Provisional Call Feature

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DEFINITION of 'Provisional Call Feature'

A feature of a convertible issue that allows the issuer to call the issue during the non-call period if the stock reaches a certain price.

INVESTOPEDIA EXPLAINS 'Provisional Call Feature'

For example, a convertible bond may allow a provisional call if the underlying common stock trades at 150% of the conversion price for 30 consecutive days.

RELATED TERMS
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