Date of Award
1999
Document Type
Thesis
Publication Status
Version of Record
Submission Date
October 2026
Thesis/Dissertation Advisor [Chair]
McDaniel, William R.
Abstract
This study evaluates the relative pricing efficiency of convertible debt offerings by comparing the wealth of the convertible bond at its termination with the termination date wealth of an equal initial investment in non-convertible debt of the same approximate risk and maturity. The comparison is made via the construct of a performance ratio. The attributes of the sample's aggregate ratio versus the expected value of the ratio, given that convertible bonds are priced efficiently, provides policy implications in the use of convertible bond financing. The thesis compares the results to prior research measuring convertible pricing efficiency and discusses the relative merit of this approach. The bond rating system, as it relates to convertible issues, is examined. The dissertation concludes by presenting the implications of the results and direction of future research in this area. The results show that convertible bonds are priced in a manner that favors the convertible investor and not the common stockholder.
Extent
130 p.
Recommended Citation
Taylor, Don A., "examination of pricing efficiency in the offering of convertible debt securities" (1999). Electronic Theses and Dissertations 1990 - 1999. 1448.
https://digitalcommons.fau.edu/etd_general_4/1448
Identifier
FADT12619
Comments
Thesis (Ph.D.)--Florida Atlantic University, 1999.|Thesis (Ph.D.)--Florida Atlantic University, 1999.