Q: What are warrants
Questions and answers on warrant knowledge
Answer: Warrants, also known as corporate warrants, are warrants issued by listed companies. After successful exercise, the warrant holder
The securities obtained shall be the newly issued securities of the listed company. The code of the warrants listed on the Exchange contains the symbol "CWB".
Answers to frequently asked questions about warrants
In addition to the Warrant Knowledge Q&A, the following questions are added:
1. Is there any basis for the creation of warrants?
Answer: The creation of warrants has laws, rules and legal procedures.
(1) The warrant management measures of the Exchange are as follows: CSRC Approve effective business rules,
It has reserved space for the creation of warrants. The approved and implemented "Shanghai
Article 29 of the Interim Measures for the Administration of Warrants of the Stock Exchange expressly stipulates that: "Listed
For the warrants traded, qualified institutions can create the same type of warrants, and the specific requirements shall be subject to our separate regulations
Definitive ".
(2) Before the formal creation of warrants, the Exchange issued a special notice. Right to create
Before the listing of the securities, the Exchange timely and fully disclosed the creation possibility to the market through various channels
Impact on warrant price. Therefore, the current market practice of warrant creation is sufficient
The legal basis, specific operating procedures are open and transparent, and risk prompts are timely, complete
It is accurate and sufficient, and fully meets the legal requirements of product innovation in the securities market.
(3) The warrant creation and risks have been disclosed in the warrant listing announcement. Our institute
After the creation of the warrants, the risk of the warrant price is revealed to the current shareholders. Ruwu
Steel Shares clearly pointed out in its statement of share trading reform that "if other institutions
The company's shares are the underlying securities, and warrants may be issued for the split share structure after the approval of listing
The relevant warrant transaction prices involved in the reform have an impact ". That is to say, in the case of WISCO
Before the voting of the share reform prospectus, the increase in the supply of warrants may affect the price of warrants
The risks have been revealed to the current shareholders. Before the listing of WISCO warrants,
We have issued the Notice on Matters Related to the Establishment of WISCO Warrants by Securities Companies
The creation of WISCO warrant has made specific provisions. In addition, Wuhan Iron & Steel Also issued before the listing of warrants
No
Special notice in the second notice and notice of exercise period adjustment
After the market, if other institutions create warrants based on WISCO shares, they may
Has an impact on the transaction price.
(4) Prior to the listing of the created warrants, the Exchange timely and fully
It reveals to the market the possible impact of creation on the price of warrants.
2. What is the role of warrant creation?
Answer: (1) The creation system of warrants is conducive to achieving the balance between supply and demand in the market, which is effective
And supported the split share structure reform. Establish a system that allows qualified securities firms to provide sufficient
The amount of collateral (cash or stock) creates new warrants to solve the shortage of warrants
The problem is to balance the supply and demand of warrants. If the warrant cannot be effectively increased through the creation of a system
The speculation of warrants is bound to intensify for a long period before the expiration of warrants,
The price of any warrant rises sharply once it is listed, but it may become a piece of waste paper when it expires
The results were inconceivable. At the same time, it is bound to greatly affect the subsequent share reform scheme using warrants
The launch of.
(2) The warrant creation system plays an important role in helping investors (especially small and medium-sized investors)
The function of risk warning protects these investors. At a certain warrant price level,
There are qualified securities companies creating warrants, which means that there are professional institutions that believe that the current warrants
The higher the price is, the more people create, the greater the volume of creation, which indicates the premium of warrant price
The bigger, the more unreasonable, also reminds investors to pay attention to the price risk of warrants. And vice versa
Yes. Today, the sharp rise of warrants is caused by the shortage of warrants, and they will return to their true value in the future,
Investors who buy at a high level will inevitably suffer losses. Introduce the creation system
It is to balance the supply and demand of warrants in time, reflect their true value as soon as possible, and avoid the current
The sharp rise of and the sharp fall in the future will bring losses to investors. At the same time, around rational price
Only the warrants that are traded smoothly can truly realize their universal functions, such as hedging
Lock risk, etc.
3. Some warrants have only one day of exercise date. Is it in conflict with the Measures?
Answer: Article 13 of the Measures stipulates that "five trading days before the expiration of the warrant,
The warrant transaction is terminated, but it can be exercised ". According to this provision, the exercise date of the warrant is "warrant
Five trading days before the expiration of the duration ", and the specific exercise date can be one of them or
The number of days shall be determined by the warrant issuer. Exercise period of most European warrants at present
It is the last 5 trading days within the warrant duration, and only Baosteel call warrants (expired
Period), Moutai put warrant Shanghai Airport The put warrant determines the exercise date of the warrant as the right
The last trading day before the expiration of the certificate is consistent with the provisions of the Measures.
It should be noted that these warrants issuance and listing announcements, as well as the relevant
The business notice has repeatedly emphasized the warrant exercise date, and the market parties have fully understood in advance
This point.
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.
