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Notes on Warrant Trading


http://finance.sina.com.cn 02:36, May 18, 2006 Shenzhen News Network - Shenzhen Special Zone News

Different from stocks, warrants carry out T+0 transactions, that is, warrants bought on the same day can be sold on the same day. Moreover, the rise and fall of the warrant is not 10% up or down, but has a specific calculation formula. The rise price of the warrant=the closing price of the warrant on the previous day+(the rise price of the underlying securities on the same day - the closing price of the underlying securities on the previous day) × 125% × the exercise ratio; The decline price of the warrant=the closing price of the warrant on the previous day - (the closing price of the underlying securities on the previous day - the decline price of the underlying securities on the current day) × 125% × the exercise ratio.

The minimum change unit of the declared price of the warrant is 0.001 yuan. The declared quantity of warrant purchase must be 100
Integer times, there is no limit on the number of sales declaration.

Investors should also note that the warrants have a certain period of time, and the transaction will be terminated upon expiration. The warrant holder shall pay attention to and understand the duration of the warrant in a timely manner through various means such as the warrant issuance prospectus, the listing announcement, and the suggestive announcement issued by the warrant issuer, so as to avoid losses due to failure to sell the warrant or failure to exercise.


Sina statement: The content of this article is purely the author's personal view, only for investors' reference, and does not constitute investment advice. Investors operate accordingly at their own risk.

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