Examlex
All of the following is true of the Donglin Academy EXCEPT:
Convertibles
Securities, such as bonds or preferred shares, that can be converted into a specified number of common shares at the holder's discretion.
Underlying Stock
An underlying stock refers to the equity security upon which derivative securities, such as options and futures, are based.
Ultimate Credit Risk
The risk of loss that occurs when an obligor (such as an issuer of a bond) defaults on its obligations, considering all measures of mitigation.
Asset-backed Securities
Financial securities collateralized by a pool of assets, such as loans, leases, credit card debt, royalties, or receivables.
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