The key motives for using convertible securities in the firm's financing mix include all of thefollowing EXCEPT

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The use of convertible securities does not necessarily indicate a desire to shift to a more levered position in the capital structure. Convertibles are often used as a way to raise temporary funds with the option for investors to convert to equity in the future. They can also serve as a sweetener for financing by offering investors the potential to benefit from future stock price appreciation. Additionally, convertible securities can be a form of deferred stock financing, allowing companies to delay issuing equity and potentially benefiting from a higher stock price in the future.

The Key Motives for Using Convertible Securities in the Firm's