Sina Finance News With the curtain call of Baosteel warrants, Vanke warrants will also come to an end. How should investors who still hold warrants "deal with" these warrants, whether to exercise, and how to exercise? In order to help investors understand the exercise procedures of warrants listed in Shenzhen Stock Exchange, Shenzhen Stock Exchange released the operation guide for warrant exercise investors on the 27th day. The full text is as follows:
1、 Key points of warrant exercise
The exercise method of each warrant is different, and it is agreed in the warrant issuance announcement. Therefore, investors should pay attention to the contents of the warrant issuance announcement and the exercise advisory announcement, mainly including the warrant type, exercise date, exercise method, exercise price, etc.
If the securities payment warrants are out of price warrants after entering the exercise period, investors should prudently make a decision on whether to exercise, so as to avoid losses due to blind exercise. For example, Investor A holds 1000 Vanke put warrants settled by means of securities payment, while holding "G" Vanke A ”1000 shares“ Vanke HRP1 ”The exercise price of "G Vanke A" is 3.638 yuan, and the exercise ratio is 1. Assuming that the share price of "G Vanke A" is 6.28 yuan when the exercise is due, if Investor A exercises 1000 "Vanke HRP1" warrants, it is equivalent to selling Vanke shares at 3.638 yuan, and only obtaining 3638 yuan of exercise income; If Investor A sells 1000 underlying securities at 6.28 yuan from the secondary market at this time, he can get 6280 yuan. Investor A's actual loss on exercise per share was 2.642 yuan, and the total loss on exercise was 2642 yuan.
Therefore, when exercising warrants, investors should first carefully calculate the relationship between the exercise price of warrants, the exercise proportion and the market price of the underlying securities, judge whether the warrants they hold are in the price or out of the price, and reasonably decide whether they should exercise; Second, pay attention to the exercise date to avoid the loss caused by missing the exercise date; Third, pay attention to the details of the exercise operation to ensure that the exercise instructions are issued correctly.
2、 Classification of warrant exercise methods
1. Securities payment settlement method and cash settlement method
Securities payment settlement means that when the warrant holder exercises, the issuer sells or purchases the underlying securities to the warrant holder according to the exercise price. That is to say, when exercising, the holder of the warrant should pay the price calculated according to the exercise price and the exercise quantity, and obtain the agreed quantity of underlying securities. When exercising, the holder of the put warrant shall deliver the agreed amount of underlying securities (that is, the warrant holder must hold the agreed amount of underlying securities at the same time), and obtain the price calculated according to the exercise price and the amount of underlying securities. At present, warrants issued due to share reform listed in Shenzhen Stock Exchange are all securities payment and settlement.
The cash settlement means that when the warrant holder exercises, he/she shall collect cash based on the difference between the exercise price and the settlement price of the underlying securities on the exercise date and the exercise fee. Under the cash settlement method, the settlement price of the underlying securities shall be calculated. The settlement price of the underlying securities is the average of the daily closing prices of the underlying securities ten trading days before the exercise date.
2. European, American and Bermuda style warrants
According to the exercise period, warrants can be divided into European style warrants, American style warrants and Bermuda style warrants. Among them, holders of European style warrants can only exercise on the expiration date; The holders of American style warrants may exercise at any time before the expiration date; The exercise mode of Bermuda style warrants is a mixture of the above two, that is, the holder has the right to exercise on one or more dates before the expiration date.
3、 Regulations on Shenzhen Stock Exchange Exercise Code and Exercise Abbreviation
Securities code "030001032999" is the code range of Shenzhen Stock Exchange call warrants, and "038001039999" is the code range of Shenzhen Stock Exchange put warrants. Different from the warrant products of Shanghai Stock Exchange, the issuance, trading, exercise and other businesses of the warrant products of the Exchange all use the same securities code and abbreviation. Here are some examples for comparison:
Short name of warrant transaction
Short name of warrant exercise
Warrant transaction code
Exercise code of warrant
Shenzhen stock exchange
Vanke HRP1
Vanke HRP1
038002
038002
Shanghai
Baosteel JTB1
ES060830
580000
582000
4、 Key Points for Exercise of Securities Payment Warrants
1. Declaration order. The investor issues the order to exercise the warrant according to the prompt of the securities firm's technical system, which mainly includes the following contents (“ Ansteel JTC1 ”Example):
Securities code: 030001 (securities abbreviation: Angang JTC1)
Business category: exercise
Entrusted quantity: the declared exercise quantity of warrants
Entrusted price: 3.386 yuan (exercise price)
Warrants purchased by investors on the same day can be exercised on the same day; The exercise order shall be declared in copies; The exercise order is valid on the same day and can be revoked on the same day.
2. Before issuing the exercise order, the warrant investors shall confirm that the number of warrants they apply for exercise is not greater than the number of warrants available in their securities accounts. Otherwise, the exercise order will be invalidated, and investors need to apply for exercise separately.
3. If the number of warrants declared by the clearing participant for exercise does not exceed the number of warrants available in the securities account (that is, meeting the condition of 2), but the funds available in the clearing participant's account are not enough to pay the funds required for the exercise of the warrants, the exercise order shall be invalidated.
4. After receiving the exercise order of the warrant issued by the investor, the securities firm will deduct the available number of warrants in the investor's securities account, and the deducted number of warrants is equal to the effective number of exercise entrustments; In addition, the securities firm also needs to deduct the amount of funds available in the investor's capital account. The deducted amount=the number of effective exercise entrustments × the exercise price × the exercise proportion. Investors should note that the calculation and examples in this guide do not consider the impact of exercise fees and tax rates. In practice, investors must consider the impact of exercise fees and tax rates.
5. If the exercise is successful, the investor will receive the underlying securities obtained from the exercise after settlement on T+1 day. The increased amount of underlying securities in the investor's securities account=the number of effective exercise commissions of the warrants × the exercise ratio.
6. At the end of the exercise period, the securities payment warrants that have not been declared for exercise will be cancelled.
For example 1: Investor A holds 100 copies of Angang JTC1 (securities code: 030001), the settlement method of the warrant is securities payment, the exercise ratio is 1, and the adjusted exercise price is 3.386 yuan. A If the exercise order for 100 warrants is operated on the exercise date, then:
Delegated instruction category
Warrant products
Warrant type
Number of investors' securities account Angang JTC1
Investor's securities account
Number of Angang New Rolling Shares
investor
Fund availability
exercise
Ansteel JTC1
Warrant
Deduct 100 copies
Increase 100 × 1 shares
Deduct 100 × 1 × 3.386 yuan
5、 Key Points for Exercise of Securities Payment Put Warrants
1. The operation of the investor's declaration order is the same as that in points 1 and 2 of the above-mentioned securities payment warrants.
2. If the number of put warrants declared by the investor for exercise does not exceed the number of put warrants available in the securities account, but the underlying securities required for the exercise of the put warrants are greater than the underlying securities available in the investor's securities account, only the put warrants corresponding to the underlying securities available in the investor's securities account can be exercised.
3. After receiving the exercise order of put warrants issued by the investor, the securities firm shall deduct the available quantity of warrants in the investor's securities account, and the deduction quantity is equal to the effective exercise entrustment quantity; In addition, the securities firm shall also deduct the available quantity of underlying securities in the investor's securities account, and the deducted quantity is equal to the effective exercise entrustment quantity of put warrants multiplied by the exercise proportion.
4. The underlying securities held by investors are declared for exercise on the same day, and are sold and transacted on a commission basis. The order of processing by the settlement system is: transaction and exercise. The settlement is based on the sale first, and the remaining shares are subject to exercise.
5. If the exercise is successful, the exercise capital on T+1 will be automatically credited to the clearing provision account of the clearing participant, and the corresponding number of warrants and corresponding underlying securities in the investor's securities account will be deducted; The corresponding exercise capital on T+2 will be automatically credited to the investor's capital account. The amount of capital increase in the investor's capital account=the number of effective exercise entrustments of put warrants × the exercise price × the exercise proportion.
6. After the end of the exercise period, the securities payment put warrants that have not been declared for exercise will be cancelled.
Example 2: Investor A holds 100 Vanke HRP1 (securities code: 038002), the warrant settlement method is securities payment, the exercise ratio is 1, and the adjusted exercise price is 3.638 yuan. A If the exercise order for 100 warrants is operated on the exercise date, then:
Delegated instruction category
Warrant products
Warrant type
Available quantity of warrants in investors' securities accounts
Investor's securities account
Available quantity of underlying securities
investor
Fund availability
exercise
Vanke HRP1
put warrants
Deduct 100 copies
Deduct 100 × 1 shares
Increase by 100 × 1 × 3.638 yuan
6、 Key points of exercise of cash settled warrants
1. The operation of the investor's declaration order is the same as that in points 1 and 2 of the above-mentioned securities payment warrants.
2. The issuer of cash settled warrants pays the difference between the exercise price and the securities settlement price at the time of settlement. Therefore, if the warrants using cash settlement are out of the money warrants at the time of exercise, investors cannot exercise.
3. If the cash settled warrants are in the money warrants at the time of exercise, the warrant holders may exercise on their own initiative to obtain the difference between the exercise price and the settlement price of the underlying securities. Wherein, the settlement price of the underlying securities is equal to the average daily closing price of the underlying securities ten trading days before the exercise date.
4. After the expiration of the exercise period, if the warrant holder fails to exercise the warrant held, the issuer will automatically pay the cash differential to the warrant holder who has not exercised within 3 working days after the expiration of the warrant.
5. For cash settled warrants, the investor's account changes after exercise are as follows:
Delegated instruction category
Settlement method
Warrant type
Available quantity of warrants in investors' securities accounts
Investor's securities account
Available quantity of underlying securities
Investor's
Fund availability
exercise
Cash settlement
Warrant
Deduction of entrusted quantity
No change due to warrant exercise
Increased entrusted quantity * exercise proportion * (securities settlement price - exercise price)
put warrants
Deduction of entrusted quantity
No change due to warrant exercise
Increased entrusted quantity * exercise proportion * (exercise price - securities settlement price)
7、 Cancellation of warrant exercise declaration order
The warrant exercise order may be revoked on the same day. When receiving the investor's order to exercise and revoke the mandate, the securities firm shall, according to the warrant type and the warrant settlement method, conduct the following operations on the corresponding number of warrants, or the corresponding underlying securities, or the corresponding funds under the investor's account:
Delegated instruction category
Settlement method
Warrant type
Available quantity of warrants in investors' securities accounts
Investor's securities account
Available quantity of underlying securities
Investor's
Fund availability
Cancellation of exercise
Warrant
Securities payment settlement
Add the entrusted quantity of the original exercise entrustment
Add Entrusted Quantity * Exercise Proportion * Exercise Price
Cash settlement
Add the entrusted quantity of the original exercise entrustment
put warrants
Securities payment settlement
Add the entrusted quantity of the original exercise entrustment
Add the entrusted quantity of original exercise entrustment * exercise proportion
Cash settlement
Add the entrusted quantity of the original exercise entrustment
In addition, for the exercise declaration not in the exercise period, the Exchange's trading host will automatically cancel such exercise declaration, and the reason for cancellation in the transaction return of automatic cancellation is described as "no exercise".
8、 Relevant regulations on warrant exercise fees
China Securities Depository and Clearing Corporation Limited will charge investors the following fees for the warrant exercise business:
Charging party
Charging object
Pay Service
Charging standard
remarks
Clearing company
investor
Transfer fee of exercise subject securities
Nominal value 0.5 ‰
For the transfer of shares between the investor and the issuer caused by the exercise of warrants, only the transfer fee is charged to the investor.
Shenzhen Stock Exchange
August 24, 2006
