If you want a bond that you can exchange into stock of a given company,you should buy a ________.

Question

Quizplus · Accepted Answer

A convertible bond is a type of bond that can be converted into a predetermined number of shares of common stock of the issuing company at the option of the bondholder. This allows the bondholder to potentially profit from an increase in the company's stock price while still receiving interest payments on the bond.

If You Want a Bond That You Can Exchange into Stock