What is convertible?
is a special bond. This bond can have power to convert into stocks after 6 months of issuance. Therefore, this bond has the essence of bonds, and there is a market characteristics of stocks.
Costle bonds are attacked and defensive in investment: there is iron shield in one hand, one hand is a sword.
Expressed as holding convertible bonds If you don’t want to change to stocks, then it has been bond in your hand. You can get interest rates in bonds each year, and finally I will give you a benefit together. At this time it is a pure bond.
When the stock market is in the bear market, if we do not optimize the stock market market, we have always held the transfer bonds and get fixed bonds every year. And the convertible bond is \”guaranteed\”. Its distribution price is generally 100 yuan. Generally in the secondary market, its price rarely fall below 100 yuan. Even falling below the 100 yuan face value, the maximum number of credits will rise to more than 100 yuan.
The probability that my country’s convertible bonds rose to more than 100 yuan is close to 100%! Because the vast majority of listing companies that issue convertible bonds are high-quality companies, it is extremely difficult to have debt default. The incidence of default default in my country’s convertible bonds is 0.
Therefore, we only have to hold the pricing bonds near 100 yuan, and the probability of the final loss is almost zero.
In the actual investment practice, the transferred bonds below 110 yuan are strong enough. There is almost no possibility of loss.
We take the Shandon Shares as an example. If the stock of the Shandu Shares began to fall sharply, the stock price fell by 70%, and the majority of the people in the investment of Mingsu Shares lost. However, investors in investing in pastoral borrows are great, because the convertible bonds are booming. In the same time, the cost of the holders of the pastoral conversion is 130 yuan, then the branch of the pastoral bonds is greatly fell sharply, but generally falls near 100 yuan. Because this is \”theoretical bottom\”. Even if it falls below 100 yuan, it will almost 100% will return to more than 100 yuan. The maximum loss of investors of the pastoral transfer is just 30%!
That is to say, the loss of convertible bonds is limited and can be calculated. In particular, we invest in price of around 100 yuan, and our investment results can be said to be infinitely near \”protection.\”
When the stock market is in the bull market, or when we optimize the corresponding listed company stock, we can immediately handle the credibility.Convert into stock. This will get the super high income of the stock. Even if we don’t convert to stocks, we have been held in convertible bonds, and our investment income will generally be much greater than ordinary bonds. Because the increase in convertible bonds is not small in the secondary market. Most convertible bonds will increase in more than 30%, and some may have more than 200% of the increase of bonds!
The convertible bond is T + 0 transaction, buying on the same day, can be sold on the same day. And there is no rising decline. The daily increase in convertible bonds is definitely not small than stocks, you can trade like stocks.
Generally, holding convertible bonds is expected to receive 15-30% of investment income.
The simplest and practical Raiders of convertible bonds:
Do not analyze the fundamentals, no brain buy 10 or more current prices below 110 yuan Debt, each convertible bond allocation approximately equal funds, and then hold long-term. Our stopping bits are 20% profit. When a convertible bond is made so much, it will be sold immediately. Then look for the next price to buy after price below 110 yuan.
Investment Credit Bonds
Sell before listed companies to launch redemption. That is, when the convertible bond has increased over large or has arrived at the listing period, the listed company may add a small amount of interest to our hand in our hands on the market price. In this regard, we must pay attention to the announcement. Before the company forcibly bought it, we must sell convertible bonds as soon as possible.
There are many arbitrage opportunities for investment convertible bonds. However, there is a need to learn and understand the credible bonds such as debt stocks and retirements, only in-depth learning can have more arbitrage opportunities.
The transferred investment Raiders method in this article is simple, easy to learn, does not involve complex arbitrage and earnings success rates are above 95%, suitable for all investment Xiaobai to apply.