Is it a good thing or a bad thing for stocks to match bonds?

Is stock matching debt a good thing or a bad thing?

Is stock matching debt a good thing or a bad thing? For many novice investors, they may not know the significance of stock matching debt, but they are curious about this knowledge. So today, Bian Xiao is here to sort it out for everyone. Let's take a look!

Is it a good thing or a bad thing for stocks to match bonds?

Share matching debt doesn't care about good or bad. Different angles of consideration will lead to different answers. Stock allotment is a bond financing behavior of listed companies, and investors who own shares of the company can get the allotment first. Generally speaking, the number of shares held by investors needs to reach the minimum number of shares to obtain the placement right before they can participate in the placement of convertible bonds. For example, if the minimum placement amount is 1 000 yuan, and each share is placed in 2 yuan, then investors need to hold more than 500 shares to participate in the placement of convertible bonds.

On the one hand, it is undoubtedly a good thing for those who want to participate in the new convertible bonds, because investors can buy the corresponding number of convertible bonds as long as they pay the full amount of funds on the day of placing after obtaining the right to place, and there is no need to draw lots to decide.

Generally speaking, the price of convertible bonds will rise after listing. If you participate in stock matching, you can sell the convertible bonds after listing and get some income. At the same time, many investors will buy the company's shares in order to obtain the right to allocate bonds before the shares are allocated, thus pushing up the stock price.

On the other hand, after investors get the allocation right to exchange bonds for stocks, they may sell stocks, resulting in a decline in stock prices. Therefore, there is a certain risk in matching bonds with stocks, and the risk comes from the stock price fluctuation caused by matching bonds with stocks.

For investors who own shares in listed companies, if they don't want to participate in the stock bond matching, they can choose to sell them before the stock bond matching, that is, after the stock price rises, so as to avoid the losses caused by the subsequent stock price decline.

For investors who don't own the shares of listed companies, but want to get the proceeds from rights issue, it is risky to participate in rights issue. After the rights issue, the stock price fell and they didn't sell it in time. Finally, the income from the listing of convertible bonds cannot make up for the loss after the stock price falls, so it is not very cost-effective.

Generally speaking, whether it is good or bad for stocks to be in debt can get different answers from different angles, and different people have different opinions, but it is generally believed that it is a good thing for stocks to be in debt.

How to operate the allocation of stocks and bonds

If you want to get the right to share the debt, you must first own shares in the company. After obtaining the right of stock matching debt, there will be a certain matching debt in the position on the placing date. Generally speaking, brokerage companies will also send SMS reminders. On the placing date, the convertible bonds can be obtained by directly inputting the entrustment code of creditor's rights distribution and the number of creditor's rights distribution. But make sure that the account is fully funded. Generally, the redemption period of debt-bearing stocks is only one day.

Can stock speculators make money?

It is possible to make money by buying stocks at the bottom, but we need to be able to copy them to the end. It is difficult to bargain-hunting stocks. Everyone wants to buy stocks at a low level, but they often buy them halfway up the mountain, resulting in their own losses.

In a bear market, it is generally not recommended to bargain-hunting, because the stock bear market is meaningless. In addition, it is generally not recommended to buy in heavy positions when bargain hunting, because the stock market is full of many uncertainties. Once the judgment is not accurate, heavy buying will lead to great losses. When bargain hunting, it is generally recommended to buy when the stock price has rebounded and the trading volume has been enlarged.