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9 comment(s). Last comment by Raymond Tiruchelvam 2013-08-05 14:51

annie24

188 posts

Posted by annie24 > 2013-08-02 11:36 | Report Abuse

Thank you for such a detailed explanation OTB.
Best Regards,

jtpc2006

984 posts

Posted by jtpc2006 > 2013-08-02 14:24 | Report Abuse

bro OTB, this is very clear and easy for us ordinary people to understand the calculation of the warrant premium. thanks.

minshome

240 posts

Posted by minshome > 2013-08-02 14:42 | Report Abuse

how abt if premium > 20% but expiry still have 5 yrs? What does it means then? I am newbie.

pathew

2,028 posts

Posted by pathew > 2013-08-02 14:47 | Report Abuse

OTB, in that case, likewise, the Mother share has a +/- 28sen gain based on estimated TP of 90sen for WA?

Ooi Teik Bee

11,046 posts

Posted by Ooi Teik Bee > 2013-08-02 14:47 | Report Abuse

Please do not buy if premium is > 20%. It means warrant is overpriced.

Thank you.
Ooi

Ooi Teik Bee

11,046 posts

Posted by Ooi Teik Bee > 2013-08-02 14:50 | Report Abuse

Target price for Puntech is 1.35 and Warrant is 0.90. I recommend to buy Pantech-WA but not Pantech (mother).

Thank you.
Ooi

Posted by Raymond Tiruchelvam > 2013-08-05 14:51 | Report Abuse

my question... why buy a warrant when its at a premium even if its 1%? Shouldn't we just seek out warrants trading at discount, or better seek out mother shares with good prospects moving forward? Or is this valuation technique purely for warrant traders?

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