Incumbent
Definition of 'Incumbent'An individual that is responsible for a specific office within a corporation or government position. This person has an obligation to the position or office he/she holds. All incumbents of an organization, such as directors and officers, are listed on an incumbency certificate. This is an official or regime currently holding office or a post. For example, in politics, "The incumbent governor was defeated in the elections." |
|
Investopedia explains 'Incumbent'This term is also used in the form of an "obligation." For example, "It is incumbent for the President to sign the new health care policy in order to meet the nations' current health care needs."Also referred to as a company that is powerful and has a large amount of market share, as in, "the dominant incumbent software company." In business, the incumbent is typically the largest player in a given industry. |
Related Definitions
Articles Of Interest
-
Evaluating A Company's Management
Financial statements don't tell you everything about a company's health. Investigate the management behind the numbers! -
A Guide To CEO Compensation
Make sure you assess whether a CEO has a stake in doing a good job for you, the shareholder. -
Get Tough On Management Puff
Company managers are often skilled at fooling investors. Be critical and don't believe the hype. -
Governance Pays
Learn about how the way a company keeps its management in check can affect the bottom line. -
The Basics Of Corporate Structure
CEOs, CFOs, presidents and vice presidents: learn how to tell the difference. -
Evaluating The Board Of Directors
Corporate structure can tell you a lot about a company's potential. Learn more here. -
Earnings Guidance: Can It Accurately Predict The Future?
Explore the controversies surrounding companies commenting on their forward-looking expectations. -
Mergers And Acquisitions: Understanding Takeovers
In the dramatic world of M&As, battleground terms meld with bizarre metaphors to form the language of the game. -
Everything Investors Need To Know About Earnings
We go over the concepts behind the excitement over the most important figure in the stock market. -
Is a dividend reduction a signal to sell?
Although a dividend reduction is generally viewed as a signal to sell, the decision is not as clear-cut as if the dividend were to be eliminated altogether, which would be an unequivocal sell ...
Free Annual Reports