Nebius is high-risk because it relies on convertible debt: conversion works only if the stock rises, but if it does not convert Nebius must find the money; much of that debt, including September issuance, is below its conversion rate and trades around 85 cents on the dollar.

Well, Nebius is one of the companies I've highlighted here as a high-risk company because it doesn't have traditional debt that only includes returns. They have convertible debt.

This is great if your stock price eventually rises and you can simply convert that debt into shares. This means you are raising capital at more attractive prices than you would get simply by selling shares on the stock market .

But if the debt doesn't convert, you have to find that money. This is the real challenge . Therefore, much of their debt has now fallen below the conversion rate in the past two months.

Currently, their debt, which was issued just in September, a few weeks ago, is now trading at around 85 cents to the dollar.