Preferred Shares
Posted: Tue Mar 18, 2014 8:19 pm
I think it would be an excellent addition to the game if a company was able to issue preferred shares.
Preferred shares could initial the owner to a set dividend each year that will accruel each year if the company does not issue a dividend. The holder would not have any influence over the issuing company.
This could work in the same way in the game as issuing common shares. The difference being that the player/AI would set how many shares they will issue, set a dividend rate, set if the shares are Cumulative Preferred, and if they are Convertible Preferred. The price of the preferred shares would be a multiple of the current common stock price as well as based on the settings the issuing company sets.
This would provide a means of raising capital without diluting a company's ownership since Preferred shares function both like stocks and bonds.
Preferred shares could initial the owner to a set dividend each year that will accruel each year if the company does not issue a dividend. The holder would not have any influence over the issuing company.
This could work in the same way in the game as issuing common shares. The difference being that the player/AI would set how many shares they will issue, set a dividend rate, set if the shares are Cumulative Preferred, and if they are Convertible Preferred. The price of the preferred shares would be a multiple of the current common stock price as well as based on the settings the issuing company sets.
This would provide a means of raising capital without diluting a company's ownership since Preferred shares function both like stocks and bonds.
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