preference shares Synonyms
No Synonyms and anytonyms found
preference shares Meaning
Wordnet
preference shares (n)
stock whose holders are guaranteed priority in the payment of dividends but whose holders have no voting rights
preference shares Sentence Examples
- The company issued preference shares to raise additional capital.
- Preference shareholders receive a fixed dividend rate before common shareholders.
- The dividend on preference shares is cumulative, meaning unpaid dividends accrue and must be paid in the future.
- Preference shareholders have a higher priority than common shareholders in the distribution of assets in case of liquidation.
- Convertible preference shares can be exchanged for common shares at a specified ratio.
- Participating preference shares entitle holders to dividends beyond the fixed rate if the company's profits exceed a certain threshold.
- Non-participating preference shares have a fixed dividend rate that does not vary with the company's performance.
- Cumulative preference shares ensure that shareholders receive all unpaid dividends before common shareholders.
- Redeemable preference shares can be repurchased by the issuing company at a specified price or date.
- Irredeemable preference shares have no maturity date and remain outstanding indefinitely.
FAQs About the word preference shares
stock whose holders are guaranteed priority in the payment of dividends but whose holders have no voting rights
No synonyms found.
No antonyms found.
The company issued preference shares to raise additional capital.
Preference shareholders receive a fixed dividend rate before common shareholders.
The dividend on preference shares is cumulative, meaning unpaid dividends accrue and must be paid in the future.
Preference shareholders have a higher priority than common shareholders in the distribution of assets in case of liquidation.
