Types Of Preference Shares

A company generally issues two types of shares: Common Shares and Preference Shares. When companies bring IPO, they raise money by issuing common shares, and shareholders holding common shares are known as common/equity shareholders. Sometimes companies issue special shares to preferred individuals, these individuals are called preferred shareholders.There are different types of preference shares .These different types of preference shares are categorized into participatory, non-participatory, convertible, non-convertible, cumulative, non-cumulative, and so on. Want to know more ? Read our blog