A Junior Equity unit is a form of stock that ranks at the bottom of the priority ladder in terms of ownership structure. That means it is last to receive certain payouts, such as dividends, or reimbursements in case of bankruptcy. While not having as much to recoup from investing in their unit, these investors will receive certificates that indicate their ownership interest and allow them to trade the unit with other investors.Junior equity is stock issued by a company that ranks at the bottom of the priority ladder in terms of ownership structure. That means it is last to receive certain payouts, such as dividends, or reimbursements in case of bankruptcy. Junior equity has less voting rights than senior equity and can be traded independently.
