An option is the right to purchase shares at a set price. These normally have an expiry date after which they lose all value. When interest rates are low, companies have an easier time paying debt and investors seek the opportunity to earn more from their capital and move to the stock market. A common share represents ownership in the company. This usually carries the right to vote in company elections and other directors board issues.
Preferred stocks combine characteristics of common stocks and bonds.
A preferred has a fixed dividend, a redemption price, and possibly a redemption date. This is a stock that rises or falls based on a given cycle. Economic conditions, time of year and other factors determine how well the stock may do. A fiscal year does not necessarily being January 1. It will usually end at the end of a given quarter as determined by the company.