Share class
In finance, a share
class or share classification are different types of shares that have different
levels of voting rights.
For
example,
a company might create two classes of shares class A shares, and class B shares,
where the class A shares have fewer rights than class B shareholders. This
is done to maintain control and/or to make the company a more difficult target
for a takeover.
The two main types
of stocks: common stock and preferred stock.
Common stocks,
representing most shares available across the market, and
Preferred stocks, which
typically guarantees a fixed dividend but do not have voting rights.
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