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Preference shares combine features of equity and debt. What is the advantage of this to investors and to the company? Understand that nuance without getting entangled it complex explanations. Also, look at how the dividend payout is impacted if the preference share dividends have to be paid before any payment to equity holders. Key words: Equity, Preference Capital, Preference Shares, Dividend, Preference Dividend, Cumulative Preference Shares, Non-cumulative preference shares
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