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Glite Dictionary
stock power

stock power

9.6
A legal paper that lets an owner give their shares to another person
  • noun
  • Specialized
translation icon : poder de acciones
  • The investor signed a stock power to transfer the shares to her daughter.

Examples

  • Without a stock power, the broker cannot complete the securities transfer.

  • The stock power must be notarized before submission.

  • A stock power must be endorsed properly to be valid.

  • Please sign the stock power to transfer your shares.

  • The investor signed a stock power to transfer the shares to her daughter.

  • A stock power must be endorsed properly to be valid.

  • Without a stock power, the broker cannot complete the securities transfer.

Surface Forms

stock power singular
stock powers plural

Morphology

stock + power

A learner who knows 'stock' (a share) and 'power' (authority) can reasonably infer this refers to some kind of authority relating to shares, so there is a clear compositional link. However, the precise sense — a specific legal document used to transfer registered securities — is specialised and not fully predictable from the constituents alone, making the term partially but not fully transparent to B1 learners.

Etymology

Stock power comes from old legal practice. It was a paper that gave someone the power to move the owner's stock, or shares. So it means a document that lets you 'transfer ownership' of shares.