Investors who prefer _____ are likely to hold preferred stocks.

Question

Quizplus · Accepted Answer

Preferred stocks are often chosen by investors who seek a steady and reliable stream of income. They typically offer a fixed dividend rate and have priority over common stocks in terms of receiving dividend payments. Investors who prioritize a quick profit or investing for growth may choose other types of securities instead, while those who follow a value investing strategy may prefer to focus on undervalued common stocks.

Investors Who Prefer _____ Are Likely to Hold Preferred Stocks