What is the meaning of Convertible security?

Convertible security is a security that gives its owner the right to exchange the security for common shares in a company at a preset conversion ratio. The security is typically preferred stock, warrants or debt.

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APABarry Goldsmith. (2010). convertible security. Retrieved September 21, 2026, from http://smartdefine.org/convertible_security/definitions/1150784
ChicagoBarry Goldsmith. 2010. "convertible security" http://smartdefine.org/convertible_security/definitions/1150784 (accessed September 21, 2026).
HarvardBarry Goldsmith 2010, convertible security, Smart Define, viewed 21 September, 2026, <http://smartdefine.org/convertible_security/definitions/1150784>.
MLABarry Goldsmith. "convertible security" 21 October 2010. Web. 21 September 2026. <http://smartdefine.org/convertible_security/definitions/1150784>
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