cumulative preference share Meaning in the Cambridge English Dictionary
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Meaning of “cumulative preference share” in the English Dictionary

"cumulative preference share" in Business English

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cumulative preference sharenoun [C]

uk   us   ( US cumulative preferred stock)
FINANCE, STOCK MARKET a ​type of ​share that gives its ​owner the ​right to receive a set ​amount of ​money as a dividend. If this ​money cannot be ​paid in ​time, it must be ​paid later, and before any ​money is ​paid to ​owners of ordinary ​shares: The ​holders of ​cumulativepreferenceshares are ​entitled to ​recover the ​arrears of ​preferencedividend before any ​dividend is ​paid on ​equityshares.
(Definition of cumulative preference share from the Cambridge Business English Dictionary © Cambridge University Press)
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