Hi everyone! FrugalTrader of the Million Dollar Journey has graciously asked me to guest author an article on his personal finance blog. It’s all about Convertible Bond Arbitrage and is split into two parts. Part 1 appears today in his blog and Part 2 will appear tomorrow.
I highly recommend reading both parts as this strategy is a very thought provoking one – especially for experienced investors. It is an advanced level topic – so if you are not yet comfortable with the basics, you may want to bookmark it for later. Part 1 is a description of a basic convertible bond – but Part 2 (tomorrow) is where it REALLY gets interesting!