MANAGEMENT

Detailed explanation-1: -Deferred shares-a method of stock payment to directors and executives of a company-are deposited into a locked account. The value of these shares fluctuates with the market and cannot be accessed by the beneficiary for the purpose of liquidation until they are no longer employees of the company.

Detailed explanation-2: -a type of share where the dividend (= part of a company’s profits) does not have to be paid until payments have been made on all other shares: The directors receive their cash compensation in deferred share units, an instrument designed to mirror the increases and declines of a company’s stock.

Detailed explanation-3: -The most common types of deferred equity are convertible preferred shares and convertible bonds. Companies that issue these securities will often use call features to maintain some control of the investment.

Detailed explanation-4: -Deferred shares are also called as founder shares because these shares were normally issued to founders. The shareholders have a preferential right to get dividend before the preference shares and equity shares. No Public limited company or which is a subsidiary of a public company can issue deferred shares.

Detailed explanation-5: -Deferred shares carry fewer rights than ordinary shares and can include: shares in which dividends are only paid after all other classes of shares have been paid. shares in which dividends are only paid after a certain date or event.