Preference and convertible preference shares are types of financial instruments companies issue to raise capital from investors. These shares have special features that distinguish them from common shares, the most typical type of shares companies issue. The asset class PreferredEquity exists to capture the disclosure of preference and convertible preference shares.
If the preference shares convert into ordinary shares, please set IsConvertiblePreferred to “TRUE” and also specify the ConversionRatio.
ConversionRatio will be used only in jurisdictions where post-conversion disclosures are required. Other nuances might need to be considered in certain jurisdictions, e.g., control of conversion or maturity dates (for the US and Canada). We advise you, therefore, to populate the properties InControlOfConversion and MaturityDate for convertible preference shares.
You will notice the following DataViews in rule expressions that reference preference shares:
PreferredEquities - Preference shares, including convertible preference shares, if a disclosure is required on a pre-conversion basis.
ConvertiblePreferredEquities - Preference shares with the option to convert into ordinary shares.