You need index to drop 200 points to breakeven... now year end.. all the big fish will prop up the index for year end closing... maybe wait next year only see lo.. but for market to drop to MYR 1,461.50 for breakeven price.. a bit hard.. maybe 1500++ range possible la..

Hi, I'm new to this structured put warrant. Want to ask the following questions:

1) What is the exercise price? Is it the index point or a share price? cause it says RM1500 for FBMKLCI-H5.

2) For put warrant to make money, the current index point must go below the exercise price?

3) What is the maximum losses you can incur for Put warrant upon expiry if it doesn't reach the exercise price to breakeven? Will the warrant become useless and total loss or do they give you back the listing price?

4) If the index is below the exercise price when it expires, will the bank automatically pay out the money or do we need to call broker and exercise it?