Regulatory requirements for debentures, Financial Management

Assignment Help:

The following guidelines are applicable for the issue of Fully Convertible Debentures (FCDs), Partly Convertible Debentures (PCDs) and Non-convertible Debentures (NCDs):

  1. Compulsory credit rating is required if conversion is made for FCDs after
    18 months.

  2. In case of NCD/PCD, credit rating is compulsory where maturity exceeds
    18 months.

  3. Before the NCDs or non-convertible portion of PCDs are rolled over, fresh credit rating shall be obtained within a period of 6 months prior to the date of redemption and communicated to the debenture holders before the rollover.

  4. The rating of commercial paper and fixed deposit is also compulsory.

The rating process of debt instruments commences at the issuer's request. Based on the tenure of the instruments, the rating agency will gather the requisite data.


Related Discussions:- Regulatory requirements for debentures

PV Annuity , What is the present value of an annuity that makes a quarterly...

What is the present value of an annuity that makes a quarterly payment of $37,110 for 11 years, assuming an annual yield to maturity of 5%?

Use of derivatives in equity portfolio management, Do you provide assignmen...

Do you provide assignment help on the topic Use of Derivatives in Equity Portfolio Management?

What is inventory turnover, What is Inventory turnover The shortcoming ...

What is Inventory turnover The shortcoming of this ratio is that average calculation based on beginning and year-end inventory may not represent actual average in year. Other l

State the economic conditions of cost of capital, State the economic condit...

State the economic conditions of cost of capital General economic conditions These include demand for and supply of capital within the economy and level of expected inflatio

Yield to worst, Now we can calculate the yield for each possible call...

Now we can calculate the yield for each possible call or put date. In addition, we can also calculate the yield to maturity. The lowest yield of all these possibl

Bse-500 and sectoral indices, BSE-500 and Sectoral Indices On August 9,...

BSE-500 and Sectoral Indices On August 9, 1999, another new index was introduced in the market which was based on the data of 500 companies and designated as BSE-500 index. It

How debt securities is different from term loan, How Debt securities is dif...

How Debt securities is different from term loan Debt securities are different from term loans provided by financial institutions and banks to the company. Term loans are long t

It better to buy shares of a company or its assets, It better to buy shares...

It better to buy shares of a company or its assets? The choice among buying shares of a company and buying its assets depends mostly on the fiscal differences and on the possib

Graduated-payment mortgages (gpms), The payments on GPMs unlike the p...

The payments on GPMs unlike the payments on traditional mortgages are not equal. The payments under GPMs start at a relatively low level and rise for a specified

Define the hirfindahl-hirschman index, What is the Hirfindahl-Hirschman Ind...

What is the Hirfindahl-Hirschman Index? A: The Hirfindahl-Hirschman Index, or HHI, is the standard measure employed by economists to evaluate market concentration. The greater

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd