Warrants - Interesting reply from SEQ

[CE]

I asked why the matrix and the actual bids and offers differ on FSRSBY, this was the reply: Please note, with warrants if a warrant drops below R0.10 then the market maker is no longer making the market. Those are individual people making their own prices.

[cfm]

That is standard for most issuers. The issuer will buy the warrant back at the matrix price, but will no make an offer. This means that the offers may be higher than fair value.

[Tango]

don't trade ***** warrants. This one is out the money, low delta, high decay, no market-maker, wide spread etc etc. Stay away from anything below 20c, and preferably trade warrants at 35c+ if you can.

[Tango]

don't trade ***** warrants. This one is out the money, low delta, high decay, no market-maker, wide spread etc etc. Stay away from anything below 20c, and preferably trade warrants at 35c+ if you can.

[CE]

Agree - I was only wondering why that was the case.....I have a monster watchlist on a second screen on my desk with live prices.