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Definitions from the WebConvertible BondDescription:A convertible bond is a type of bond that provides the bondholder with the option to convert the bond into a predetermined number of shares of the issuing company's common stock at a specified conversion price. Convertible bonds offer investors the potential for capital appreciation if the company's stock price rises, while still providing a fixed-income component like a traditional bond. Sample sentences:As a noun: 1. The company issued convertible bonds to raise capital for an expansion project. 2. The investor decided to purchase a convertible bond as a way to diversify their portfolio. 3. Convertible bonds can be an attractive investment for those seeking a balance between income and potential equity returns. As an adjective: 1. The convertible bond market has seen increased activity in recent years. 2. They opted for convertible bond financing to fund their new business venture. 3. The company's decision to issue convertible bonds was met with positive reception from investors. Related products: | ||||
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