Data:2009-12-12 2:34
Category: Money tips Release Date: 2006-10-13
Many investors trade in securities, such as an investment habit, that is, hold-up, after waiting for some sort of relief will no longer operate, or continue to cover their short positions. This strategy investing in warrants is very taboo, because the stock as long as no delisting, there is always hope for some sort of relief, while the warrants have a time-sensitive, and have a maturity date, the sort of relief there is no hope. After all, speculative property with warrants, if the deviation from the corresponding stock prices over the stool at risk.
Therefore, Baosteel will determine if the investor or callback sideways for some time, it should sell the Baoshan Iron and Steel warrants, etc. after the purchase is completed to determine the callback order Baosteel warrants, it can avoid the unnecessary loss of time value, even if the hold-up is also should promptly stop.
If the warrant investor to determine the time remaining within the price of warrants into the probability is extremely small, in general it should be sold as soon as possible warrants, so as not to be losing the time value, of course, the value of time warrants a lower risk appetite investors can also take advantage of this when the high leverage, to get the underlying stock price soared (or fall) in earnings.
