Preferred Stock

Preferred Stock

Stock that gives the holder a preferential treatment over common stockholders in terms of payment of earnings. During liquidation, preferred stock gives the holders priority. Typically, preferred stock pays a fixed dividend that is disbursed before the common stock holders are paid. Generally, no voting rights are given with preferred stock.

Related posts:

1. Non-Cumulative Preferred Stock
2. Preferred Shares
3. Cumulative Preferred Stock
4. Convertible Preferred Stock
5. Preferred Equity Redemption Stock (PERC)