Directorate

Dictionary Says

Definition of 'Directorate'


An organization headed by a director. In finance, directorate is sometimes used in place of "board of directors," which is the group of individuals that makes decisions for a corporation on behalf of its shareholders. In politics, directorates are government or quasi-government agencies or organizations (e.g., Norwegian Petroleum Directorate, OECD Trade and Agriculture Directorate, U.S. Directorate of Defense Trade Controls).

Investopedia Says

Investopedia explains 'Directorate'


When an individual sits on the board of directors of more than one publicly traded corporation, this situation is called an interlocking directorate. Interlocking directorates are common, but can be problematic and even illegal if that individual belongs to the boards of competing companies. A board member is obliged to act in the best interests of the shareholders of any company he or she represents and must be careful to avoid conflicts of interest.

comments powered by Disqus
Hot Definitions
  1. Closed-End Fund

    A closed-end fund is a publicly traded investment company that raises a fixed amount of capital through an initial public offering (IPO). The fund is then structured, listed and traded like a stock on a stock exchange.
  2. Payday Loan

    A type of short-term borrowing where an individual borrows a small amount at a very high rate of interest. The borrower typically writes a post-dated personal check in the amount they wish to borrow plus a fee in exchange for cash.
  3. Securitization

    The process through which an issuer creates a financial instrument by combining other financial assets and then marketing different tiers of the repackaged instruments to investors.
  4. Economic Forecasting

    The process of attempting to predict the future condition of the economy. This involves the use of statistical models utilizing variables sometimes called indicators.
  5. Chicago Mercantile Exchange - CME

    The world's second-largest exchange for futures and options on futures and the largest in the U.S. Trading involves mostly futures on interest rates, currency, equities, stock indices and agricultural products.
  6. Private Equity

    Equity capital that is not quoted on a public exchange. Private equity consists of investors and funds that make investments directly into private companies or conduct buyouts of public companies that result in a delisting of public equity.
Trading Center