A discount instrument is one that sells at a discount to par value such as Treasury bills, commercial paper, and...

By definition, a deposit is cash amounts, checks or drafts given or endorsed to a bank (depositee) and credited to...

Event risk covenants are triggered by designated events, generally associated with a change in corporate control (e.g., mergers, acquisitions, restructuring,...

LIBOR or the London interbank offered rate is the rate at which international banks charged each other for money borrowed...

A corporate distribution to a stockholder that is viewed by the tax authorities (such as the IRS) as a dividend...

By law, if a company pays dividends, it must pay them in proportion to the number of shares a person...

In order to price a convertible bond using the Black-Scholes model, the following two steps would need to be taken:...

Most bonds pay coupons to the holder on a periodical basis, whilst the bond's par value (principal) is paid back...

A convertible bond can be viewed as a combination of a straight bond with a call option on the underlying...