Common stock Vs Preferred Stock

Imported from previous forum

Hi all,

what is/are the difference(s) b/w a common stock and a preferred stock?

[ original email was from Rikard Hedberg - rikard.hedberg@omxgroup.com ]
Hi,

I recommend the following site for definitions of financial terms: http://www.investopedia.com/

Preffered Stock: A class of ownership in a corporation that has a higher claim on the assets and earnings than common stock. Preferred stock generally has a dividend that must be paid out before dividends to common stockholders and the shares usually do not have voting rights.

Regards

Rikard