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Describe the Puttable, Convertible, Foreign and Eurobonds.
With puttable bonds the release date is under control of the holder (that is the opposed of the callable bond case). Convertible bonds are debt instruments that can be converted in a share within the firm’s equity (either at an exact date or at any time). A foreign bond is a bond given by a borrower into a country different by which borrower’s country of origin (that is the borrower is selling debt abroad). Eurobonds are bonds denominated within the currency of one country but in fact sold or traded in other, various country. Bonds are usually defined to have lifetimes exceeding one year. Debt securities along with maturities less than a year are termed as money market securities.
Reference Index Every FRN chooses its own reference index upon which the calculation of each successive new coupon is based. The most commonly used reference index is LIBOR. It
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