Warrants - good deal? - Aussie Stock Forums

Results 1 to 7 of 7
  1. #1

    Default Warrants - good deal?

    Share trading at 31.5c

    Warrant (ex. @ 8c) can be bought for 20c...expires in 09...is this a good deal or am I missing something?

    Not a huge profit, but one nonetheless? Apologies if my derivatives knowledge is not up to scratch.

  2. #2

    Default Re: Warrants - good deal?

    1) What security are we talking???

    2) Is the euro or american? I presume euro, otherwise there would be an arbitrage op here.......

    3) Is it a barrier warrant???

    Unless there is a bloody good reason or a mix up, warrants normally trade at a premium to intrinsic value because they have embedded time value.


  3. #3
    Rotaredom wayneL's Avatar
    Join Date
    Jul 2004

    Default Re: Warrants - good deal?


  4. #4

    Default Re: Warrants - good deal?

    Of course....... forgot to ask the most obvious question...... HAHAHA!!!!


  5. #5

    Default Re: Warrants - good deal?

    Lost me there guys...ratio? Euro/American? I need to read up more. This is a warrant for an ASX listed company (miner)...I thought they were just like options, just with a longer expiry date. The quote is just a standard detailed one, lists the buy price, excercise price and expiry date. Any suggestionss where the ratio is detailed?

  6. #6

    Default Re: Warrants - good deal?

    The ASX site www.asx.com.au/investor/warrants/index.htm has some good information on the basics of warrants that should answer most of your questions.

  7. #7

    Default Re: Warrants - good deal?

    Thanks dubious...I have read the prospectus aswell, which states the listed warrant entitles the holder to one share in the compay at 8c. There is no mention of american / euro etc in the prospectus. Will keep checking this one out, may be an arbitrage opp as stated before.

Similar Threads

  1. Good value stocks, post 'em up
    By The Mint Man in forum ASX Stock Chat
    Replies: 32
    Last Post: 12th-December-2010, 07:51 AM
  2. Good Global market data
    By benwex in forum Software and Data
    Replies: 1
    Last Post: 18th-January-2008, 07:16 PM
  3. Are you with IG Markets??
    By simoncar in forum Brokers
    Replies: 53
    Last Post: 7th-November-2007, 06:36 PM
  4. Good software recommendations
    By goldenmall666 in forum Software and Data
    Replies: 0
    Last Post: 16th-July-2007, 06:51 PM
  5. What looks good on your charts?
    By GreatPig in forum ASX Stock Chat
    Replies: 4
    Last Post: 24th-August-2004, 12:22 AM


Posting Permissions

  • You may not post new threads
  • You may not post replies
  • You may not post attachments
  • You may not edit your posts
Aussie Stock Forums