Stock Market PILIPINAS: Empowering the Filipino Investors

Full Version: Warrants
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Gurus,

paki explain naman po ng warrants. medyo matagal na akong naginvest pero newbie pa rin in terms of knowledge sa stockmarket. nagsubscribed po kasi ako sa meg warrants. di ko naman alam kung para ba talaga saan yun. at ano ang dapat gawin dun. megw1 po yung code nya sa portfolio ko. ibebenta ba sya na parang regular stocks din o what? nagsubok akong magresearch online. di pa rin ako nalinawan.

salamat po
Yung main concept ng warrant ay parang "call option", wherein you have the right to buy 1 stock of MEG at Php1.00 during "exercise date". Habang hindi pa exercise date, pwedeng i-trade yan just like any other stock (buy & sell).

I believe there is a certain time period kung kelan pwede mag-start i-exercise ang warrants (kung gusto ng holder). Meron yan expiration date, so kapag lagpas na doon, wala nang silbi yung hawak mong warrant (in the case when MEG prices will still be below piso, then there would be no reason for you to use it anymore).

Bale kelangan mo i-exercise ang 1 warrant + (pay)Php1.00 = 1 new MEG share. New shares are created; thus, if in the case all available warrants will be exercised, this will have some dilutive effect to other shareholders.
(03-07-2012, 02:45 AM)scion_cho Wrote: [ -> ]Yung main concept ng warrant ay parang "call option", wherein you have the right to buy 1 stock of MEG at Php1.00 during "exercise date". Habang hindi pa exercise date, pwedeng i-trade yan just like any other stock (buy & sell).

I believe there is a certain time period kung kelan pwede mag-start i-exercise ang warrants (kung gusto ng holder). Meron yan expiration date, so kapag lagpas na doon, wala nang silbi yung hawak mong warrant (in the case when MEG prices will still be below piso, then there would be no reason for you to use it anymore).

Bale kelangan mo i-exercise ang 1 warrant + (pay)Php1.00 = 1 new MEG share. New shares are created; thus, if in the case all available warrants will be exercised, this will have some dilutive effect to other shareholders.

maraming salamat...