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Meaning of preference share

 

 

 

Preference share

 

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Business glossary

 

Meaning of term preference share :

 

A preference share is a less risky investment than an ordinary share as it carries a fixed rate of return for the investor, but the owners of preference shares are not strictly owners of the business and preference shares do not carry the same shareholders' rights as ordinary shares.

 

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Preference share

 

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Meaning of term preference share

 

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