by John Calamos (Author)
Convertible securities, combining aspects of both stocks and bonds, truly create a "best of both worlds" investment. This instructive book uses everyday terms and illustrations to explain types of convertibles, reveal high-return investment strategies, and decode pricing, hedging, and risk/return considerations.
Back Jacket
Strategies for earning equity-like returns--with substantially lower risk! Convertible securities--generally, corporate bonds which can be converted into a fixed number of common stock shares--have been around for over a century. While they have generated decent returns for savvy, risk-averse investors, and are an ideal security in today's volatile markets, convertibles have received remarkably little coverage in the popular press. Convertible Securities opens the window, providing in-depth research and analysis to help both new and experienced investors benefit from the many advantages of convertibles. Eye-opening from front to back, it traces: the basics of convertible evaluation, including its investment value as a straight bond, its convertible value as a stock, and its theoretical fair value; proven methods for uncovering convertibles trading below fair value by identifying key variables such as conversion premium and yield advantage; how to use popular convertible bond indexes to track performance, benefiting from their advantages, while remaining aware of their shortcomings. The basic concepts of a convertible security are fairly straightforward, yet nuances make it one of the most involved and potentially profitable investments available. Let Convertible Securities act as your guidebook to this exciting investment class, providing you proven strategies to participate in the capital appreciation of common stocks, while providing a consistent buffer against risk.
Author Biography
John P. Calamos is the founder, president, and chief investment officer of Calamos Asset Management, Inc., an investment firm specializing in managing convertible portfolios which has over $2.2 billion in assets under management. A frequent speaker at investment seminars and conferences, Mr. Calamos has taught graduate level courses on finance and investments. He is the acclaimed author of Investing in Convertible Securities, writes a column on investment risk management in Personal Financial Planning, and has written articles for Pension World, Pensions & Investments, Journal of Financial Investing, and Financial Executive. Mr. Calamos has appeared on CNBC, and is frequently quoted as a convertible securities authority in Barron's, Fortune, Forbes, The Wall Street Journal, Pensions & Investments, Financial World, Nation's Business, and on Bloomberg Forum.