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Copyright © 2012, Campbell R. Harvey. All Rights Reserved.
An extra incentive to encourage investors to buy a bond or preferred stock. For example, a bond may include a right to buy common stock in the issuer for 10% below its market value. A sweetener is designed to help sell securities. It is also called a kicker, a wrinkle, or bells and whistles.
Farlex Financial Dictionary. © 2012 Farlex, Inc. All Rights Reserved
An addition to a security that makes it more appealing to investors. One popular sweetener is the addition of warrants (options to buy stock) to a bond in order to make the bond marketable with a lower interest cost.
Wall Street Words: An A to Z Guide to Investment Terms for Today's Investor by David L. Scott. Copyright © 2003 by Houghton Mifflin Company. Published by Houghton Mifflin Company. All rights reserved. All rights reserved.
Something extra included in a transaction to make it more palatable to the other side. For example,Farmer Brown might agree to mow the fields for 5 years if Roberta Rider agrees to buy 10 acres of his land for a horse farm.
The Complete Real Estate Encyclopedia by Denise L. Evans, JD & O. William Evans, JD. Copyright © 2007 by The McGraw-Hill Companies, Inc.