We introduce an explicit definition for “hidden correlations” on individual entities in a compound system: when one individual entity is measured, this induces a well-defined transition of the “proper state” of the other individual entities. We prove that every compound quantum system described in the tensor product of a finite number of Hilbert spaces can be uniquely represented as a collection of individual entities between which there exist such hidden correlations. We investigate the significance of these hidden correlation representations within (...) Aerts' creation-discovery approach and in particular their compatibility with the hidden measurement formalism. This leads us to the introduction of the notions of “soft” and “hard” “acts of creation” and to the observation that our approach can be seen as a theory of individuals when it is compared to the standard quantum theory. (shrink)