Proxy Vote

A proxy vote allows shareholders to delegate their voting power to another party, often the company’s management or a designated representative, to vote on their behalf at shareholder meetings. Proxy voting enables shareholders who cannot attend the meeting in person to have their voices heard on issues such as board elections, mergers, and corporate policies. It is a common practice in large publicly traded companies to ensure shareholder participation in key decisions.

Example

A shareholder in a large corporation submits a proxy vote online, authorizing the company’s management to vote on their behalf in favor of a proposed merger.