nominee

Definition 1

Entity named or appointed by another (the nominator) to act on its behalf in a limited capacity or in a specific matter.

Definition 2

Entity (the registered owner) in whose name securities or other assets are recorded and held under a custodial agreement with the actual owner (called beneficial owner). Such arrangements are used where the beneficial owner is abroad, wishes to conceal his or her identity, or to facilitate a trade or collection of income from several securities. Banks, brokerage houses, and trust companies are usually appointed registered owners. Use of nominees, however, does not alter the position of the beneficial owner with regard to tax liabilities and reporting requirements.