yesterday, i win play CA, now paper loss.... Haih, this time cimb call warrant tak jadi due to several reason. first, the operator for this call warrant seems so weak. second, over confidence of public. third most of player i think were trapped in dsonic-ca previously, so people are afraid to enter call warrant again. aiya, ingat yesterday average price is 0.27, so, think good price enter 0.23 early morning coz see mother up till 3.50. tunggu tengok esok lan, coz mother is still green...
I'm also holding paper lost for CA now. Why want to cut lost? Take my case of buy 24 cents, meaning 24 cents x 4 = 96 cents, then add the strike price RM3.18 will only equal to RM4.14 for mother. Meaning, if the mother hit RM4.14 by next of April 2015, I still get my money back instead of cutting lost RM8000 like our fren there. Eh, please lah check Karex 6 months chart, do u think Karex won't grow by 87 cents in a year time? Dun get panic & let the shark take advantage on u lah. If it drop, then just hold, as long as the mother is on up trend, what to worry?
convert later. it happen today because some of us think that it may end up like dsonic. but there are differences between those two. first, dsonic fly so much WITHOUT reliable factor, then split, when was about peak, then come call warrant and people chasing it without realizing that it is super over value. and the mother drop quite big, so the warrant adjusted accordingly. in our karex case, the mother maintain upside, just wondering why the warrant didnt follow. Second, still on my judgement as i think i always play call warrant, i take into consideration which broker produce the call warrant. normally i believe in cimb call warrant, here are my view on call warrant from famous 4 broker. 1.cimb, 2. maybank, 3. rhb (previously osk, since i never see rhb call warrant before), 4. ambank. dsonic-ca was ambank, karex-ca was cimb. just my little observation...
there is suppose one two sentences befor my post 17.20 p.m. i agree with tekken, the call warrant suppose like that, mother green, so does the son, just I don’t know why it is become this weak. that is why, if you are going to play call warrant, you should take into account the money involve if you cannot sold before t4, and also then the money to convert later if it happen losses or still cannot satisfy your breakeven or profit. i also agree with our friend above "Why want to cut lost? Take my case of buy 24 cents, meaning 24 cents x 4 = 96 cents, then add the strike price RM3.18 will only equal to RM4.14 for mother", that mean we have to convert later.
Karex still a newly establish company, din go through any bonus 1:1 nor share split. The company business still growing, factory still under construction. PE 28X is normal, I would hold this counter for few months. Chances r high for the share price to surge, in December it manage to surge from RM3 to RM4+. I'm not playing contra or using my T+3. I'm using my pocket money to invest in Karex because I believe in it. =)
ChunJui Lee, that's 1:2 bonus issue, Dsonic also gave 1:2 bonus issue last year. Check the graph, normal the price will eventually surge pass the price before it. If Karex fall, I rather lose all my money than loses part of my money to the shark. =)
ysfong, bcos the ppl panic. Temporary the warrants price will b like tat, take time to recover. As u can see, ChunJui Lee already mentioned that Karex anytime can shoot pass RM3.90. So, u definitely will gain double in a year if Karex can hit more than RM5. http://karex.irplc.com/investor-relations.html See all the news there, they r talking double, triple or even more times of the production in 2015. This company still growing, instead of cut lost now, y not trying to hold until next year. Perhaps Karex will repeat history again by end of this year? Hahax~
i can tell you guys this counter is not a specular counter, is for mid or long term invesment (means at lest a quarter), low voloum, no buyer, and a litter bit of saler is his Character, every time he hit new highest, he will drop 10%. so base on 3.50 he might go down to 3.0 again. good luck
anyway i love Karex this is my most lovely counter...
fpc, If you don't bliff, u can ask your remisier. warrant will dilute company's share volume but structure warrant will not. basically call warrant is a bet you place with the issuer a.k.a the underwriter. If upon maturity, you have the choice to convert to mother share. The bank have to sell u the mother share at the exercise price if u decide to the CA. If the bank have the mother share then they can sell to u but if not they have to buy and sell it to u. it is their obligation to do that if u decide to exercise. that is why towards the end of maturity period, the price will normally converges.
Think it logical, how can there is conversion ratio, expiry date n so on? You should learn from true sources and more experience person. Like gogo said,you can straightly ask your dealer or remisier, if susah sgt, change dealer or remisier or broker. You shoulnt learn from someone who cannot give fair judgement. Some of them maybe a bit long in the industry, but maybe they are emotional trader. Investing/trading,not so easy but not also that hard. Dont easily give your money to market. Do a bit research, ask what,why,when, where and how.... for existing trader or investor, dont throw your failure to market, it will hamper the stock market development... learn also, till you can make sound judgement, ask people around you,,they might know something...
@azfar8 this karex has to wake up.. especially son but hey its only day 2, you dont seem like a speculator to me so you will be fine if it's for long term :)
Ya la lee... i keep that in mind also. And i dont worry so much because first day market average is 0.27, 2nd day is around 0.21, so no need to worry. Mother also seem like to advance some more because news still didnt came out. :)
European style is not allowed to convert, has to wait until maturity & calculate the settlement fee. You will get a settlement fee, if the fee that you receive is lesser than your cost, meaning that you are suffering losses.
When the mother share pay dividend(s) before the maturity date, the mother share's price will be adjusted the conversion price of CW is not and will not be adjusted.
Also, longer maturity date could be a disadvantage for the holders of CW.
That is why issuers/underwriters always pick on companies that give regular dividends to issue CW, and the maturity dates would most likely after the ex date of dividend payment.
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This book is the result of the author's many years of experience and observation throughout his 26 years in the stockbroking industry. It was written for general public to learn to invest based on facts and not on fantasies or hearsay....
Engliishtea
16 posts
Posted by Engliishtea > 2014-04-15 16:02 | Report Abuse
I buy Karex better. Lose everything in Inari and Dsonic