Hi Simon or any other intelligent soul out there. Please explain the how the time decay works e.g. If a warrants closing price is say 20c and the weekly time decay is 5%, it will decay by 1c for that day, so the next day it's value will be 19c (all other variables being the same), if the weekly time decay is 5% still, will the warrant then lose 0.95c that day? How often is the time decay % adjusted and to what value does it apply to? Thanks.....need weekend now!!!
tiem decay is presented as a weekly percentage but it is adjusted daily. That said on a 20c warrant the daily time decay will be lost in the runding, so the effect will be once a week or so (depending on the weekly percentage).