A preferred stock whose dividend is reset at specified periods based, for example, on the maximum of a set of short- and long-term rates plus or minus a prespecified spread. Cumulative auction market preferred stocks (CAMPS) are unlike standard preferred stocks which pay fixed quarterly dividends. However, prices of cumulative auction market preferred stocks don’t fluctuate much because their dividends are automatically reset to keep the shares selling near to par.

It is also referred to as a floating-rate preferred stock, a variable rate preferred stock, an adjustable-rate preferred stock, and a Dutch auction rate transferable securities preferred stock.