Equity-linked securities are a hybrid security whose return is connected to an underlying equity security (e.g. convertible debt, convertible preferred). These securities often carry a current interest rate, or preferred dividend, and may be convertible into common shares in specified circumstances. These securities do not trade on any public exchange and are not widely offered for sale to the public.
The background information provided here should not be construed as any form of advice, including but not limited to, investment advice, legal advice, or tax advice.