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Online Share Trading

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How do you calculate the value of your warrant

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Contributor
Suppose one Joe 50000 warrants at say 50cents each and the strike price is R100. Joe keeps the warrants until expiry. On the day of expiry the share is trading at R120. Will Joe make money. If so how much? If not how much does he lose? Please help.
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5 REPLIES 5
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Valued Contributor
value for a call at expiry is strike less spot divided by cover ratio ..
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Not applicable
Makes a profit as ends above strike. Take R20 divided by the conversion ratio is his profit ;-)
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Valued Contributor
well no, depends at what price they paid .. on above example if cover was 100, then they paid 50c and got 20c ..
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Contributor
I am confused. Also your formula is different from Spot1's reply. Can you calculate this one for me. Then I will know what to do in future. Please
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Not applicable
ignore mine. I thought you paid R100. I read it wrong.
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