Zero Dividend Preference Share

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Zero Dividend Preference Share

A preferred share that does not pay a dividend. Rather, the shareholder receives an agreed-upon, fixed amount when he/she redeems the share with the issuer. As with all preferred shares, in the event of liquidation, holders are entitled to receive proceeds from liquidation before any common shareholders.
References in periodicals archive ?
An estimated 50,000 people - many of them pensioners - were conned into putting their savings in a "safe investment" of zero-dividend preference shares.
ZERO-dividend preference shares, zeros (as they are called) aim to offer good consistent returns each year with low risk.