Investments & Financial Planning
What Is Preferred Stock?
Preferred stock gives its shareholders certain privileges that make them senior to common shareholders. Preferred stockholders are promissed a fixed periodic return which is stated as a dollar amount or a percentage. Preferred stockholders are given preference over common shareholders with respect to distribution of earnings.
Note If you need professional help with "Investments & Financial Planning" or have other tax questions, we can help you find a local licensed CPA for a free, no-obligation consultation.