Journal of Financial Economics Vol. 4 No. 3 1977
A contingent-claims valuation of convertible securities
Abstract
This paper examines the pricing of convertible bonds and preferred stocks. The optimal policies for call and conversion of these securities are determined via the criterion of dominance. The techniques underlying the Black-Scholes Option Model are used to price convertible securities as contingent claims on the firm as a whole.
- DOI
- 10.1016/0304-405x(77)90004-6
- Volume
- 4
- Issue
- 3
- Pages
- 289-321
- Language
- en
- Sources
- bibtex:phds-export.bib openalex crossref