A bond issued by ABC Inc. that can be converted into stock of XYZ inc. is called a(n) _________ bond.

Name: A bond issued by ABC Inc. that can be converted into stock of XYZ inc. is called a(n) _________ bond.
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Question

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Exchangeable bonds allow the holder to exchange the bond for the stock of a company different from the issuer, in this case, from ABC Inc. to XYZ Inc. Convertible bonds, on the other hand, can be converted into the issuing company's stock.

A Bond Issued by ABC Inc