Soft Call Provision
A feature added to convertible fixed-income and debt securities. The provision dictates that a premium will be paid by the issuer if early redemption occurs.
Investopedia Commentary
A sweetener added to convertible fixed-income and debt securities to increase their attractiveness, a soft call provision acts as an added restriction for issuers should they decide to redeem the issue early.
Related Links
Advanced Bond Concepts
Bond Basics Tutorial
See also: Bond, Convertible Bond, Hard Call Protection, Sweetener