Preference shares are shares of a company’s stock with dividends that are paid out. Bonds often have a maturity date, while preference shares do not. Bondholders have a higher chance of being ...

Preferred stock is a unique type of equity that grants shareholders priority over common stockholders in terms of dividend distribution and—in the event a company goes bankrupt—asset distribution.

Preferred stocks are less risky than common stocks but are subordinate to bonds in a company's capital structure. Index funds like iShares Preferred and Income Securities ETF offer broad exposure ...