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Conversion
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Conversion1) In the context of securities, refers to the exchange of a convertible security such as a bond into stock. 2) In the context of mutual funds, refers to the free exchange of mutual fund shares from one fund to another in a single family.
RELATED TERMS--------------------------------------
Securities
Saleable papers, traded on stock exchanges, that yield an income (dividend, interest, etc.).
Exchange
A marketplace in which shares, options and futures on stocks, bonds, commodities, and indexes are traded.
Security
Piece of paper that proves ownership of stocks, bonds, and other investments.
Bond
Certificate, stating that the issuer is committing himself to repay the loan, including interest and other payments, to the holder.
Stock
US equivalent of the British word "share", a block of shares with a nominal value of 100, or various kinds of fixed-interest securities; in Britain, goods stored ready for sale, raw materials, work in progress and finished but unsold products.
Fund
To provide money for a specific purpose; an amount of money saved for a specific purpose.
Shares
Certificates or book entries representing ownership in a corporation or similar entity.
SIMILAR TERMS--------------------------------------
Convenience yield
The extra advantage that firms derive from holding the commodity rather than a future position.
CONVENT Credit Union
CONVENT is a credit union with head office in NEW YORK, NY
Convention statement
An annual statement filed by a life insurance company in each state where it does business in compliance with that state's regulations. The statement and supporting documents show, among other things, the assets, liabilities, and surplus of the reporting company.
Conventional mortgage
A loan based on the credit of the borrower and on the collateral for the mortgage.
Conventional option
An option contract arranged on the trading floor and traded regularly.
Conventional pass-throughs
Also called private-label pass-throughs, any mortgage pass-through security not guaranteed by government agencies.
Conventional project
A project with a negative initial cash flow (cash outflow), which is expected to be followed by one or more future positive cash flows (cash inflows).
Converium Holding
Converium Holding is a top Swiss corporation in the field of insurance, and its estimated market value is 1,420 million US dollars.
Conversion factors
Rules set by the Chicago Board of Trade for determining the invoice price of each acceptable deliverable Treasury issue against the Treasury Bond futures contract.
Conversion feature
Specification of the right to transform a particular investment to another form of investment, such as switching between mutual funds or converting preferred stock or bonds to common stock.
Conversion money
A system to know how much a certain amount of money means in a different currency.
Conversion parity/value
Applies mainly to convertible securities. Common stock price at which a convertible bond can become exchangeable for common shares of equal value; value of a convertible bond based solely on the market value of the underlying equity.
Conversion period
The time period during which an investor can exchange a convertible security for common stock.
Conversion premium
The extent by which the conversion price of a convertible security exceeds the prevailing common stock price at the time the convertible security is issued. In general usage, the conversion premium is the amount by which the convertible security trades above its conversted value.
Conversion price
Applies mainly to convertible securities. Dollar value at which convertible bonds, debentures, or preferred stock can be converted into common stock, as specified when the convertible is issued.
Conversion ratio
Applies mainly to convertible securities. Relationship that determines how many shares of common stock will be received in exchange for each convertible bond or preferred stock when a conversion takes place.
Conversion value
The value of a convertible security if it is converted immediately. Also called parity value or converted value.
Convertibility
The ability to exchange a currency without government restrictions or controls.
Convertible adjustable preferred stock (Caps)
The interest rate on caps is adjustable and is pegged to Treasury security rates.
Convertible arbitrage
A practice, usually of buying a convertible bond and shorting a percentage of the equivalent underlying common shares, to create a positive cash flow position in a static environment and benefit from capital appreciation should the convertible's premium rise.
Convertible bond
General debt obligation of a corporation that can be exchanged for a set number of common shares of the issuing corporation at a prestated conversion price.
Convertible eurobond
A eurobond that can be converted into another asset, often through exercise of attached warrants.
Convertible exchangeable preferred stock
Convertible preferred stock that may be exchanged, at the issuer's option, into convertible bonds that have the same conversion features as the convertible preferred stock.
Convertible preferred stock
Preferred stock that can be converted into common stock at the option of the holder.
Convertible price
The contractually specified price per share at which a convertible security can be converted into shares of common stock.
Convertible security
A security that can be converted into common stock at the option of the security holder; includes convertible bonds and convertible preferred stock.
Convex
Curved, as in the shape of the outside of a circle. Usually referring to the price/required yield relationship for option-free bonds.
Convexity
Property that a curve is above a straight line connecting two end points. If the curve falls below the straight line, it is called concave.
PREVIOUS AND NEXT TERMS--------------------------------------
Convention statement
An annual statement filed by a life insurance company in each state where it does business in compliance with that state's regulations. The statement and supporting documents show, among other things, the assets, liabilities, and surplus of the reporting company.
Conventional mortgage
A loan based on the credit of the borrower and on the collateral for the mortgage.
Conventional option
An option contract arranged on the trading floor and traded regularly.
Conventional pass-throughs
Also called private-label pass-throughs, any mortgage pass-through security not guaranteed by government agencies.
Conventional project
A project with a negative initial cash flow (cash outflow), which is expected to be followed by one or more future positive cash flows (cash inflows).
Conversion
Conversion factors
Rules set by the Chicago Board of Trade for determining the invoice price of each acceptable deliverable Treasury issue against the Treasury Bond futures contract.
Conversion feature
Specification of the right to transform a particular investment to another form of investment, such as switching between mutual funds or converting preferred stock or bonds to common stock.
Conversion parity/value
Applies mainly to convertible securities. Common stock price at which a convertible bond can become exchangeable for common shares of equal value; value of a convertible bond based solely on the market value of the underlying equity.
Conversion period
The time period during which an investor can exchange a convertible security for common stock.
Conversion premium
The extent by which the conversion price of a convertible security exceeds the prevailing common stock price at the time the convertible security is issued. In general usage, the conversion premium is the amount by which the convertible security trades above its conversted value.
RELATED TERMS--------------------------------------
Securities
Saleable papers, traded on stock exchanges, that yield an income (dividend, interest, etc.).
Exchange
A marketplace in which shares, options and futures on stocks, bonds, commodities, and indexes are traded.
Security
Piece of paper that proves ownership of stocks, bonds, and other investments.
Bond
Certificate, stating that the issuer is committing himself to repay the loan, including interest and other payments, to the holder.
Stock
US equivalent of the British word "share", a block of shares with a nominal value of 100, or various kinds of fixed-interest securities; in Britain, goods stored ready for sale, raw materials, work in progress and finished but unsold products.
Fund
To provide money for a specific purpose; an amount of money saved for a specific purpose.
Shares
Certificates or book entries representing ownership in a corporation or similar entity.
SIMILAR TERMS--------------------------------------
Convenience yield
The extra advantage that firms derive from holding the commodity rather than a future position.
CONVENT Credit Union
CONVENT is a credit union with head office in NEW YORK, NY
Convention statement
An annual statement filed by a life insurance company in each state where it does business in compliance with that state's regulations. The statement and supporting documents show, among other things, the assets, liabilities, and surplus of the reporting company.
Conventional mortgage
A loan based on the credit of the borrower and on the collateral for the mortgage.
Conventional option
An option contract arranged on the trading floor and traded regularly.
Conventional pass-throughs
Also called private-label pass-throughs, any mortgage pass-through security not guaranteed by government agencies.
Conventional project
A project with a negative initial cash flow (cash outflow), which is expected to be followed by one or more future positive cash flows (cash inflows).
Converium Holding
Converium Holding is a top Swiss corporation in the field of insurance, and its estimated market value is 1,420 million US dollars.
Conversion factors
Rules set by the Chicago Board of Trade for determining the invoice price of each acceptable deliverable Treasury issue against the Treasury Bond futures contract.
Conversion feature
Specification of the right to transform a particular investment to another form of investment, such as switching between mutual funds or converting preferred stock or bonds to common stock.
Conversion money
A system to know how much a certain amount of money means in a different currency.
Conversion parity/value
Applies mainly to convertible securities. Common stock price at which a convertible bond can become exchangeable for common shares of equal value; value of a convertible bond based solely on the market value of the underlying equity.
Conversion period
The time period during which an investor can exchange a convertible security for common stock.
Conversion premium
The extent by which the conversion price of a convertible security exceeds the prevailing common stock price at the time the convertible security is issued. In general usage, the conversion premium is the amount by which the convertible security trades above its conversted value.
Conversion price
Applies mainly to convertible securities. Dollar value at which convertible bonds, debentures, or preferred stock can be converted into common stock, as specified when the convertible is issued.
Conversion ratio
Applies mainly to convertible securities. Relationship that determines how many shares of common stock will be received in exchange for each convertible bond or preferred stock when a conversion takes place.
Conversion value
The value of a convertible security if it is converted immediately. Also called parity value or converted value.
Convertibility
The ability to exchange a currency without government restrictions or controls.
Convertible adjustable preferred stock (Caps)
The interest rate on caps is adjustable and is pegged to Treasury security rates.
Convertible arbitrage
A practice, usually of buying a convertible bond and shorting a percentage of the equivalent underlying common shares, to create a positive cash flow position in a static environment and benefit from capital appreciation should the convertible's premium rise.
Convertible bond
General debt obligation of a corporation that can be exchanged for a set number of common shares of the issuing corporation at a prestated conversion price.
Convertible eurobond
A eurobond that can be converted into another asset, often through exercise of attached warrants.
Convertible exchangeable preferred stock
Convertible preferred stock that may be exchanged, at the issuer's option, into convertible bonds that have the same conversion features as the convertible preferred stock.
Convertible preferred stock
Preferred stock that can be converted into common stock at the option of the holder.
Convertible price
The contractually specified price per share at which a convertible security can be converted into shares of common stock.
Convertible security
A security that can be converted into common stock at the option of the security holder; includes convertible bonds and convertible preferred stock.
Convex
Curved, as in the shape of the outside of a circle. Usually referring to the price/required yield relationship for option-free bonds.
Convexity
Property that a curve is above a straight line connecting two end points. If the curve falls below the straight line, it is called concave.
PREVIOUS AND NEXT TERMS--------------------------------------
Convention statement
An annual statement filed by a life insurance company in each state where it does business in compliance with that state's regulations. The statement and supporting documents show, among other things, the assets, liabilities, and surplus of the reporting company.
Conventional mortgage
A loan based on the credit of the borrower and on the collateral for the mortgage.
Conventional option
An option contract arranged on the trading floor and traded regularly.
Conventional pass-throughs
Also called private-label pass-throughs, any mortgage pass-through security not guaranteed by government agencies.
Conventional project
A project with a negative initial cash flow (cash outflow), which is expected to be followed by one or more future positive cash flows (cash inflows).
Conversion
Conversion factors
Rules set by the Chicago Board of Trade for determining the invoice price of each acceptable deliverable Treasury issue against the Treasury Bond futures contract.
Conversion feature
Specification of the right to transform a particular investment to another form of investment, such as switching between mutual funds or converting preferred stock or bonds to common stock.
Conversion parity/value
Applies mainly to convertible securities. Common stock price at which a convertible bond can become exchangeable for common shares of equal value; value of a convertible bond based solely on the market value of the underlying equity.
Conversion period
The time period during which an investor can exchange a convertible security for common stock.
Conversion premium
The extent by which the conversion price of a convertible security exceeds the prevailing common stock price at the time the convertible security is issued. In general usage, the conversion premium is the amount by which the convertible security trades above its conversted value.
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This dictionary contains 24549 terms.
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