Question

Many times we read in the newspaper that several companies are adopting the FCCB route to raise capital. What is the full form of FCCB?

• A. Foreign Currency Convertible Bonds
• B. Foreign Convertible Credit Bonds
• C. Financial Consortium and Credit Bureau
• D. None of these

Hint:

Expand each letter of FCCB literally: Foreign, Currency, Convertible, Bonds.

Answer 1

The Correct Option is A

This is a direct abbreviation-recall question, best solved by matching each letter of FCCB to a real financial term.

1. F, C, C, B should stand for Foreign, Currency, Convertible, Bonds, a bond denominated in a foreign currency that the holder can convert into equity later.
2. Foreign Convertible Credit Bonds: Rearranges the words but is not the actual accepted term used in finance.
3. Financial Consortium and Credit Bureau: Describes an unrelated kind of institution, not a bond instrument at all.

Only “Foreign Currency Convertible Bonds” matches the real, widely used term.

So the correct answer is option A.