NONPARTICIPATING
\nˌɒnpɑːtˈɪsɪpˌe͡ɪtɪŋ], \nˌɒnpɑːtˈɪsɪpˌeɪtɪŋ], \n_ˌɒ_n_p_ɑː_t_ˈɪ_s_ɪ_p_ˌeɪ_t_ɪ_ŋ]\
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The sale of preferred stock by the company is considered a 'nonparticipating' investment. The stockholder is eligible for dividend payments and the cost to initiate the fund, in addition to receiving the price of the current stock value.
By Henry Campbell Black
