We have invested in Malaysian stocks for more than a year and have noticed some uniqueness about them. One of which is the use of the Convertible Unsecured Loan Stock (CULS) in some Malaysian stocks. ‘Bond’ First, Stock Later CULS is like a bond, which offers a fixed interest coupon payment to the holders. It also has the feature of a convertible bond, which allow the holder to convert the CULS into the company stock at maturity date, at a predetermined conversion rate and price. It would be easier to explain with an example. Advance Synergy Berhad issued a 10-year Irredeemable Convertible Unsecured Loan Stocks (will explain the ‘Irredeemable’ later). The interest coupon is 2% of the nominal amount of your investment and the interest is paid annually. The issue date was 31 Jan 2008 and the maturity date was set at 26 Jan 2018 (~10 years)......