What is No growth in an organisation



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Why do we used No growth to refer to prefered shares in an organisation

1 Answer(s)


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Firstly,

Preferred share represent ownership in a corporation and they do not carry out voting rights.

Secondly,

Preferred shares offer  an Opporunity for Dividend Return with NO growth opputuinity.This is because preferred shares carrys a fixed rate of Dividend.

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