Entity named or appointed by another (the nominee director or shareholder) to act on its behalf in a limited capacity or in a specific matter.
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, service, investment holding or collection of income from several oversea partners are usually appointed registered owners.
Europeans have used nominees to eliminate worldwide taxes since the mid-1900s. Hong Kong Company tax planners have used nominees for almost half a century. A nominee corporation is a powerful international tax planning tool for international trading, investing and servicing.