FOLITIC / HYBRID SECURITIES

Hybrid Securities Trading Guide

Understand securities that combine features of debt, equity and derivatives. Follow eight stages covering preferred shares, convertibles, corporate hybrids, bank capital and structured notes.

Start with What makes a security a hybrid, then follow the next lesson links. Explore 32 lessons with worked examples, exercises and further reading.

Explore the learning path

Browse by topic

Preferred shares · All lessons

Preferred Shares and Income

Understand dividends, priority, reset rates, redemption and the limits of income protection.

Beginner

Preferred shares and their priority over common equity

Preferred shares usually sit ahead of common equity for distributions and liquidation, but behind creditors. Their priority is contractual protection, not a promise of repayment.

Read article