- Board Of Directors - B Of D
- A group of individuals that are elected as, or elected to act as, representatives of the stockholders to establish corporate management related policies and to make decisions on major company issues. Such issues include the hiring/firing of executives, dividend policies, options policies and executive compensation. Every public company must have a board of directors.
In general, the board makes decisions on shareholders' behalf. Most importantly, the board of directors should be a fair representation of both management and shareholders' interests; too many insiders serving as directors will mean that the board will tend to make decisions more beneficial to management. On the other hand, possessing too many independent directors may mean management will be left out of the decision-making process and may cause good managers to leave in frustration.
Investment dictionary. Academic. 2012.
Look at other dictionaries:
board of directors — often cap B&D: a group of individuals elected by the shareholders of a corporation to manage the corporation s business and appoint its officers Merriam Webster’s Dictionary of Law. Merriam Webster. 1996. board of directors … Law dictionary
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Board of Directors — Individuals elected by the shareholders of a corporation who carry out certain tasks established in the charter. Bloomberg Financial Dictionary * * * board of directors ˌboard of diˈrectors noun boards of directors PLURALFORM [countable] also… … Financial and business terms
board of directors — A group of *directors with ultimate responsibility for the *stewardship of an organization. Boards of directors have been described as inescapably, the centre of the (corporate) governance system (Cadbury, 2002, 33). Boards exercise their… … Auditor's dictionary
board of directors — /ˌbɔ:d əv daɪ rektəz/ noun 1. GB a group of directors elected by the shareholders to run a company ● The bank has two representatives on the board of directors. 2. US a group of people elected by the shareholders to draw up company policy and to… … Dictionary of banking and finance
Board of Directors — Das Board of Directors (deutsch etwa Verwaltungsrat) ist im anglo amerikanischen Raum das Leitungs und Kontrollgremium eines Unternehmens. Meist vereinigt es in etwa die Funktionen von Vorstand und Aufsichtsrat einer deutschen… … Deutsch Wikipedia
board of directors — noun a group of persons chosen to govern the affairs of a corporation or other large institution (Freq. 3) • Syn: ↑directorate • Hypernyms: ↑board • Hyponyms: ↑staggered board of directors • … Useful english dictionary
board of directors — boards of directors N COUNT A company s board of directors is the group of people elected by its shareholders to manage the company. [BUSINESS] The Board of Directors has approved the decision unanimously … English dictionary
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board of directors — The governing body of a corporation elected by the stockholders; usually made up of officers of the corporation and outside (non company) directors. The board is empowered to elect and appoint officers and agents to act on behalf of the… … Black's law dictionary