Harta C41 and Harta C44 currently trades at an unjustified low premium compared other call warrants.
This occurs due to the issuer investment bank's inventory clearing system via its bid and sell trades as market making.
During the market making process, the issuer investment bank queues at system computed implied premium to clear off all inventories.
For Harta C41 and Harta C44, the inventories are very close to be cleared off soon, upon clearing off, the premium may rise that will be an arbitrage opportunity.
At current premium, both call warrants are not updated with the new implied market making premium price, thus the system consistently buy and sells at a lower premium.
The premium will rise as more inventories are cleared off. In short, the more active the trade, the faster the inventories will be cleared off.
Created by PelhamBlackFund | Jul 03, 2020
Created by PelhamBlackFund | Jun 26, 2020
Created by PelhamBlackFund | Jun 24, 2020
Created by PelhamBlackFund | Jun 12, 2020