Identifying Convertible Bonds

In each of the following scenarios, investors must understand various bond features to make informed decisions. Consider the following bond characteristics:

- A callable bond allows the issuer to redeem the bond before its maturity date at specified times and prices.

- A convertible bond provides the bondholder with the option to convert the bond into a specified number of shares of the issuer's common stock.

- A zero-coupon bond is sold at a discount and pays no interest during its life, only the face value at maturity.

Given these definitions, which type of bond would provide an investor with the chance to convert the bond into equity, typically if the company performs well?