IDNLearn.com provides a user-friendly platform for finding and sharing accurate answers. Join our interactive community and access reliable, detailed answers from experienced professionals across a variety of topics.
Sagot :
A bond that can be exchanged for another security of the issuing firm is called an Exchangeable Bond.
In contrast to convertible debt, which is converted into shares or cash when it matures, exchangeable bonds are swapped for shares at the issuer's discretion.
For Example:
Consider, for illustration, a bond issued by Company XYZ that may be converted into shares of Company ABC at a 50:1 exchange ratio. This implies that you could buy 50 shares of ABC stock for every $1,000 in par value of XYZ bonds you currently own.
A bond that can be exchanged for another security of the issuing firm is called an Exchangeable Bond.
To learn more about Bonds, visit the following link:
https://brainly.com/question/9817093
#SPJ4
Thank you for joining our conversation. Don't hesitate to return anytime to find answers to your questions. Let's continue sharing knowledge and experiences! IDNLearn.com has the answers you need. Thank you for visiting, and we look forward to helping you again soon.