Which of the following would best represent the Convertible Arbitrage strategy?

Buy short-term XYZ Corp. convertible bonds and short-sell the long-term XYZ Corp. straight bonds.

Buy long-term XYZ Corp. convertible bonds and short-sell the short-term XYZ Corp. straight bonds.

Buy XYZ Corp. convertible bonds and short-sell the stock of XYZ Corp.

Short-sell XYZ Corp. convertible bonds and buy the stock of XYZ Corp.