Which term describes an investor who owns shares but does not engage in daily management?

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Multiple Choice

Which term describes an investor who owns shares but does not engage in daily management?

Explanation:
Owning shares means you have an ownership stake in a company, but you typically don’t run its day-to-day operations. The term for someone who holds stock but doesn’t manage daily activities is stockholder (also called shareholder). A stakeholder is broader and includes anyone affected by the company, not just owners. A partner implies a formal business relationship with shared ownership and management, while an employee is someone who works for the company. So, the investor described is a stockholder.

Owning shares means you have an ownership stake in a company, but you typically don’t run its day-to-day operations. The term for someone who holds stock but doesn’t manage daily activities is stockholder (also called shareholder). A stakeholder is broader and includes anyone affected by the company, not just owners. A partner implies a formal business relationship with shared ownership and management, while an employee is someone who works for the company. So, the investor described is a stockholder.

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