Cover Ratio

Business, Legal & Accounting Glossary

Definition: Cover Ratio

Quick Summary of Cover Ratio

The number of warrants required to exercise into one share, or one unit of the underlying asset. Also known as the subscription ratio, exercise ratio, conversion ratio, entitlement ratio, parity ratio, multiplier, or set.

Take care when applying the cover ratio: some issuers express the ratio as an inverse, so that a cover ratio of 100 will be written as 0.01.

Cite Term

To help you cite our definitions in your bibliography, here is the proper citation layout for the three major formatting styles, with all of the relevant information filled in.

Page URL
Modern Language Association (MLA):
Cover Ratio. Payroll & Accounting Heaven Ltd. September 18, 2021
Chicago Manual of Style (CMS):
Cover Ratio. Payroll & Accounting Heaven Ltd. (accessed: September 18, 2021).
American Psychological Association (APA):
Cover Ratio. Retrieved September 18, 2021, from website:

Definition Sources

Definitions for Cover Ratio are sourced/syndicated and enhanced from:

  • A Dictionary of Economics (Oxford Quick Reference)
  • Oxford Dictionary Of Accounting
  • Oxford Dictionary Of Business & Management

This glossary post was last updated: 26th April, 2020 | 1 Views.