Which type of shares typically carry voting rights?

Common shares typically carry voting rights, allowing shareholders to participate in corporate decision-making processes, such as electing the board of directors and approving significant company policies. This ownership structure enables shareholders to have a direct influence on the company's direction and governance.

Preferred shares, on the other hand, usually do not come with voting rights. Instead, they are often associated with preferential treatment when it comes to dividends and asset liquidation. While preferred shareholders may receive higher dividends than common shareholders, their lack of voting rights means they do not have a say in how the company is run.

Understanding the distinction between common and preferred shares is crucial for investors. Common shares provide an opportunity for a voice in corporate matters, whereas preferred shares offer more stability in terms of dividends but sacrifice voting power. Therefore, when considering the question of which type of shares typically carry voting rights, common shares are the clear answer.