There are several types of shares, including common stock, preferred stock, treasury stock, and dual class shares. Preferred stock have priority over common stock in the distribution of dividends and assets, and sometime have enhanced voting rights such as the ability to veto M&As or the right of first refusal when new shares are issued. A dual class equity structure has several classes of shares (for example Class A, Class B, and Class C) each with its own advantages and disadvantages. Treasury stock are shares that have been bought back from the public.

Hybrid securities combine characteristics of both debt and equity securities:

– preference shares form an intermediate class of security between equities and debt. If the issuer is liquidated, they carry the right to receive interest and/or a return of capital in priority to ordinary shareholders.

– convertibles are bonds which can be converted, at the election of the bondholder, into another sort of security such as equities.

– equity warrants are contractual entitlements to purchase shares on pre-determined terms. They are often issued together with bonds or existing equities, but are detachable from them and separately tradeable.