Research On The Financing And Factor Design For Convertible Bond

Due to its unique risk-return attributes, convertible bonds are welcomed by both issuers and investors. Nowadays, global convertible market takes on a new look and becomes more mature and prosperous as time goes by. After ten years'dreariness, Chinese convertible bond market starts to grow rapidly. Under this background,The thesis has carried on a more comprehensive study to the application on the Chinese capital market of the convertible bond, which has the great significance to Chinese convertible bond market and the innovation of the Chinese financial product. With an eye to the basic theories of convertible bond, through comparing with the development of the developed countries of capital market and domestic convertible bond market, this thesis proposes the beneficial suggestions to the development of the convertible bond market in China. At the same time, On the base of the principal-MM theory,information asymmetry and the related theory, combining the special research background in China, proceeding from the angle of issuers mainly, this paper analyses the advantages of convertible bond in optimizing capital structure and governance Structure. Particularly aiming at risk investment field and employing the game theory model, Contrasting with stock and debt, this thesis proves convertible bond can avoid the problem of moral hazard arising from venture entrepreneurs and venture capitalists, which spurs both sides to reach the optimal input. Then, developing the convertible bond in the risk investment field of China has great significance. Then, the relation between the kernel items and the character of debt-like and stock-like for the convertible bond is analyzed and the inclination of laying particular stress on stocks while weakening bonds in china is pointed out, and the conclusion that the premium rate of translated price of convertible bond is negatively related to coupon rate and EDBT is drawn through regression to the premium rate. Finally, the thesis analyzed the convertible bond of Shanying and proved the conclusion above.