Shareholder Voting Rights

Shareholders of common stock often have the right to vote on corporate matters, including board elections. This video breaks down the two primary voting systems—statutory and cumulative—and explains how each affects shareholder influence and control.

You’ll learn:

  • The key differences between statutory and cumulative voting

  • How each method allocates votes in board elections

  • Which system favors larger vs. smaller shareholders

  • How to calculate voting power using both methods

  • Common question formats and what to watch for on the exam

📘 Related Exams: SIE, Series 7
🧠 Skill Level: Beginner
📈 Topics Covered: Common stock rights, shareholder voting systems, corporate governance, voting power calculations

Previous

Options Basics

Next

Long vs. Short Options