The most an investor in a convertible preferred stock can lose is the value of the common stock into which the preferred stock may be converted.

Name: The most an investor in a convertible preferred stock can lose is the value of the common stock into which the preferred stock may be converted.
Brand: Quizplus
Rating: 4.8 (59 reviews)

Question

The most an investor in a convertible preferred stock can lose is the value of the common stock into which the preferred stock may be converted.​

Quizplus · Accepted Answer

The most an investor in a convertible preferred stock can lose is the total amount invested in the preferred shares, not just the value of the common stock into which it may be converted.

The Most an Investor in a Convertible Preferred Stock Can