Moving targets

Japan convertible bonds

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A growing economy, greater optimism for the future and a fresh wave of mergers & acquisitions are all prompting another round of fund-raising activity in corporate Japan. With regulators keeping a close watch on the issuance of private convertible bonds (PCBs), derivatives specialists have added new twists to these products to take advantage of the rising appetite for equity risk.

Over the past three years, a product that has courted controversy in Japan is the moving-strike convertible bond

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