Convertible Bond Financing Program Designed Study

As convertible bond, which is a kind of financing tool combining the characters of bond and stock, has been growing fast in China in recent years, it is drawing more listed companies' attention. Many listed companies are showing their interests on how to take the advantage of convertible bond and how to design it.With an eye to the interests of those listed companies, this paper makes some study on how to design convertible bond. This paper, first of all, explains the nature and the development of convertible bond and some related theories, then discusses the application of the theory to convertible bond's financing, also analyses several factors on influencing the design of the convertible bond, importantly goes further into the design of the convertible bond, finally makes a brief conclusion and watches the prospects of the convertible bond.This paper tries not only to lay its stress on theoretical explaining, but also to balance between the practice and the theory. Wish it some value to Chinese listed companies.