According to this quote from InvestingAnswers, a preferred stock might have a call date and a maturity date. But, if a preferred stock has both, it would seem the issuer is not going to pay out twice. Does one take precedence over the other? How does this work?
When is it Called and Does it Mature?
Most preferreds have a "call date." On this pre-set date or anytime after, the issuer has the option to buy back the shares from you. If the company decides to do that, they would pay you the
par valuein cash for each share you own. Companies don't call their preferreds very often since they have to come up with the cash to do it.
Some preferred shares may
alsohave a "maturity date." When the shares mature, the company gives you back the
cash valueof the shares when issued. Maturity dates give you some downside protection, since no matter how low the price goes while you're holding a preferred stock, at maturity you will get back the
issue price(unless the company goes bankrupt or liquidates).
I am assuming that
cash value, and
issue price are all referring to the same thing.