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Preferred Redeemable Increased Dividend Equity Security |
Also found in: Acronyms | 0.02 sec. |
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Preferred Redeemable Increased Dividend Equity Security A forward contract to buy a certain security and an interest-bearing deposit at a certain time for a certain price. PRIDES operate much like mandatory convertible bonds, but have different structures. PRIDES allow an investor to receive the interest on the deposit at regular intervals and also take advantage of the underlying security when the forward contract matures. Whoever holds the PRIDES at maturity must purchase the underlying security. They were introduced by Merrill Lynch. How to thank TFD for its existence? Tell a friend about us, add a link to this page, add the site to iGoogle, or visit webmaster's page for free fun content. |
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