NISM Series XV : Research Analyst Certification Exam Notes
Page 9 Of 62
Go to:
If FCCBs are converted into equity, dividend is paid in Indian Rupees with conversion obligation (currency risk) lying with the investors.
FCCBs are regulated by RBI notifications under the Foreign Exchange Management Act (FEMA).
Equity Linked Debentures (ELDs) are floating rate debt instruments whose interest is based on the returns of the underlying equity asset such as Nifty 50, S&P Sensex, individual stocks or any customized basket of individual stocks.
Commodity Linked Debentures (CLDs) are floating rate debt instruments whose interest is based on the returns of the underlying commodity asset.
Mortgage Backed Securities (MBS) and Asset Backed Securities (ABS) are debt instruments issued by institutions against the receivables and cash flows from financial assets such as home loans (MBS), auto loans, rent receivable, credit card receivables and others.
MODELEXAM® 
www.realsoftinfoplan.com