Common Stocks vs Preferred Stocks | Similarities and Differences

[@Bismarksolomon]

As an lnvesting enthusiast, I often wonder how top level investors are able to become millionaires off investing. . I’ve been sitting on over $545K equity from a home sale and I’m not sure where to go from here, is it a good time to buy into stocks or do I wait for another opportunity?.

[@Sofiarita-m9w]

Well as you know bigger risk, bigger results, but such impeccable high-value trades are often carried out by pros.

[@doran-f6w]

People dismiss the importance of advisors until they are burned by their own emotions. I remember a couple of summers ago, following my lengthy divorce, I needed a good boost to assist my business stay alive, so I looked for qualified consultants and came across someone with the highest qualifications. She has helped me raise my reserve from $275k to $850k, despite inflation.

[@vickylarue]

How can I participate in this? I sincerely aspire to establish a secure financial future and am eager to participate. Who is the driving force behind your success?

[@doran-f6w]

NICOLE ANASTASIA PLUMLEE is her name. She is regarded as a genius in her area and works for Empower Financial Services. She’s quite known in her field, look-her up.

[@vickylarue]

Thank you for this amazing tip. I just looked the name up and wrote her.

[@patelvidhu4840]

Return on capital is not guaranteed in common stock. Return is guaranteed in preferred stock at fixed rate. Growth potential is high in common stock. Growth potential is low in preferred stocks.

[@Lumovest]

Spot on!

[@Elizabeth-mh2dj]

Every week I buy more of whatever is the lowest percentage of my portfolio and try to keep everything around 10%. Please what could be my safest buys with $400k to outperform the market in 2024?

[@MablePauls]

I'd avoid the index funds, mutual funds, or specific stocks for the time being. The 5% fixed incomes are the safest bet for now. Save your cash for when the market actually shows sign of recovery.

[@Cinthia-gk3ip]

This is why I entrusted a fiduciary with my investmnt decisions. Many underestimate advisors until emotions lead to losses. My advisor crafted a tailored strategy aligning with my long-term goals, guiding entry and exit points for the equities I focus on. This has grown my portfolio to over $850k. My personal best so far

[@Stephine-un5zs]

How can I participate in this? I sincerely aspire to establish a secure financial future and am eager to participate. Who is the driving force behind your success?.

[@Cinthia-gk3ip]

My CFA ’ANGELA LYNN SCHILLING’ , a renowned figure in her line of work. I recommend researching her credentials further. She has many years of experience and is a valuable resource for anyone looking to navigate the financial market.

[@Stephine-un5zs]

Thanks for sharing, I just looked her up on the web and I would say she really has an impressive background in investing. I will write her an e-mail shortly.

[@shiftstart]

Not all preferred stocks are publicly traded. And Preferred stocks dividends can be paid out of operating income not net income.

[@SandalinaEvi]

Excellent video. Thank you so much. Would definitely prefer common stocks because of upside potential. You can always sell stocks when stock market is rumbling and shares go on a downward slide. And from all what my experience is: in the event of an insolvency bonds have preferred status over preferred stocks when it comes to claims on company's assets. So in case bond holders are paid there will not be much left for preferred stock holders.

[@jaystew7045]

Thanks for the breakdown. I literally read a article about a certain company earlier this morning and i bought $500 worth of their preferred stock. I honestly didnt even know what it was. I just had a random amount of money to play with so i said "fuck it." I usually only buy common stocks but now, ima set my portfolio up to where 10% of it is preferred stocks

[@sunshineanderson6349]

Good luck my friend. How’s it going for you?

[@AvneetAhuja]

Hopefully you did not go for an all stock portfolio, add some bond investments in portfolio please really helps in the long run to diversify, I'd suggest a 40-60 split between bonds and stocks

[@jonalyn632]

Thank you so much for making this video. As a beginner in stock market this video helped me a lot. As assured with other beginners like me. Thank you! 😊

[@jonalyn632]

@@Lumovest I"ll wait and support your upcoming videos! Thanks for sharing!

[@alessandrolagi2147]

love the video! thanks, I was preatty confused after professor's lesson

[@Lumovest]

Thanks man!

[@MrBlackstonia]

Thanks a lot. I didn't know the difference until now... and I think it's an important one...

[@adultman]

definitely on preferred cause no matter what the company gains they must go through the preffered shareholder first and that locks in a stable connection of profit going from the company to the shareholder itself so for me its better stable than nothing!

[@asphaltandtacos]

I find it interesting that Ford Motor Company does not pay dividends with its common shares and that its preferred shares are higher. Ticker Symbol is F for the common shares.

[@sterlingphoenix71]

How do you get to invest in preferred stocks?

[@philipraystevenkurt32gmail39]

Most newbies fail simply because they don't understand how the market works in general or in particular how the market relates to stock/forex or currency pair they entering. If a retail trades doesn't grasp what the market makers are doing and when they are doing it, the greatest strategy in the world will fall. For new traders the markets are like entering an F1 race before you've passed your drivers license test. One more advantage is the possibility to benefit from repetition. Without this type of strategy, you probably won't know what worked or why it worked and even if you did, it would be hard to repeat therefore for you need a perfect mentor to teach you perfectly to enable you invest and trade accurately on your own, which i highly recommend you Mr Hercules He guides me with the exact time frame to trade and now I just received my first withdrawals of $30k in my bank account today I'm very happy, my advice is for you to contact him he will guide you perfectly well, and thank me later, I guess this is a good way to show my heartfelt appreciation for literally breaking the chain of my financial debit when I needed it most, you can contact him on his email 📧 📧 ([e-mail])

[@JackAgainski]

Preferred stocks are good for retired people who don't want risk. You can also buy ETF's that hold preferred stocks, like SPHD, PGX, etc.

[@riteshvs4949]

What is the main difference

[@yang1021007]

thank you , very concise and clear . right now at this point in my life I'm more of a common stock holder , at the same time I hope to one day have enough I can live on dividends alone or the the interest and never touch the principle

[@azhanali1448]

Preferred Stock for me. I will be a pensioner soon. I dont want to take high risk. Enough return to counter inflation is sufficient. As long as I can buy doughnut & coffe, I'm okay.

[@tejassawant6790]

Great explanation!!!

[@vimbayimatunga4101]

Thank you so much🔥because of this video the confusion was cleared and I will pass my exam today

[@mikhailbogen8637]

Hello and thanks for sharing your knowledge. The picture remains unclear for me in a couple of aspects about preferred stocks. Firstly, I don't understand why a company may decide to issue the preferred stock. Why it may be profitable for a company (or for its common shareholders which is the same)? Which problem does a company solve by issuing the prefs and why may solving those problems (which ones exactly?) be less easy by not issuing them and applying some different ways (which ones exactly)? Secondly, it's unclear to me why the dividend privilege and the limitations in voting rights go together. Why is the preferred stock designed exactly this way?

[@AvtarDhillon]

Pref stocks don’t give away equity

[@honggwan.]

Thank you for the video! It helped me to understand the difference between the common stock and the preferred stock! Pressed the like button.

[@evilzzzability]

The callability of most preferred stock issued must also be understood, as this is another type of risk to take into account with this type of security.

[@sterlingphoenix71]

Do preferred stocks also comes in classes? Are some class A stocks similar to preferred stocks if designed?

[@DanielChar]

Thank you for the super clear and no fluff explanation

[@barrylombu]

Great explanation! But how we can buy the preferred stock? Because its sold in the same place with common stock

[@asphaltandtacos]

Check with your brokerage firm. There might be a button to click on that will list the preferred shares for any given company. The commission structure should be the same for both common and preferred shares. In other words, should common shares be commission free so will the be preferred shares. Keep in mind that broker assisted trades will result in commission fees which will vary by firm.

[@shawnfrank5303]

How do you find preferred stocks though ? I don't really see them on common broker apps for instance.

[@giancarlochuate3455]

web.facebook.com/BDA.AILCGIAN

[@andrewlingyan8828]

Most newbies fail simply because they don't understand how the market works in general or in particular how the market relates to stock or currency pair they entering. If a retail trades doesn't grasp what the market makers are doing and when they are doing it, the greatest strategy in the world will fall. For new traders the markets are like entering an F1 race before you've passed your drivers license test. I am a beginner I never believe I made $30,000 in just a week from trading and with the market. an expert financial analysis and he made me-learn to read and understand the language of price action. He guides me with the exact time frame to trade and now I just received my first withdrawals of $30k in my bank account today I'm very happy, my advice is for you to contact him he will guide you perfectly well, and thank me later, I guess this is a good way to show my heartfelt appreciation for literally breaking the chain of my financial debit when I needed it most, you can contact him on his email ([e-mail])

[@ambrosiaamore9860]

Excellent video 👏👏👏

[@4Zs4Ever]

Thank you. This is the information I was looking for. Much appreciated 🙂

[@wavemakingoflife]

From a pragmatic point of view preferred stocks are the ideal choice, however if you're looking at it through an idealistic and capital hungry lens rather than a practical monocle then common stocks would be your optimal choice.

[@Melki]

Thank you :). Some employees might want to buy assets for the company, in this case I think they would get preferred stocks. But, is there an arrangement where the value of the stocks depreciate in align with the said asset?

[@_Greens_]

Well explained! Thank you 😊

[@Lumovest]

Thanks for watching!

[@ginab6142]

Can someone point me in the right direction? I am trying to help the little old lady who lives next door - - her husband had Common Stock Certificates for TWA. How/where do I find out if there is any value left? I thought maybe they were converted to American Airlines stock (I don't think so because she has the actual stock certificates) OR they were turned over to unclaimed money because they were never converted (I've searched the unclaimed money site & don't find her husband's name) - so I don't know where to search next. They certificates were in an envelope sent by American Stock Transfer & Trust Company which is now EQ - - but they have not been helpful at all. Just trying to help my sweet neighbor find/recover any value in accounts that her husband had.

[@sabrinaalam6055]

This video is such a gem. Thank you very much.

[@tahananinayt4917]

Is it possible for an individual to have both common and preferred stock?

[@Lumovest]

Yes!

[@tahananinayt4917]

Thank you😊

[@hirotips9674]

How would I know if the share I am buying in the market is a common stock or a preferred stock?

[@Lumovest]

Unless the name of a stock say otherwise, it's a common stock.

[@eajaz2982]

By watching your video I really like it you really showed a wonderful charts and all

[@tommycee8319]

What is the reason for allowing/ not allowing voting ?

[@mscarmnescence]

Thank you so much ❤

[@lulululu5138]

Can we say stock is also capital??and why

[@ejandreoni]

Great job! This was an excellent explanation. 😊

[@slimj82]

Can preferred stocks be shorted or have synthetic shares?

[@ahmedalkhalifah6973]

come oooon common stock

[@a.l.3353]

Could Preferred Stock price crash? Is it tied to the stock market condition? If the stock market crashes, will Preferred Stocks crashes too?:

[@Lumovest]

It's certainly possible, but less likely than common stocks because there's a stable dividend stream and higher priority claim to the company's assets than common stocks.

[@hyojinlee]

Thank you for this video!

[@aldobaglio6755]

The video sound is pretty good, beyond my imagination

[@rachnacauttuck4398]

thank you for this important video

[@cryptokhan989]

Why can companies only pay 2 - 6% in dividends? I tried to look up some information on this but couldn't find any. I get that they can't obviously pay a ridiculous percentage of their earnings but where does the 2-6% come from?

[@antoniokokic7488]

It‘s an average span. There are companies that pay less, and those that pay more. But if a company pays less than the average, it‘s not very attractive. And of it pays more, there‘s usually a catch. High yields are usually a sign of high risk, meaning the company might be going through a crisis and needs to attract investors as soon as possible.

[@user-ig2zn9ex2u]

Really illustrating!

[@JueAmni]

Thank you! This helps me alot

[@carlosrivero9943]

Very helpful! Thanks!

[@lorikpajaziti499]

it seems the preferred stock is more like a bond rather than stock

[@HkHari]

With love from INDIA . Your videos are helpful

[@Lumovest]

Thanks so much!

[@khutjomangope141]

This was very helpful, thanks

[@francisamalraj9646]

Excellent info. Thank you

[@centralintelligenceagency9082]

AWESOME VIDEO !

[@patilpranava]

I would prefer both stocks in 50 50 and anualy rebalance it.

[@abramriccardo9251]

i think so, but there must be a way(some kind of method) to make the proportion more efficient, it doesn't have always 50;50, I wanna know some commonly used method to balance this based on risk profile

[@thane816]

I love it when people who own only 3 shares raise hell at the stockholders meetings.🤣

[@arvinnaidu1888]

Thank you !

[@jessamaerolluqui2216]

Common stock for sure.

[@anoopkfrancis3977]

Helpful video 👏

[@brandyyellow]

excellent thanks

[@zemedkunmersha2103]

good lecture

[@sharmaineflores5823]

Thank You 🧡🧡🧡🧡

[@saranroy]

Thanks.

[@asmiitaa5876]

is stock and equity same?

[@Lumovest]

Yes!

[@RealEstateRadioTV-SA]

Great Tutorial Regards Gaven Malope South Africa / Sandton

[@tahananinayt4917]

I’m sorry for being si dumb about this but, what is corporate voting?

[@Lumovest]

Only smart people ask questions. Voting is where holders of the stocks vote on key issues. As holders of a company's stocks, you are one of the owners of the company. And as owner of the company you have a say in the company's key policies. So every year, the company puts these key policies up for vote by the shareholders (you).

[@tahananinayt4917]

Ow I get it now, thank you for answering, btw your vid really helps me.

[@tahananinayt4917]

I’m gonna take up a course in college with a connection to finance, and I’m curious about how critical and dynamic working in the said field🤔

[@AvtarDhillon]

Nice video

[@youarehere1251]

He didn’t mention cumulative or non cumulative

[@Lumovest]

As in cumulative or non-cumulative *voting*?

[@teefedtips]

60/40

[@River-cm9tz]

Can you be my mentor though

[@andrewlingyan8828]

Most newbies fail simply because they don't understand how the market works in general or in particular how the market relates to stock or currency pair they entering. If a retail trades doesn't grasp what the market makers are doing and when they are doing it, the greatest strategy in the world will fall. For new traders the markets are like entering an F1 race before you've passed your drivers license test. I am a beginner I never believe I made $30,000 in just a week from trading and with the market. an expert financial analysis and he made me-learn to read and understand the language of price action. He guides me with the exact time frame to trade and now I just received my first withdrawals of $30k in my bank account today I'm very happy, my advice is for you to contact him he will guide you perfectly well, and thank me later, I guess this is a good way to show my heartfelt appreciation for literally breaking the chain of my financial debit when I needed it most, you can contact him on his email ([e-mail])

[@AvtarDhillon]

Also preferred stock has no equity

[@adnanandbaselannhilator]

common stocks for sure

[@lylypudd]

common stock! because i am a risk taker

[@Sudarsankhanal]

Came from the intelligent investor (Benjamin Graham)

[@shramansakariya3504]

Common

[@haroldgesling6995]

PREFERRED STOCK

[@user-eh2pq5dc6w]

Thank you for the video!

[@kimthoa7901]

The video sound is pretty good, beyond my imagination