First-Preferred Stock

First-preferred stock is an equity ownership that has seniority over preferred and common stock, particularly with respect to dividends and assets. First-preferred stock is also superior to second-preferred stock, but is subordinate to debt holders.

Preferred stock holders typically have no voting privileges. However, they have priority over other subordinate forms of equity for dividends and claims on the company's assets in the case of liquidation. However, often times there are no assets remaining after a bankruptcy or liquidation after debt holders have been paid back.

Investment dictionary. . 2012.

Look at other dictionaries:

  • first preferred stock — A type of preferred stock that has priority over other preferred issues and common stock when claiming dividends and assets. Bloomberg Financial Dictionary …   Financial and business terms

  • first preferred stock — In the USA, preferred stock with prior rights where dividends are concerned or in the event of liquidation …   Big dictionary of business and management

  • preferred stock — see stock Merriam Webster’s Dictionary of Law. Merriam Webster. 1996. preferred stock n …   Law dictionary

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  • preferred stock — A type of equity or capital representing shares of ownership in a corporation. May or may not receive distributions of corporate income in the form of dividends. Has a higher priority claim to corporate earnings or assets than common stock but… …   Financial and business terms

  • preferred stock —    A class of shares in a corporation that gives the holders priority in payment at a predetermined fixed rate of dividends (and distribution of assets in the event of the dissolution of the corporation) over owners of common stock. Holders of… …   Business law dictionary

  • preferred stock — (Economics) shares that give owners first rights to payments of dividends and division of assets at the time of the collapse of a company …   English contemporary dictionary

  • Participating preferred stock — is capital stock which provides a specific dividend that is paid before any dividends are paid to common stock holders, and which takes precedence over common stock in the event of a liquidation. This form of financing is used by private equity… …   Wikipedia

  • Cumulative Preferred Stock — A type of preferred stock with a provision that stipulates that if any dividends have been omitted in the past, they must be paid out to preferred shareholders first, before common shareholders can receive dividends. A preferred stock will… …   Investment dictionary

  • Prior Preferred Stock — A type of preferred stock with a higher claim on assets and dividends than other issues of preferred stock. If a firm did not generate enough money to fulfill all of its dividend schedule requirements, those holding prior preferred stocks have… …   Investment dictionary

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