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Convertible Bonds
Convertible Bonds are a type of corporate bond that holders can convert into a predetermined number of shares of the issuing company's common stock.
Common Stock
A type of equity security that represents ownership in a corporation, with voting rights and potential dividends.
Face Value
The nominal or dollar value printed on a bond, bill, or other financial instrument, indicating its worth at maturity.
Premium
Fee for insurance coverage, usually paid every year by the insured person. The difference between a bond’s par value and its market value when the market value is more. When bonds are sold at a premium, the yield rate will be lower than the stated (face) rate.
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