I bought H5 at 0.015 and 0.02 just for fun. I don't think C12 going to survive after CNY
I don't think KLSE I heading 1700. I think we are seeing major correction after CNY When KLSE touch 1500 last year, oil price is still above USD50/barrel Now oil price might correct to USD20/barrel if OPEC and non OPEC both not talking. Even now oil price at USD35/barrel, KLSE shouldn't trade at above 1600. We can bank on value cap to keep our market floating, but I am banking major correction soon. In fact, world wide already in correction after New Year, DJI drop from 18000 to 16000. Shang hai index already trigger the circuit breaker 2x after new year. But yet, KLSE maintain 1650-1700 just like before new year. No correction yet. I think it is just being kept afloat by temporary foreign fund and maybe valuecap. So, finger cross, I think correction after CNY. If I am wrong, then its also good news that we can continue to stay invested in potential good stocks
Angielim, this is a cash-settled call warrant and cannot be converted. It means that on the maturity date which is 31-3-2016 the value of the warrant will be calculated using the exercise level of 1520 and ratio of 700:1 and you will be paid the computed amount in cash.
Popcorn can help abit ? please I just bought this warrant. If on maturity date I didn't convert my warrant through exercise price. What will happen to my warrant. Is it can be no value at all? Or Bursa still will give me back a mininum amount of my share ? . Sorry I first time buy warrant.
If it expired below the exercise price, you lose everything. The bank that issue the warrant will only pay if the exercise level is above the FKLI index. C12 strike value is 1520 with ratio of 700:1 NOw FKLI is 1634, so 1634-1520 = 114 / 700 = 0.162 0.162*no of warrants = bank pay you back the money.
As of now, C12 is still ITM (in the money) but personally, I don't think the market favours Call warrant for now
kakashi : thanks a lot kakashi I understand you explanation. very clear , seem most of the time we will rugi if base on exercise price C12 strike value is 1520 with ratio of 700:1 NOw FKLI is 1634, so 1634-1520 = 114 / 700 = 0.162 0.162*no of warrants = bank pay you back the money
0.162 vs 0.175 .
seem proceed exercise price much lower than actual price , I better sell it now
Look like the fbmklci index may test 1,600 next week. If able to sustain, then can consider buy. Now buy too risky. Better avoid first, expiry date of this warrant is 31.3.16, pls take note
Hello Angie, Yup, most of the time you don't get your money back especially if the maturity date is approaching. And this warrants are issued by banks. It is safer to buy warrants issued by the respective company, then not so speculative. Banks will not want to pay you a dime, so a lot of speculation to push down the warrant price and force you to sell or go below the strike price.
Wow !! Hang Seng index !! regional collapse ! Nikkei kena, now hang seng. KLSE next week will kena big time
Angie, today C12 rises. Hopefully you are not too angry over it because we cant really predict day to day movement.
Playing index warrants are very stressful and risky. It is something that is very taxing. I am also undergoing that right now. No easy money. The best way is to invest in good growth company.
I did not research on Berjaya group, so cant really comment much except that this Vincent Tan quite like goreng stock. Nonetheless, cant help you much on this.
Because my remiser also cannot answer my question, my remiser claim she also dun know ? my question is if after the maturity date and I did not sell this call warrant to market but kl index above Exercise Price :MYR 1,520.00.
then I sure will get paid by cash because Index above Exercise level :MYR 1,520.00 But I wonder the cash will automatically cash in by the Issuer( CIMB bank )or I need to refer to my respective remiser ask them to help me to process ?
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....
meiling1990
457 posts
Posted by meiling1990 > 2016-02-04 11:04 | Report Abuse
FBMKLCI-H5 price is cheap compare with H7