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Ordinary-preferred spread

The price difference between an issuer's ordinary and preferred shares.

How to read the number

It reflects two things at once: what a vote is worth, and how differently the payment is computed for each class under the articles. It narrows on expectations that the rights will be equalised.

When the metric lies

The historical size of the gap is not a norm prices must return to: amending the articles or reshaping ownership changes the very reason the gap exists.

Also known as: ordinary-preferred spread

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