Legal Structure of a STAK

1 min read
Mar 14, 2024 5:00:00 PM

A Foundation Administration Office (STAK) is a legal entity that plays an essential role in shareholder structures and corporate governance. The legal structure of a STAK consists of two main parts: the foundation itself and the administration of shares. Let's take a closer look at these two parts of the legal structure of a STAK.

The Foundation

The first part of the legal structure of a STAK is the foundation itself. This is the legal entity established and registered according to the laws of the country in which the STAK operates. The foundation's primary objective is to manage shares on behalf of other stakeholders, separating the voting rights from the economic interest.

The foundation has its own legal identity and a board responsible for managing the STAK. The board may be composed of individuals appointed to manage the policies and activities of the STAK and to make decisions regarding the voting rights of the shares entrusted to the STAK.

Administration of Shares

The second part of the legal structure of a STAK is the administration of shares. The STAK receives shares from other parties and holds them in custody, without becoming the owner of these shares. In this arrangement, the economic benefits of the shares (such as dividend payments) remain for the ultimate beneficiaries, while the voting rights are exercised by the STAK.

The STAK is authorized to exercise voting rights over the shares according to the instructions it receives from the ultimate beneficiaries. This enables the STAK to maintain unity and consistency in the voting strategy, even if there are multiple stakeholders with different interests.


The legal structure of a STAK includes a foundation as a legal entity responsible for managing shares, separating the economic interest from the voting rights. Understanding this dual structure of the foundation itself and the administration of shares is essential to grasp the functions and purpose of a STAK within corporate structures and shareholder management.

At both legal entities, Share Council helps find the right solution for your company. We're happy to discuss what fits your company in a no-obligation call.