PDSnet Glossary

Term

Categories

Introductory Technical Fundamental Economics Opinion Sectors International Regulatory Other Markets

Versions

Name	synonyms = 1, variations = 2, abbreviations = 3

Publish: (0 = no, 1 = yes)

Definition

Preference shares which participate in the profits of the company in some way - usually beyond a fixed percentage. For example, they might receive an additional 2% if the ordinary dividend is above 8%, or, over and above their normal fixed percentage they might receive 10% of the ordinary dividend. Participating and convertible preference shares are sometimes called "near equities" because they behave more like the company's ordinary shares than other prefs.

Edit Glossary Term