Warrants
WHAT ARE WARRANTS?
An option issued in the form of a security, usually written for a longer term. A warrant has the same function as an option: it provides the right to buy a specific amount of the underlying securities or shares, but is itself tradeable. Warrants are available in a range of types: a debt warrant is exercisable into a debt security, such as a bond or a note; an equity warrant is a warrant exercisable into an equity (share); a killer warrant, when exercised, automatically calls for the redemption of the security for which it was originally issued; a naked warrant is a debt warrant issued alone without a host (underlying) bond or security; and a wedding warrant is a structure of debt warrant attached to a host bond that protects the issuer from the potential doubling up of debt should the warrant be exercised. The warrants can only be exercised during the early part of their life into virgin bonds by tendering them along with the original callable bond.
If you are interested in lowering your warrants commissions, please email us with your name and telephone number and one of our consultants will be in touch with you within 24 hours to discuss the commission levels and cost savings that we can offer you.