Australian (ASX) Stock Market Forum

How to recognize a good warrant

Fab

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I am new to warrant and currently hold few pdnwmc which are doing ok for me nevertheless my knowledge of them is very limited. Can someone explain to me what to look for in a warrant and how to trade them. I understand this is a very risky tool
 
Fab said:
I am new to warrant and currently hold few pdnwmc which are doing ok for me nevertheless my knowledge of them is very limited. Can someone explain to me what to look for in a warrant and how to trade them. I understand this is a very risky tool

Fab

Learn to understand options and you'll be 99% towards understanding warrants ;)
 
Fab said:
I am new to warrant and currently hold few pdnwmc which are doing ok for me nevertheless my knowledge of them is very limited. Can someone explain to me what to look for in a warrant and how to trade them. I understand this is a very risky tool

Hi Fab,

There is some excellent discussion and material posted in this forum on that exact point, use the search tool to bring up the resources, use keywords and phrases that interest you. The ASX can send you a warrants booklet, good starting point: www.asx.com.au

All the best,
Rich
 
Snap hehehe.

Yeah thats a good place to start... where Richkid said ;)
 
If you are new to warrants, be careful of barrier warrants (I think also called turbo warrants) which disappear along with your money if the strike price is touched. If your not sure how barrier warrants work and how to value them, then stay away.
 
markrmau said:
If you are new to warrants, be careful of barrier warrants (I think also called turbo warrants) which disappear along with your money if the strike price is touched. If your not sure how barrier warrants work and how to value them, then stay away.

Actually that advice applies to any trading instrument.

cheers,
Chemist
 
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