In many ways, preferred stock is the same as common stock in that they are both traded through companies, both represent a portion of the company’s earnings, and both can be transferred into cash. Preferred stock is one way that the company can raise capital for its growth. I would chose common stock for the voting privileges and preferred stock for the main fact that I would get my shares before the liquidation could occur. It is a good reassurance.
In conclusion, preferred stock is stock handed to preferred shareholders before anyone else gets their shares. This eliminates their right to vote. I would rather be able to