# What are Warrants?



## Lucstar (12 October 2004)

Could someone, in simple terms, explain  to me what warrants exactly are? thanks


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## RichKid (12 October 2004)

I'm not the best person for simple explanations as I'm new to stocks too but the best thing to do is to go to the ASX site and look up their investor education booklet on warrants- they'll even post you one for free if you email them. It's called 'getting started in warrants' or something like that. There are many different types of warrants, some are indistinguishable from options.

I noted your other posts in HDR, sorry I couldn't be more helpful, what I do when I'm in your situation is to go through all the stuff on the web (including this forum) and the books I can find on topic. Starting a thread like this is great too!

 There's lots out there, be patient and remember that there will always be opportunities. Even if the market falls overall you can still make money. If in doubt about entering a trade, I don't enter it. That way you can't lose money, so remember to protect your capital. In the end you'll come up with a framework for trading.

Start with paper trading (mentioned elsewhere in these forums), GreatPig does some paper trading so you could ask him for tips if you like, I'm sure he'll be glad to help.


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