First Preferred Stock

First Preferred Stock- It is when a stock takes precedence over other types of stocks. This type of stock is more a higher ranking stock than a common stock also the terms are negotiated between the investor and the company and or corporation with the regards to the dividends and or the assets that concern these stocks. These types of stocks carry no voting rights but carry a priority over a common stock holder. With a first preferred stock the holders are paid out first after the debt holder in the matters of bankruptcy as these are stated in the terms of the agreement call certificate of designation.