Preferred stock
Definition
Stock that confers the holder a right to be paid first, before common (non-preferred) stockholders in the event of a dividend or liquidation payout. Unlike common stock, though, preferred stock confers no voting rights.
See also
Definition from Nolo’s Plain-English Law Dictionary
A class of stock giving its holders priority in receiving dividends and a share of assets upon liquidation of the corporation, but no voting rights. Compare: common stock
Definition provided by Nolo’s Plain-English Law Dictionary.
August 19, 2010, 5:22 pm
