The "preferred" feature of preferred stock means that it will normally provide a higher expected return than will common stock.

Name: The "preferred" feature of preferred stock means that it will normally provide a higher expected return than will common stock.
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The "preferred" in preferred stock refers to the preference in dividend payments and claims on assets in the event of liquidation, not necessarily a higher expected return compared to common stock.

The "Preferred" Feature of Preferred Stock Means That It Will