Preferred equity redemption stock(redirected from Preferred Equity Redemption Stocks)
Preferred equity redemption stock (PERC)
Preferred stock that converts automatically into equity at a stated date. A limit is placed on the value of the shares the investor receives.
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Preferred Equity Redemption Stock
A convertible preferred stock that automatically converts to common stock or cash on a certain date. PERCs have higher, guaranteed returns than common stock; however, the issuer reserves the right to exchange them for common stock at any time.
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