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.




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Cover Ratio. PayrollHeaven.com. Payroll & Accounting Heaven Ltd. September 18, 2021 https://payrollheaven.com/define/cover-ratio/.
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Cover Ratio. PayrollHeaven.com. Payroll & Accounting Heaven Ltd. https://payrollheaven.com/define/cover-ratio/ (accessed: September 18, 2021).
American Psychological Association (APA):
Cover Ratio. PayrollHeaven.com. Retrieved September 18, 2021, from PayrollHeaven.com website: https://payrollheaven.com/define/cover-ratio/

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.