Participating preferred stock

{
  "id": "MLC-T-LAW-003637",
  "term": "Participating preferred stock",
  "field": "Law",
  "definition": "A type of preferred stock that entitles its holder to receive a fixed dividend payment and also to share in any additional profits distributed to common stockholders. After receiving their preferential dividend, these shareholders receive an additional dividend if the company's earnings exceed a certain threshold. This provides a potential for higher returns than non-participating preferred stock.",
  "url": "https://mlchart.com/terminology/law/participating-preferred-stock/"
}