Proxy Means
Proxy Definition – Investopedia
What Is a Proxy?
A proxy is an agent legally authorized to act on behalf of another party or a format that allows an investor to vote without being physically present at the meeting. Shareholders not attending a company’s annual general meeting (AGM) may vote their shares by proxy by allowing someone else to cast votes on their behalf, or they may vote by mail.
Key Takeaways
A proxy is an agent legally authorized to act on behalf of another proxy may also allow an investor to vote without being physically present at the annual shareholder’s nagement ensures ownership interests are fully represented by encouraging shareholders who are unable to attend annual meetings to vote by proxy. A Proxy Statement is a packet of documents containing information necessary to make informed votes on issues facing the company.
How Does a Proxy Work?
While proxy voting is often an option, management encourages shareholders to vote in person. If the shareholder cannot attend, voting by proxy is another option. For a person to act as a proxy for an individual, formal documentation may be required that outlines the extent to which the proxy can speak on the individual’s behalf. A formal power of attorney document may be required to provide the permissions to complete certain actions. The shareholder signs a power of attorney and extends official authorization to the designated individual to vote on behalf of the stated shareholder at the annual meeting.
A proxy cannot vote if the shareholder arrives late and decides to vote for their own self.
Proxy Statements
Before the annual shareholder meeting, all shareholders receive a packet of information containing the Proxy Statement. The proxy documents provide shareholders with the information necessary to make informed votes on issues important to the company’s performance. A Proxy statement offers shareholders and prospective investors insight into a company’s governance and management operations. The proxy discloses important information on agenda items for the annual meeting, lists the qualifications of management and board members, serves as a ballot for elections to the board of directors, lists the largest shareholders of a company’s stock, and provides detailed information about executive compensation. There are also proposals from management and shareholders.
Proxy statements must be filed with regulatory authorities, such as the Securities and Exchange Commission (SEC) in the United States, on an annual basis before the company’s annual meeting.
When voting by proxy remotely, shareholders may be eligible to vote by mail, phone, or internet. Shareholders use the information in the proxy statements to aid in the decision-making process.
Anyone can look up a public company’s proxy statement via the SEC website under the name “DEF 14A. ”
Benefits of Proxy
Management ensures that ownership interests are fully represented by often encouraging shareholders that are unable to attend annual meetings to vote by proxy. Information presented during annual meetings often affects the future direction of the company, which can directly impact the value of a shareholder’s stake in the company.
Real World Example of a Proxy
Below is a portion of the proxy materials for the annual shareholders’ meeting of Corning Inc. in 2016.
The corporation’s assigned proxy is highlighted in blue showing that the shareholder’s vote can be cast by the noted in the bolded statement, if no choices are made, the nominated members of the board will be voted for by the proxy.
Example of Proxy for Corning Inc.
Investopedia
Proxy Card
Below is the Proxy Card showing the specific board members that were to be voted on as well as some of the proposals by management. If the shareholder wanted to vote, the proxy card could be mailed to the corporation.
Example of Proxy Card from Corning Inc. 2016 Annual Shareholders’ Meeting.
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Corning Inc. “Annual Meeting Proxy Card, ” Page 1&2. Accessed Aug. 26, 2020.
Proxy vs. VPN: 4 differences you should know – Norton
Worried about your privacy when searching the Internet? Wondering if hackers, government agencies, or companies can track what sites you visit, files you download, or links you click?
You might be wondering if it’s time to sign up with a virtual private network (VPN) or proxy server to hide your location and internet-service-provider address from any snoops.
But be aware: There are significant differences between a proxy and a VPN. While both tools can protect your identity, only a VPN will encrypt your data as you browse the web.
This means that only a VPN can help hide your online activity from hackers, government agencies, and companies that might be looking to learn more about how you spend your time on the internet.
What VPNs and proxy servers are
Both VPNs and proxy servers are tools you can use to help keep your activity private when browsing the internet, sending emails, reading online message boards, streaming video, and downloading files. But both of these tools work in different ways.
A proxy server is a computer that sits between you and a server, acting as a gateway when you access the internet. When you connect to a specific website, video-streaming app, or file-sharing program from your laptop, tablet, smart phone, or any other device, you can first connect to a proxy. Once you do this, you’ll be connecting to the site or app through an outside host server.
There’s a clear benefit to this if you want to hide your identity. The website you are visiting — or the streaming service you are accessing or file-sharing site you are using — will only see the IP address belonging to the proxy server. It won’t see your address. This will keep your identity and true location hidden from these sites and apps.
There are different types of proxies. Here are three of the most common ones.
HTTP proxies
You’d use these proxies to access websites. You can also use this type of proxy to access geo-restricted content. For instance, maybe an online video is restricted in your region. You can use a proxy server to log onto the site hosting the video, hiding the fact that your original IP address is restricted from watching it. Keep in mind, this may violate the user agreement with your content provider.
SOCKS5 proxies
These proxies don’t work only on websites. You can use a SOCKS5 proxy to access video streaming services, file-sharing sites, or online games. Be aware, though, that connecting to an app through a SOCKS5 proxy might be slower because free proxies can have less configuration options, support, and slower infrastructure.
Transparent proxies
You might have used a transparent proxy without realizing that. That’s the whole point. Employers — or parents, schools or libraries — might set up a transparent proxy as a way to filter user’s content when they connect to the internet or block users from accessing certain websites.
A VPN is similar to a proxy, but instead of working with single apps or websites, it works with every site you visit or app you access.
Like a proxy, when you visit a website after first logging into a VPN, your IP address is hidden and replaced with the IP address of your VPN provider. This keeps your identity shielded. But unlike a proxy, this protection will remain in place as you surf to new websites, visit online streaming sites, or send emails or download files.
You can access the internet through free VPN providers. But providers that charge for VPN access are less likely to share data with third parties.
How VPNs and proxies differ
Here are four ways VPNs and proxies are different.
1. VPNs encrypt your information
The biggest benefit of a VPN over a proxy server? With VPN enabled, your browsing and any data you send or receive, will be encrypted. This is important: It means that hackers, government agencies, businesses, or anyone else won’t be able to see what you’re doing when online.
Say you access your online bank account while using a VPN. Because your information is encrypted, hackers won’t be able to access your bank account numbers. The same is true if you log onto your credit card provider’s online portal: Because your data is encrypted, criminals won’t be able to snag your credit card number or the password you use to log onto the portal.
2. VPN providers promote online privacy
If you want total privacy, work with a VPN provider that has a no-log policy. “No log” means the providers pledge not to track and store your activity while you are using the service to connect to the internet. This means that these providers won’t have any data to give to anyone else who wants information about what sites you browse or files you share. On the other hand, a free proxy may monitor traffic and sell data to third-parties.
3. Free proxy connections can be slower
Both proxy servers and VPNs can slow down your browsing, depending on how many users are accessing these services. Free proxy connections however can be slower and less secure because of less support, less configuration options, and slower infrastructure.
4. You may spend more with a VPN
You can connect through free VPNs. However, many tech experts recommend going with a VPN provider that charges a fee because paid services often offer more data privacy, more secure connections, and more reliable performance. Security of free VPN can be unreliable, as many providers use only one VPN connection, called point-to-point tunneling protocol (PTTP). A paid VPN service, on the other hand, can offer users data encryption which is more secure.
Do you need a proxy if you have a VPN?
No. A VPN and proxy server both mask your IP address. But a VPN will also encrypt the data you send and receive, something that a proxy server doesn’t do. If you are already using a VPN, then, connecting to a website or app through a proxy server would be an unnecessary step.
What should you use, a VPN or proxy server?
When it comes to proxy vs. VPN and which one to use, the differences between the two might help you decide what’s the best choice for you.
If you want to hide your IP address, using either a proxy server or VPN will work. And if you’re worried about browsing speed, and you’re only worried about hiding your IP address from a single site or app, then a free proxy server will do the job.
If cost is an issue, then connecting to single sites, apps, or file-sharing services through a proxy server might be the smart move. It’s easy to find free proxy servers that will hide your IP address.
But if you want to keep your browsing activity hidden from snoops, logging onto the internet through a VPN is the better choice. Again, it comes down to encryption: VPNs encrypt your data while online. Proxy servers don’t.
If you plan to access several sites while online, especially if you’re connecting to sites such as your bank account or credit card portal, a VPN provides more security.
And while many of the preferred VPN providers will charge for their services, this price might be a small one to pay if it means that your most sensitive personal and financial information is shielded from the eyes of online snoops.
Proxy | Definition of Proxy by Merriam-Webster
\ ˈpräk-sē
\
1: a person who is given the power or authority to do something (such as to vote) for someone else
Since I wouldn’t be available to vote, I nominated him to act as my proxy.
2: power or authority that is given to allow a person to act for someone else
1: the agency, function, or office of a deputy who acts as a substitute for another
2a: authority or power to act for another
b: a document giving such authority
specifically: a power of attorney authorizing a specified person to vote corporate stock
3: a person authorized to act for another: procurator
Frequently Asked Questions about proxy means
What is meant by a proxy?
A proxy is an agent legally authorized to act on behalf of another party or a format that allows an investor to vote without being physically present at the meeting.
Is VPN a proxy?
A VPN is similar to a proxy, but instead of working with single apps or websites, it works with every site you visit or app you access. Like a proxy, when you visit a website after first logging into a VPN, your IP address is hidden and replaced with the IP address of your VPN provider.
What does proxy mean in text?
1 : a person who is given the power or authority to do something (such as to vote) for someone else Since I wouldn’t be available to vote, I nominated him to act as my proxy. 2 : power or authority that is given to allow a person to act for someone else.
