Freddie Mac-No Politics (FMCC)

[rjanderson383]

The common stockholder, on the other hand, is more likely to make profits from stock price appreciation than with preferred stock. Common stock moves as market conditions change, making common stock investing the default choice for many.

I read on investopedia that preferred stock is in the middle between the idea of common stock and bonds.

They have higher risk, hence higher loss or reward.


http://www.mint.com/blog/investing/common-vs-preferred-stock-10122010/