Examlex
Open market transactions involve which of the following activities?
I. issuing new Federal Reserve notes
II. buying or selling newly issued government bonds to raise funds for the government
III. buying or selling previously issued government bonds to change the volume of bank reserves
Strike Price
The predetermined price at which an option's underlying asset can be bought or sold.
Convertible Bond
A type of bond that can be converted into a predetermined number of the issuer's equity shares at certain times during its life, usually at the discretion of the bondholder.
Coupon Rate
The annual coupon divided by the face value of a bond.
Conversion Ratio
The number of shares per bond received for conversion into stock.
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