Like stocks, having said that, preferred securities typically rank underneath an issuer's bonds, and their dividends will often be (although not often) discretionary. Though a missed payment by a bond typically triggers a default, that is not automatically the case with preferred securities, even though it may differ by issue. https://lawsofbliss.com/navigating-the-bail-bonds-process-in-tennessee-what-you-need-to-know/