§ 28044 Major Security Ownership Definition

• •If someone owns 10% or more of a company's voting shares, they are called a 'principal security holder'.
• •This includes shares owned directly or indirectly, even if they are held for someone else's benefit.
• •The rule helps identify big investors who can influence company decisions.

If you buy enough stock in a company to own 10% of its voting shares, you become a major shareholder.

This means you now have a big say in how the company is run, and the company must recognize you as an important owner.