i have some question regarding call warrant with cash settlement

1) Let say i want to exercise the warrant, i should apply it through my stock broker or the Issuer of the warrant (such as CIMB investment bank)

2) The issuer (CIMB investment bank) will pay me?

3) The mother share price will be base on the closing price of the same day i file the exercise?

4) Between my application for exercise and Issuer (CIMB) execute the application, is there any time lag? For example, if i exercise on monday, when i will know how much i made from the exercise? (Or i already know when i exercise it on monday?)


Thanks in advance.

1) You cannot exercise call warrant.
Call warrant will be settled/"exercised" only on maturity date.

2) Yes if the call warrant still in money.

3) Exercise price is based on average closing price of 5 last trading day (generally)

got a noob question here..lets say i am working and i cant monitor the share market 24/7, so i put a stop loss at a share in my online trading account at 1.50. but currently the share price is 2.00.Can other ppl buy my share at 1.50 even if the price is 2.00???becoz i just lost some share due to this..thx!!!!

I don't know any of the broker have the stop facility. I think non of them have.
You have to do your own monitoring or get your remiser to monitor it for you.
Make sure your remiser understand what you want.

nono..i mean i am using my own online trading account..lets say if i queue at 1.50, but the price is at 2.00 and never dropped to 1.50 level, can others buy my share at 1.50 EVEN if the price is 2.00??are they allowed?

How can you Q at 1.50, when market price is 2.00?

Your order will be straight away executed if you key in at 1.50 at the best/closer buyer price.

There is no stop loss mechanism in all online trading portal in Malaysia as far as I know.

I think you have accidentally sold your shares at a cheap price... , if you have key in 'sell' at 1.50. Check your settlement records.

This post has been edited by gark: Apr 12 2011, 03:27 PM

if u offer to sell your share at 1.50 even when the best buy price is 2.00, yes, the system will accept it.

http://www.investopedia.com/terms/s/stop-lossorder.asp
that's a stop loss order
dont think you can do it at the share market at the moment, however you can place a stop loss order if you are trading futures

oic..just started using online account..thx ya..got another ques here..is there a difference between -WA and -CA/-CB etc???all are warrants right??

hmm,
perhaps we should sticky a basic FAQ about WA, CA, LA, JA. or is there already a sticky..

yes all are underlying warrants but different traits/properties. WA is company warrant, CA is call warrant issued by IBs. different expiry dates, different risk/volatility appetites.

WA needs to be converted at expiry if not = burn
CW is cash-settled at expiry

CW trades more aggressively than WA. Moreover if the market is bad, CWs will be the first to burn.

thx dude..any idea where can i get more information on this?and any recommendation on books to read in trading warrants?

and the stock latest price should be 1.50 right ?

just got the statement..apparently u wont't lose your stock at 1.50..they will still sell it but at the lowest price they match eg.1.90..mine is with ecmmoney..not sure about others..

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Added on April 14, 2011, 3:13 pmany idea where can i get historical p/e ratio of companies in klse??cant find any reliable sites..thx,...

This post has been edited by bleachzrockz: Apr 14 2011, 03:13 PM

hm, no.
their are some basics in the forum here. but it's scattered elsewhere, not sure whether the search function will bring it up or not.

anyway, i don't believe in reading books. never read a single book teaching me about investment. always a believer of if 'they're so good, why're they writing a book?'

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Added on April 15, 2011, 6:44 amhum.. as far as i understand i think the system will accept it, price it with the best buy, and price transacted will be at best buy. - so rm2.

This post has been edited by teehk_tee: Apr 15 2011, 06:44 AM

any idea where can i get historical p/e ratio of companies in klse??also on the buying and selling of funds....cant find any reliable sites..thx,...

Go buy the book 'Stock Performance Guide' by Dynaquest RM 70 or join online resources like Capital IQ.

any quick formula to calculate how much profit after minus the brokeage for buy sell..

i mean if the stock goes up 5 sen, how many sen is for the brokage and other charge?

I use this Formula
G: Quantity
D: Buying price
F: Selling Price
Total Buying price=((G*D)*(1+0.00549))
Total Selling price= ((G*F)*(1-0.00549))

The formula is almost ok if brokerage 0.42%
and you are not on the minimum brokerage charge.
I hope it help.

den
Total Buying price=((G*D)*(1+0.00549))
Total Selling price= ((G*F)*(1-0.00549))

total selling price - total buying price is de profit or loss rite?