en     ru     jp
 
 
private banking
private banking
private banking
private banking
private banking
private banking
private banking
     
 
Home
      
Knowledge Base
      
Financial Glossary
      
Harmless Warrant
       
 
Back

Harmless Warrant

 Search definitions     
  Search  

Harmless Warrant
A Warrant that requires the Holder to surrender a similar Bond when purchasing a new fixed-income instrument.
    
This Warrant  allows the user to buy a Bond only by surrendering an other Bond with similar terms .For the Warrant to be exercisable, the two bonds must have similar terms, such as maturity, Yield and principal.
    
Also known as a "wedding Warrant."
    
Issuing a harmless Warrant provides the Debt issuer with some call protection. Under a normal Warrant, Bond holders might all opt to purchase more instruments, drastically increasing the firm's level of Debt. With a harmless Warrant, the original Bond must be surrendered at the time of purchase, allowing the level of Debt to remain constant.
    
Warrant is a Derivative Security that gives the Holder the right to purchase securities (usually Equity) from the issuer at a specific price within a certain time frame.
Posted by  Privatebanking.com
 
  Back  
  Print  
  Email  

 

private banking
private banking
private banking
private banking
private banking
private banking
Get Adobe Flash Player to view the media
FlashPlayer required to view the media

 
Home News Library Newsletters Event Calendar Advertise About Contact FAQ
Privacy Policy     Terms of Service
 

©