The FCCB's are issued in a foreign currency and carry a interest rate which is than the rate of any other similar non-convertible debt instrument.

fixed, higher

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fixed, lower

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fluctuating, lower

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fluctuating, higher

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Solution

The correct option is B fixed, lower
Foreign currency convertible bonds are equity linked debt securities that are to be converted into equity or depository receipts after a specific period. The FCCB's are issued in a foreign currency and carry a fixed interest rate which is lower than the rate of any other similar non-convertible debt instrument.

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The FCCB's are issued in a foreign currency and carry a ________ interest rate which is ________ than the rate of any other similar non-convertible debt instrument.

The FCCB's are issued in a foreign currency and carry a interest rate which is than the rate of any other similar non-convertible debt instrument.