Preferred Stock
Equity with a fixed stated dividend, priority over common stock for dividends and liquidation, and normally no voting rights; its market price behaves like a bond, falling when interest rates rise.
Because the dividend is fixed (a percentage of the typically $100 par), preferred stock is an income instrument with significant interest-rate risk and little of common stock’s growth potential. Convertible preferred can be exchanged for common shares at a set ratio, trading some yield for upside.