Preferreds

Part of speech: adjective, verb

Definitions

  1. A set of equity securities that grant holders preferential treatment over common stock in terms of dividends and asset distribution
  2. Financial instruments offering a fixed dividend, prioritized for payment during a company’s asset liquidation compared to common shares
  3. A category of stocks that provides investors with priority for dividends and claims on assets over other types of ownership shares in a corporation

Etymology: The term "preferred" originated from the Latin verb "praeferre," which means "to carry before" or "to place in front." This Latin root combines "prae-" meaning "before" and "ferre," meaning "to carry" or "to bear." The idea behind the original Latin is one of prioritizing or elevating something above others, which closely aligns with the modern sense of favoring or choosing something more highly. The word entered English in the late Middle Ages, around the 15th century, initially as a verb. It was used in contexts where one thing was literally or figuratively set ahead of another, such as preferring one candidate in a selection or one option in a choice. Over time, the verb evolved to signify the act of liking or valuing one thing more than another, extending from physical placement to abstract preference. As an adjective, the term emerged later to describe something that is favored or regarded as more desirable. This adjectival use emphasizes the state of being chosen or favored, rather than the action of choosing. The transition from verb to adjective is common in English and reflects the way language adapts to express nuances of preference not just as an action but as a characteristic. The word’s journey from Latin through Old French and into English illustrates how a concrete notion of bearing or carrying something ahead transformed into a subtle psychological concept of liking or favoring. This shift highlights a broader linguistic pattern where physical metaphors underpin abstract ideas, a pattern still evident in many English expressions today.

Synonyms: preferred

Antonyms: disliked, undesired, unfavored, rejected, unwanted