Preference shares: Difference between revisions

From ACT Wiki
Jump to navigationJump to search
imported>Doug Williamson
(Add link to Preference dividends page.)
imported>Doug Williamson
(Mend link.)
Line 15: Line 15:
* [[Common stock]]
* [[Common stock]]
* [[Ordinary shares]]
* [[Ordinary shares]]
* [[Preference dividends]]
* [[Preference dividend]]
* [[Return on shareholders funds]]
* [[Return on shareholders funds]]
* [[Share]]
* [[Share]]

Revision as of 14:32, 24 January 2019

A form of capital with preferred rights over ordinary shares or common stock.


These rights may be a preferred right to a dividend or to repayment in the event of winding up of the business.

This form of capital can have some characteristics of debt and of equity. As such they could be a form of hybrid instrument.

Preference shares are frequently used by venture capital investors as a medium for their investment.


Also known as 'preferred shares'.


See also