There is no optimal type — choosing the right kind means knowing which best suits the investor’s goals. While this may not be a serious drawback for investors, there could be a scenario in which a major proxy vote outcome has a big influence on the future of the company and, by extension, the value…
Preferred stock is often described as a hybrid security that has features of both common stock and bonds. It combines the stable and consistent income payments of bonds with the equity ownership advantages of common stock, including the potential for the shares to rise in value over time. As with all investments, the answer depends on your…