Convertible Securities (such as Debentures or Preferred Stock)

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Term: Convertible Securities (such as Debentures or Preferred Stock)

Definition:Convertible securities combine aspects of both stocks and bonds, thus creating a truly 'best of both worlds' investment. Convertible securities are a bonds, debenture or preferred stock exchangeable which, at the holder's option, may be exchanged for the common stock of the issuing company.

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42 - Accumulated Earnings and Deferred Compensation 9
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