HOLLOW POINT TRADING MARKET BRIEF
What this market video covers
A convertible security can create different share counts depending on its conversion formula. Consider a hypothetical one thousand dollar principal amount. Ignore accrued interest, fees and fractional share rules. At a fixed twenty dollar conversion price, that principal converts into fifty shares. Now consider a different contract whose conversion price…
Use this analysis as general education. Confirm current prices and conditions independently, define invalidation before entry, and size every position for the loss you can actually tolerate.