Equity shares offer voting rights and profit shares. Preference shares give priority in earnings and assets, but no voting rights.
What Is Preference Share?
Preference shares give holders fixed dividends before equity shareholders and priority in liquidation. They often lack voting rights.
What Is Equity Share?
Equity shares represent company ownership. Holders get voting rights and dividends based on profit. They have higher risk but also potential for greater returns.
Difference Between Equity And Preference Share
Equity shares give ownership and voting rights. Preference shares offer fixed dividends but often lack voting rights.