Percentage premium

Percentage premium

Applies mainly to convertible securities. Premium over parity of a convertible bond divided by parity.

Percentage Premium

The amount the price of a convertible bond exceeds its parity, expressed as a percentage. Convertible bonds may be traded like most bonds, and fluctuate in price like all securities. When its market value equals the value of the underlying common stock, the bond is said to have parity. When a convertible bond trades at a premium, this means that it is more expensive than the current value of the underlying. A convertible bond may trade at a premium if the issuer has a good credit rating and/or if investors believe that the price of the common stock will rise again.
References in periodicals archive ?
Tenders are invited for Construction Of Rigid Concrete Pavement At Rdcis, Ranchi On Item Rate Basis With Percentage Premium (Above Or Below).
Meanwhile, the following five states, on average, showed the smallest percentage premium increase as a result of filing any type of claim of $2,000 or more:
32p, plus a percentage premium on such amount rounded up to the nearest whole penny, as follows:
Though the new formal offer is lower than the one Cypress made last year, the percentage premium of 37% remains the same as offered earlier.
And the percentage premium people pay to live there compared with prices in the surrounding area is a huge 39%.
Calculate the percentage premium (mark-up) of the coin above the current value of the coin's fine gold content.
Not only was this lower than most, but all their charges were laid out in a clear and concise manner with viewable policy documents containing a complete breakdown of the percentage premium refund to be expected over the year.
Table 3 presents the Spearman two-tailed correlation coefficients between the percentage premium paid and the industrial associations for each of the 16 pairs of industrial lines.
Figure 2 indicates the average percentage premium respondents said they would be willing to pay for a range of certified wood products.
I employed the daily percentage premium series, daily market capitalization series, daily liquidity series (two measures), and daily volatility series.
This reduction in crystalline silicon prices also had the effect of eroding their percentage premium to thin film factory gate pricing.
48 pence per share plus a 5 percentage premium to such amount, rounded up to the nearest whole penny, is 273 pence.
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