Moving targets

For years, moving-strike convertible bonds have courted controversy in Japan due to their detrimental impact on share prices. But given the rebound in equity prices, could that change the perception of these 'toxic' instruments? By Kathleen Kearney

asiarisk-dec06-04-gif

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

Only users who have a paid subscription or are part of a corporate subscription are able to print or copy content.

To access these options, along with all other subscription benefits, please contact info@risk.net or view our subscription options here: http://subscriptions.risk.net/subscribe

You are currently unable to copy this content. Please contact info@risk.net to find out more.

Sorry, our subscription options are not loading right now

Please try again later. Get in touch with our customer services team if this issue persists.

New to Risk.net? View our subscription options

Most read articles loading...

You need to sign in to use this feature. If you don’t have a Risk.net account, please register for a trial.

Sign in
You are currently on corporate access.

To use this feature you will need an individual account. If you have one already please sign in.

Sign in.

Alternatively you can request an individual account here