PREMIUMS ON CONVERTIBLE BONDS: COMMENT.

The article presents commentary about a paper written by Roman L. Weil, Joel E. Segall, and David Green, Jr. (WSG) entitled "Premiums on Convertible Bonds," which was published in the June, 1968 edition of the "Journal of Finance." In that paper WSG explored to what extent bond premiums could be explained or predicted by available data. The author of the current paper contends that the regression analysis performed by WSG was not properly designed. He also criticizes comments made by Paul D. Cretien, Jr. about the WSG paper.