What are Convertible Bonds?
- Fixed-income instruments, usually issued by high-rated companies in the form of a public issue to accumulate long-term capital appreciation.
- The financial security cannot be redeemed early by the issuer except with the payment of a penalty.
- Bonds can be redeemed or paid off by the issuer prior to the bonds’ maturity date.
- A fixed-income corporate debt security that yields interest payments.
Answer: d. A fixed-income corporate debt security that yields interest payments