20th Nov 2009 by Mark P. Cussen, CFP, CMFC
A share of stock represents a prorated portion of ownership in the issuing company. Stock equals equity in the company, and most shares of common stock carry voting rights of one vote per share. Preferred stock usually does not have voting rights. Preferred stock still represents a share of ownership in the company, but it usually pays a steady dividend and offers little or no growth potential.
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