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When and why do corporations issue common and preferred stock?
Corporations issue preferred stocks to raise cash. Although you buy or sell them the same way you trade regular stocks, preferreds are more like bonds than common stocks. [ Investors buy them for the steady dividends, which typically equate to 4% to 8% yields. Most preferreds pay dividends quarterly. ]
Expert answered|migzptz|Points 3978|
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Asked 12/8/2011 8:24:14 PM
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Does the partnership really have to reconstitute itself legally, and, if so, would it be wise to do so without a formal agreement?
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