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Definition: AGM Annual General Meeting
AGM or Annual General Meeting is an annual compulsory meeting of its directors, executives and shareholders for publicly traded companies. In India, most of the Annual General meeting is held in the end of March on a date fixed by the company’s executives. Extraordinary General meeting can be called for solving any specific problems.
In a AGM typically, the chairman and CEO present the annual report, and voting rights are exercised by the shareholders for important decisions that have to be made.
The main duties of an AGM are as follows:
-Approval of company’s financial statements
-Election of Chairman, Vice-chairman and members of Board and fixing their compensation
-Election of auditor
-Any changes to be made to Articles of association
-Announcement of dividend
-Transfer / share buy back
Each shareholder is entitled to participate in the AGM, the shareholders are determined from the shareholders’ register eight days prior to the AGM. A notice of 21 days should be given to the members, with venue date and time mentioned of the meeting.