Questions tagged [warrant]

A warrant is an option on a stock issued by that stock company. Warrants are often issued attached to bonds (with the warrant expiring on the bond's maturity date). When a warrant is exercised, new shares are issued. This dilutes current shareholders and is often used to pay back the bondholders from the warrant issuance.

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Can “Turbo warrants” be priced using the Black & Scholes model?

I am trying to model the pricing of an asset called a "Turbo warrant", which to me looks a lot like a Down-and-Out Barrier option with leverage. When the price of the underlying asset hits a ...
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When did the first exchange-traded warrants appear?

Exchange-traded options appeared after the Chicago Board Options Exchange (CBOE) opened in 1973. But what about exchange-traded stock warrants? From what I have surmised from reading, exchange-traded ...
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2answers
407 views

What can I do with AIG+

Got the following notice. What Can I do with AIG+ WARRANT I have? What will happen on 01/12/2021? What will happen on 01/14/2021? Will I get $45.088365 PER WARRANT ? What will happen If I do not sell ...
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0answers
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Is a warrant with the same strike price and maturity as the corresponding call option priced in the same way as the call option?

Is a warrant with the same strike price and maturity as the corresponding call option priced in the same way as the call option? Suppose I find a strike X warrant with T years to expiry and a call ...
11
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3answers
485 views

Difference between a warrant and an option?

What is the difference between a warrant and an option on a stock? Apparently both represent the same right to receive a share of stock at the strike.