WordNet-Online
Free dictionary and thesaurus of English. Definitions, synonyms, antonyms and more...
Hint: double-click any word to get it searched!

	Enter your search terms Submit search form
	Web www.wordnet-online.com

Definitions from the Web

Preference Share

Description:

A preference share refers to a type of share or stock that gives its holders preferential rights and privileges over other shareholders. These shares usually have a fixed dividend rate and are paid out before common shareholders receive any dividends. Preference shares offer investors a higher claim on assets and earnings and are considered less risky compared to common shares.

Sample Sentences:

• Investors who hold preference shares in the company are entitled to receive a fixed annual dividend of 6%.
• Preference share owners have the advantage of receiving their payments before common shareholders in case of company liquidation.
• The board of directors decided to issue more preference shares in order to raise additional capital for expansion.

Related Products:

Search for preference share-related products on Amazon.