Reverse Convertibles: Fixed Coupon, Cash or Shares at the Strike
This lesson is part of the course
In this lesson
You settle a fictional reverse convertible at nine share prices: cash at or above the strike, whole shares plus cash for the fraction below it, add the coupon and chart the total against the share price.
Buy the course once for $9.99 to unlock every lesson and lab, the final exam and the certificate – lifetime access, no subscription.
Lessons in this course
- Building Blocks: the Zero-Coupon Floor and the Option BudgetFree
- Capital-Protected Notes: Participation Rates and the Cap Trade-Off Locked
- Discount Certificates: Buying the Share Cheaper, Giving Up the Upside Locked
- Reverse Convertibles: Fixed Coupon, Cash or Shares at the Strike Locked
- Barriers and Worst-Of: Touched Flags on Given Price Paths Locked
- Autocall Schedules: Triggers, Coupon Barriers and Memory Coupons Locked
- Costs and Issuer Risk: Fair Value, Embedded Cost and Default Locked
- Capstone: Three Products, the Share and Cash on One Scenario Grid Locked