Data:2009-12-12 2:34
Category: Money Tips Date: 2007-03-29
We already know that under the exercise of the right direction (the right to buy assets or the right to sell the assets), warrants can be divided into warrants (CallWarrants) and put warrants (PutWarrants), in fact there are many warrants the classification criteria, based on these Categories also formed various types of warrants, for example: According to the different exercise period, warrants can be divided into American-style warrant (AmericanStyleWarrants) and the European Warrants (EuropeanStyleWarrants), American-style warrant holders may expire in any one transaction before on the exercise of
According to the different underlying assets, warrants can be divided into equity warrants, bonds, warrants, currency warrants and index warrants.
The right of way line of delivery according to different types Warrants Warrants can be divided into in-kind payments (DeliverableWarrants) and the cash settlement based Warrants (Cash-settledWarrants) categories. In-kind payment type of delivery is based on the physical transfer of warrants settlement mode; while cash-settled based warrants are warrants issued by those who deliver cash to the holder of the right to deliver cash equal to the price line and the underlying asset price on the price difference. Stock warrants, bonds, warrants and foreign currency warrants may be paid in kind and cash settlement in two ways, while the index warrants for easy delivery of in-kind, usually limited to the implementation of the cash settlement.
According to a different issuer, warrants can be divided into equity warrants (EquityWarrants) and covered warrants (CoveredWarrants) (also known as derivative warrants (DerivativeWarrants)) categories. Equity warrants and covered warrants the biggest difference is that equity warrants issued by listed companies, while the covered warrants by the securities companies and other financial institutions, issued. China's mainland stock market has witnessed the emergence of Baoan warrants and allotment warrants to turn allotment of equity warrants are warrants Dengjun. Covered warrants are not recognized by the stock against the newly issued shares, but has been circulated in the market shares. Issuers of covered warrants is not the behavior of listed companies will not increase the shares of the company's share capital. While the equity warrants of the older, but in today's overseas warrants market, accounting for the absolute dominant position is covered warrants, covered warrants listed on more than four-fifths of the total number of warrants to China's Hong Kong and Taiwan, for example, by the end of March 2005, the number of the Hong Kong market a total of 900 warrants, covered warrants there are 867, the number of covered warrants market share 96% of the total warrants, and warrants traded on the Taiwan Stock Exchange are all covered warrants. (Huang Wenqing)
