Quick Answer: What Does Conversion Of Exercise Of Derivative Security Mean?

What does conversion mean?

A conversion occurs when a visitor to your website completes a desired goal, such as filling out a form or making a purchase.

The percentage of total visitors that convert is called your conversion rate.

Depending on your site’s or business’s goals, conversion types might include: Online sales.


What is a conversion feature?

Conversion feature. Specification of the right to transform a particular investment to another form of investment, such as switching between mutual funds or converting preferred stock or bonds to common stock.

What is a good conversion rate?

What’s a good conversion rate? A good conversion rate is above 10%, with some businesses achieving an average of 11.45%. Earning a good conversion rate places your company in the top 10% of global advertisers, which makes your conversion rate two to five times better than the average conversion rate.

What is a view through conversion?

A view-through conversion is a new type of conversion tracking within Google which measures how many visitors saw your Google Display Network ad but did not click. … View-through conversion tracking provides you with additional information related to the value of your display campaigns on the Google Content Network.

Are convertible bonds considered equity?

A convertible bond is a fixed-income corporate debt security that yields interest payments, but can be converted into a predetermined number of common stock or equity shares. The conversion from the bond to stock can be done at certain times during the bond’s life and is usually at the discretion of the bondholder.

What is a conversion discount?

A conversion discount (or “discount”) is a mechanism to reward the noteholders for their investment risk by granting to them the right to convert the amount of the loan, plus interest, at a reduced price (in percentage terms) to the purchase price paid by the Series A investors.

How do convertible bonds trade?

Convertible bonds are corporate bonds that can be exchanged for common stock in the issuing company. … A bond’s conversion ratio determines how many shares an investor will get for it. Companies can force conversion of the bonds if the stock price is higher than if the bond were to be redeemed.

How do you calculate conversion cost?

The conversion price of the convertible security is the price of the bond divided by the conversion ratio. If the bonds par value is $1000, the conversion price is calculated by dividing $1000 by 5, or $200.

What is a conversion transaction?

More Definitions of Conversion Transaction Conversion Transaction means a merger, consolidation, recapitalization or other transaction to which the Purchaser is a party that results in the Purchaser Shares being converted into the right to receive cash or other securities.

What is the conversion value?

The term conversion value refers to the financial worth of the securities obtained by exchanging a convertible security for its underlying assets. … Conversion value is calculated by multiplying the common stock price by the conversion ratio.

What is the value to the issuer on the conversion feature of convertible debt?

For the issuer the he conversion feature of convertible debt results in a lower cash interest cost than in the case of nonconvertible debt. For the purchaser, the purchaser obtains an option to receive either the face amount of the debt upon maturity or the specified number of common shares upon conversion.

How is land conversion premium calculated?

Tang says the land conversion premium is usually calculated based on the enhanced value of the land after conversion. The premium rate ranges from 15% to 30% depending on whether the converted land use is for residential, industrial or commercial purposes, he adds.

What is a conversion in Analytics?

A completed activity, online or offline, that is important to the success of your business. A conversion can be a macro conversion or a micro conversion. … A macro conversion is typically a completed purchase transaction.

What is the definition of a conversion in Web Analytics?

Definition: The conversion rate is the percentage of users who take a desired action. The archetypical example of conversion rate is the percentage of website visitors who buy something on the site. … During that month, 2,000 users purchased something from the site. Thus, the site’s conversion rate is 2,000/100,000 = 2%.

What is a conversion rate in marketing?

A conversion rate records the percentage of users who have completed a desired action. Conversion rates are calculated by taking the total number of users who ‘convert’ (for example, by clicking on an advertisement), dividing it by the overall size of the audience and converting that figure into a percentage.

What is a conversion premium?

A conversion premium is an amount by which the price of a convertible security exceeds the current market value of the common stock into which it may be converted.

What is a conversion ratio?

The conversion ratio is the number of common shares received at the time of conversion for each convertible security. The higher the ratio, the higher the number of common shares exchanged per convertible security.

What is call feature?

A call feature is a feature in a bond agreement that allows the issuer to buy back bonds at a set price within certain future time frames. The issuer uses a call feature to hedge against interest rate risk; bonds can be bought back and replaced by bonds carrying a lower interest rate if interest rates decline.