditors: The process of selecting a firm or individual to audit the company's financial statements.
  • Remuneration of Directors: The payment and benefits received by the directors of a company for their services.
  • Authority to Issue Shares: The power granted to the board of directors to issue new shares of stock.
  • Authority to Buy Back Shares: The power granted to the board of directors to purchase the company's own shares.
  • Special Business: Any items of business that are not included on the regular agenda, but are deemed important enough to be discussed at the meeting.
  • Any Other Business: A catch-all category for any additional items that may need to be discussed at the meeting.