Dividend Enhanced Convertible Stock - DECS
Definition of 'Dividend Enhanced Convertible Stock - DECS'Preferred stock that provides the holder with premium dividends in addition to an embedded short put option and a long call on the issuing company's stock. |
|
Investopedia explains 'Dividend Enhanced Convertible Stock - DECS'Dividend enhanced convertible stocks provide the holder with the right to convert the security into the underlying company's common stock. |
Related Definitions
Articles Of Interest
-
How And Why Do Companies Pay Dividends?
If a company decides to pay dividends, it will choose one of three approaches: residual, stability or hybrid policies. Which a company chooses can determine how profitable its dividend payments ... -
Introduction To Convertible Preferred Shares
These securities offer an answer for investors who want the profit potential of stocks but not the risk. -
Convertible Bonds: An Introduction
Find out about the nuts and bolts, pros and cons of investing in bonds. -
6 Asset Allocation Strategies That Work
Your portfolio's asset mix is a key factor in whether it's profitable. Find out how to get this delicate balance right. -
American Vs. European Options
These two options have many similar characteristics, but it's the differences that are important. -
A Top-Down Approach To Investing
Use a global view to determine which stocks belong in your portfolio. -
Pay Attention To The Proxy Statement
Don't overlook this overview of a company's well-being. -
How Risk Free Is The Risk-Free Rate Of Return?
This rate is rarely questioned - unless the economy falls into disarray. -
Yield Investing: Dividend, Earnings And FCF
There are numerous ways to value investments, and many investors prefer a specific valuation method. Yield investing is one way to value a stock by comparing the current price to various factors. ... -
An Introduction To Gamma-Delta Neutral Option Spreads
Find the middle ground between conservative and high-risk option strategies.
Free Annual Reports