Harmless Warrant

Harmless Warrant
A warrant that requires the holder to surrender a similar bond when purchasing a new fixed-income instrument. For the warrant to be exercisable, the two bonds must have similar terms, such as maturity, yield and principal.

Also known as a "wedding warrant."

Issuing a harmless warrant provides the debt issuer with some call protection. Under a normal warrant, bond holders might all opt to buy more instruments, drastically increasing the firm's level of debt. With a harmless warrant, the original bond must be surrendered at the time of purchase, allowing the level of debt to remain constant.


Investment dictionary. . 2012.

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Look at other dictionaries:

  • Harmless warrant — Warrant that allows the user to purchase a bond only by surrendering an existing bond with similar terms. The New York Times Financial Glossary …   Financial and business terms

  • harmless warrant — warrant that allows the user to purchase a bond only by surrendering an other bond with similar terms. Bloomberg Financial Dictionary …   Financial and business terms

  • Warrant — War rant, v. t. [imp. & p. p. {Warranted}; p. pr. & vb. n. {Warranting}.] [OE. waranten, OF. warantir, garantir, guarantir, garentir, garandir, F. garantir to warrant, fr. OF. warant, garant, guarant, a warrant, a protector, a defender, F. garant …   The Collaborative International Dictionary of English

  • Harmless error — A harmless error is a ruling by a trial judge that, although clearly mistaken, does not meet the burden for a losing party to reverse the original decision of the trier of fact on appeal, or to warrant a new trial. Harmless error is easiest to… …   Wikipedia

  • warrant — v. a. == insure safety to a person, keep harmless. Alys. 2132 …   Oldest English Words

  • Wedding Warrant — A warrant that can only be exercised if the host asset, typically a bond or preferred stock, is surrendered. Until the call date of the host asset is reached, the warrant can only be exercised if the holder surrenders an equal amount of host… …   Investment dictionary

  • Гарантия от нанесения ущерба — варрант, позволяющий покупать облигацию только после сдачи непогашенной облигации с похожими условиями погашения. По английски: Harmless warrant См. также: Варранты Сделки с облигациями Финансовый словарь Финам …   Финансовый словарь

  • Warranted — Warrant War rant, v. t. [imp. & p. p. {Warranted}; p. pr. & vb. n. {Warranting}.] [OE. waranten, OF. warantir, garantir, guarantir, garentir, garandir, F. garantir to warrant, fr. OF. warant, garant, guarant, a warrant, a protector, a defender, F …   The Collaborative International Dictionary of English

  • Warranting — Warrant War rant, v. t. [imp. & p. p. {Warranted}; p. pr. & vb. n. {Warranting}.] [OE. waranten, OF. warantir, garantir, guarantir, garentir, garandir, F. garantir to warrant, fr. OF. warant, garant, guarant, a warrant, a protector, a defender, F …   The Collaborative International Dictionary of English

  • error — er·ror n: an act that through ignorance, deficiency, or accident departs from or fails to achieve what should be done procedural error s; esp: a mistake made by a lower court in conducting judicial proceedings or making findings in a case to… …   Law dictionary

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