n NISM Certifications
XXI NISM Series XXI-A
Medium

Which of the following is NOT a characteristic of a "Preferred Stock"?

Practice question from NISM XXI A for PMS - Mock Test 1 — bank. The correct answer is highlighted below with a full explanation.

Options

  1. A

    Fixed dividend payments

  2. Voting rights in the company

    Correct answer

  3. C

    Priority over common stock in dividend payments

  4. D

    Typically has no voting rights

Why this is the answer

Preferred stock generally does not carry voting rights.

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