What kinds of convertible corporate bonds are there? What are the characteristics of convertible corporate bonds?

The characteristics of convertible corporate bonds mixed financial products determine their diversity. In order to meet the needs of different issuers and investors, various convertible corporate bonds have also appeared in the market. Its types and characteristics are as follows:

Convertible corporate bonds with high coupon or high premium;

1, higher interest return; 2. The possibility of share conversion is very small.

Selling convertible corporate bonds at a premium:

1, ensuring capital appreciation; 2. coupon rate is low; 3. Higher premium; 4. Convertible corporate bonds can be sold back to the issuing company within a period of time; 5. For highly speculative stocks, it can provide protection for investors.

Selling back convertible corporate bonds:

1, ensuring capital appreciation; 2. coupon rate is low; 3. Higher premium; 4. There are many opportunities for convertible corporate bonds to be sold back to the issuing company; 5. Holding convertible corporate bonds is likely to exceed the first resale period.

Zero-coupon convertible corporate bonds:

1, ensuring capital appreciation; 2. Substantial discount; 3. Interest-free income; 4. The possibility of share conversion is very small.

Discount convertible corporate bonds:

1, ensuring capital appreciation; 2. The possibility of stock conversion is greater than that of zero-coupon convertible corporate bonds, but lower than that of general convertible corporate bonds;

Exchange bonds:

1. The underlying stock to be converted is not the stock of the convertible bond issuing company, but the stock of another company; 2. The credit rating of the issuer is linked to the stock situation of the third party.

Convertible corporate bonds with warrants:

1, issue coupons; 2. The premium is higher; 3. Embedded warrants can be disassembled and used as a separate trading tool.