A bond that can be exchanged for shares of stock.
Archives
Convertible Security
A security of an issuer (for example – bonds, debentures, or preferred shares) that may be converted into other securities of that issuer, in accordance with the terms of the conversion feature. The conversion usually occurs at the option of the holder of the securities, but it may occur at the option of the issuer.
Corporation or Company
A form of business organization created under provincial or federal laws that has a legal identity separate from its owners. The shareholders are the corporation’s owners and are liable for the debts of the corporation only up to the amount of their investment. This is known as limited liability.
Correction
This occurs when an average falls 10% or more off of its high.
Cost of Sales
Cost of materials and labor required to produce products or services. Gross profit is sales minus cost of sales.
Coupon Rate
The interest rate on a bond.
Capitalization Change
Any change in the issued and outstanding listed securities of an issuer. This change may involve the issuance, repurchase, or cancellation of listed securities or listed securities that are issuable upon conversion or exchange of other securities of an issuer.
Capitalization Effective Date
The date that the capitalization change is reflected in the issuer’s share register, regardless of when it is reported to the Exchange.
Capitalization or Capital Structure
Total dollar amount of all money invested in a company, such as debt, preferred and common stock, contributed surplus and retained earnings of a company.
Capitalization Weighted Index
Largest companies have most influence on index price action.