Preferred Equity Redemption Stock - PERC
- Preferred Equity Redemption Stock - PERC
- Preferred stock with special provisions limiting the value of its convertible shares and the mandatory redemption value at maturity.
PERCs generally offer a higher yield than common stocks. However, they can be called at any time, generally at a higher price than the cap price. When the PERC matures, it must be redeemed into either cash or underlying shares.
Investment dictionary.
Academic.
2012.
Look at other dictionaries:
Preferred equity redemption stock (PERC) — Preferred stock that converts automatically into equity at a stated date. A limit is placed on the value of the shares the investor receives. The New York Times Financial Glossary … Financial and business terms
preferred equity redemption stock — ( PERC) preferred stock that converts automatically into equity at a stated date. A limit is placed on the value of the shares the investor receives. Bloomberg Financial Dictionary … Financial and business terms
PERC — See: preferred equity redemption stock … Financial and business terms
