More terms
Convertible Note
A loan that converts into another security when agreed conditions occur, often into preferred stock at a later financing round.
What traders should verify
For Convertible Note, trace the instrument count, rights, price or conversion terms, vesting or maturity, measurement date, and later changes in filings.
Do not conflate
Do not treat Convertible Note as proof that shares are issued, outstanding, freely tradable, converted, exercised, vested, or sold unless the evidence establishes that state.
Primary source
SEC definitionSource boundary: this glossary reflects SEC staff views and is not a Commission rule, regulation, or statement. Check the linked source for current wording and legal context.