Total return for preferred stock consists of:

Name: Total return for preferred stock consists of:
Brand: Quizplus
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Question

Quizplus · Accepted Answer

Total return for preferred stock is the sum of the capital gains yield and the dividend yield. The capital gains yield is the change in the market price of the stock, while the dividend yield is the annual dividend payment divided by the current market price. Therefore, both capital gains yield and dividend yield contribute to the total return of preferred stock.

Total Return for Preferred Stock Consists Of