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Stockchase Opinions

Larry Berman CFA, CMT, CTAFirst Asset Canadian Convertible Bond ETFCXF.TOBUYNov 16, 2020

Convertible bonds give some leverage to upside. From that perspective, it is an interesting play. You need to be careful because it is not a fixed income but a play on the equity market. A great tool if you understand where convertibles can fit into your portfolio. You need to be bullish on equities.
$9.70

Stock price when the opinion was issued

$10.62

As of Jun 12, 2026. Market Open.

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He likes convertible bonds. A company issues it so they don’t have to pay too much yield on the bond by issuing it into the regular market. You get upside potential with a convertible bond. He likes it from time to time but not in a rising rate environment.