Convertible Bond - a convertible bond is a corporate bond that can be exchanged by the shareholder as an option for a specific number of shares of either common stock or preferred stock...
convertible bond investment & finance definition
A bond that the bondholder may exchange for a predetermined amount of common stock.
Convertible Bonds - A Good Investment?
By Ken Little, About.com Guide
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Convertible bonds explained
By Jakob Jelling
Cashbazar.com
If you're looking to invest in a company, there are several options available to you. The most commonly chosen options are stocks or bonds.
Convertible Bond
A convertible bond is type of bond that can optionally be converted into shares of stock in the issuing company at some pre-announced ratio.
Definition
Convertible bonds
Bonds that may be converted into common stock, when certain conditions arise. Such as when the underlying stock's price rises above the stipulated conversion price.
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As an announcer in old-time television commercials might intone, a convertible bond can be both a bond and a stock Convertible bonds are souped-up versions of corporate bonds: A public company issues the securities, ...
Convertible Bond
A bond that can be exchanged for shares of stock.
Convertible/Equity Related Loan ...
A convertible Bond issue that investors do not convert into Common stock because the stock has not appreciated in value.
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Convertible bonds represent a debt of the issuing corporation and are commonly designated by the rate of interest paid and the year of maturity. The price at which a convertible is traded is quoted as a percentage of $1,000 (or par).
Convertible Bonds are Bonds that can be converted into common stock usually at the maturity of the bond.
Next Term:
Convertible Preferred Stocks ...
CONVERTIBLE BOND - A bond having a fundamental feature that changes in a prescribed manner at a future date.
Convertible Bond
A convertible bond is a debt instrument issued by a company that can be converted to stock of the underlying company.
Convertible Bond
A bond that can be converted into a fixed number of ordinary shares at a predetermined price at any date before the bond matures.
Coupon ...
Convertible bond
A corporate bond that can be exchanged, at the option of the holder, for a specific number of shares of the company's stock.
Convertible bonds
Convertible bonds are bonds that can be converted into shares of stock in the issuing company, usually at some pre-announced ratio. It is a hybrid security with debt- and equity-like features.
Convertible Bond
A bond with an option, allowing the bondholder to exchange the bond for a specified number of shares of common stock in the firm. A conversion price is the specified value of the shares for which the bond may be exchanged.
Convertible bond
These bonds can be converted into a specified number of shares of the issuing company at a pre-determined price.
Convertible preference shares ...
Convertible Bond Bond that can be converted to equity at a pre-specified conversion ratio.
Core Investor A shareholder or a group of investors that holds enough shares to be able to influence management decisions.
Convertible Bond
A type of bond that can be converted into stock shares.
Cost of Sales ...
Convertible bonds
Bonds that can be exchanged at the option of the holder for preference shares or equity shares at a pre-decided price.
Current yield ...
Convertible Bond: Refers to a bond or bonds that can be exchanged for shares of stock.
Convertible bond
A bond that investors may exchange for stock at a future date under certain conditions. Convertibles are an intriguing hybrid investment, offering some of the upside potential of stocks but also the downside protection of bonds.
Convertible bond
Convertible bonds are corporate bonds that give you the alternative of converting their value into common stock of that company or redeeming them for cash when they mature.
Convertible bond
General debt obligation of a corporation that can be exchanged for a set number of common shares of the issuing corporation at a prestated conversion price.
Reverse Convertible Bond - RCB
A bond that can be converted to cash, debt or equity at the discretion of the issuer at a set date.
Convertible bond
The owner of a convertible bond may, during its term, exchange it for a predetermined number of shares in the issuing company. If it is exchanged for shares, the convertible bond ceases to exist.
Convertible bonds Bonds that pay a fixed rate of interest and are convertible to common stock if the stock reaches a certain price known as the "conversion price.
Convertible bond
A bond that offers the holder the option to convert into another issue, possibly with different terms, at a specified coupon date(s). In some circumstances the bond may convert into another instrument such as shares.
A type of convertible bond that has a required conversion or redemption feature. Either on or before a contractual conversion date, the holder must convert the mandatory convertible into the underlying common stock.
SImilar to convertible bonds, preferred stocks have an embedded option to allow shareholders to convert preferred into common stock.
Z-spread
I-spread
Convertible bonds must pay a similar increased yield (over the standard corporate bond) when they are callable by the issuing company.
Monte Carlo techniques are used to derive the Option adjusted spread.
premium over bond value The absolute difference between the market price of a convertible bond and the...
Convertible bondsBonds that can be converted into common stock at the option of the holder. Convertible EurobondA Eurobond that can be converted into another asset, often through exercise of attached warrants.
Convertible Bond A Bond that the owner can convert into Common Shares under specific terms. A Convertible Bond is an ordinary Bond, plus the option to exchange the Bond for the Shares. Convexity ...
G - First convertible bond
H - Second convertible bond, same company
I - Third convertible bond, same company
J - Voting
K - Nonvoting
L - Miscellaneous situations, such as depositary receipts, stubs, additional warrants, and units ...
When trading and investing it is also important to understand the term convertible bond. This means that the bond can be converted into stock in the company that issued it.
Core earnings per share comprises adjusted core net income divided by the weighted average number of issued ordinary shares (taking into account the potential shares resulting from the conversion of the mandatory convertible bond).
In addition, domestic small-capitization equities and high-yield and convertible bonds often trade infrequently and have wide bid-ask spreads.
From an investor's point of view, convertible bonds can be attractive if the company's stock is volatile because they provide some of the security of a bond whilst at the same time allowing the investor to convert to shares if the company's stock ...
Generally, a convertible bond or convertible preferred stock is convertible into the underlying stock of the same corporation. The rate at which the shares of the bond or preferred stock are convertible into the common is called the conversion ratio.
The most common types of derivatives that ordinary investors are likely to come across are futures , options , warrants and convertible bonds.
Beyond this, the range of derivatives possible is only limited by the imagination of investment banks.
Other variations on corporate bonds include convertible bonds, which the holder can convert into stock, and callable bonds, which allow the company to redeem an issue prior to maturity.
Issuers ...
are calculated by taking the total reported earnings and dividing by the total of the following: 1) all shares issued; 2) plus all shares subject to options; 2) plus all shares subject to warrants; 3) plus all shares subject to convertible bonds.
Mercato Telematico Azionario is the Group's Italian electronic market on which shares, convertible bonds, warrants and option rights are traded
MTS ...
Other securities may, in effect, incorporate an option, this is called an embedded option. An example of this is a convertible bond, which effectively combines a bond with a call option.
SBF FCI Index
An index based on a selection of convertible bonds with the highest market capitalization. Calculated twice daily.
There are various types of bonds, such as corporate bonds, municipal bonds, government bonds, debentures, collateralized bonds, zero coupon bonds, and convertible bonds.
Anti-dilution clause: A clause in the trust indenture of a bond offering which provides that the conversion price (or conversion ratio) of a convertible bond be adjusted in the case of stock splits or stock dividends paid to common stockholders.
their rights: They select members for the supervisory board, vote on the distribution of profits, on the stewardship of the executive and supervisory boards, and amendments to the company statutes (capital increases, the issue of convertible bonds ...
It is calculated by dividing net income minus preferred dividends and bond interest by the number of outstanding common shares. If all common stock equivalents--such as convertible bonds, preferred stock, ...
2 are accomplished, you move on to Level 3, which involves investing for growth. You can now afford to take more risks in the hope of reaping higher gains. Investments that fit nicely into Level 3 include blue chip growth stocks, convertible bonds ...
Depending on its investment objectives and policies, a bond fund may concentrate its investments in a particular type of bond or debt security-such as government bonds, municipal bonds, corporate bonds, convertible bonds, mortgage-backed securities, ...
or amount of dividend paid, issuer able to deduct interest paid for tax purposes) and equity (permanent nature of issue, low priority ranking in liquidation, exchangeable for common shares). Examples are preference shares and convertible bonds.
convertible bond
A bond that can be exchanged at the option of the holder into preferred or common stock at a preset ratio. (See common stock, preferred stock) counterclaim
A claim against the claimant in an arbitration.
Another option is some really good convertible bond funds where there is some particip[ation in the stock market by some portion of the bond.
" Convertible Bond A debt security feature that allows the holder to convert to another issue. Corporate Bonds Debt obligations that are issued by corporations. Cost of Carry See Carrying Charge.
 See also: Convertible, Stock, Investment, Bonds, Share
  
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