Strike price. Warrant price. What do they mean? and the relationship between them

Subscription Price (Strike Price) The Subscription Price is set by the issuer at the time of issuance of warrants, and the warrant holder subscribes to the issuer when exercising its rights. Warrants are made up of two parts: intrinsic value and time value. When the underlying stock price (the market price of the indicator) is higher than the call price, the intrinsic value is the difference between the two; And when the underlying stock price is lower than the call price, the intrinsic value is zero.

However, if the warrant has not yet expired, the underlying stock price may still be higher than the warrant price, so the warrant still has market value, which is the time value. Exercise Price The exercise price is agreed upon when the issuer issues the warrant, and the holder of the warrant purchases it from the issuer or the subject matter.

Call warrant premium rate = (call warrant** exercise ratio + exercise ** - underlying ****) underlying ** price 100% put warrant premium rate = (put warrant** exercise ratio + underlying **** - exercise**) underlying **** 100%.

Not for the time being, because the current warrants are a VAM between non-tradable shareholders and warrant holders. If the call warrant is exercised, then the non-tradable shareholders will have to sell their **as specified** to the warrant holder. If the put warrant is exercised, it is also at the non-tradable shareholder's own expense** in their hands.

But in the future, when a warrant is issued by a company, the exercise will dilute the value of **. Because at that time, it was a VAM between the company and the warrant holders.

Summary. The exercise of a growth option** is the amount required to form an investment in the underlying asset. The exercise of an exit option is the value of the underlying asset at the time of future exercise, or the value of the underlying asset at the time of exercise if it can be converted.

Hello, I am a cooperative lawyer who consulted, I have received your question, and the current consultation person is more than Haha Please wait for 2 minutes, I am helping you solve the problem.

The exercise consideration is the exercise price, dear

Exercise** refers to the amount paid or received by the relevant party of the economic act when exercising the option. It refers to the purchase or **subject matter of the issuer by the holder of the warrant from the issuer when the issuer issues the warrants.

The exercise of a growth option is the amount of money required to form an investment in the underlying asset. The exercise code of an exit option is the value of the underlying asset at the time of the exercise delay in the future, or the value of the underlying asset at the time of exercise if it can be converted to another purpose.

In the practice of assessment, the assessment can be based on the company's development strategy, investment planning, and historical experience data of the parties whose economic behavior has been destroyed, and combined with its own judgment to determine the exercise of rights**.

The exercise price refers to the purchase or target purchase by the warrant holder from the issuer when the issuer issues the warrant in the option. In general, the exercise of a growth option** is the amount of money required to form an investment in the underlying asset. The exercise of an exit option is the value of the underlying asset at the time of future exercise, or the value of the underlying asset at the time of exercise if it can be converted.

The exercise price is a negotiative **, which is actually determined by the parties to the transaction on the basis of the company's development strategy, investment planning and economic behavior, combined with their own judgment. In addition, the lower the strike price, the higher the ** of the call option; The higher the strike price, the lower the ** of the call option, and the two show an inverse relationship. These changes are mainly due to the intrinsic value of the option.

1. How to buy stock index options.

Investors who want to buy stock index options need to open a stock index account. Investors can open an account in ** company and ** company, as long as the account opening conditions are met, they can handle related business. After the ** account is opened, investors can use this account to trade the corresponding stock index options.

In the investment market, the generation of stock index options can facilitate investors to carry out more flexible and refined risk management. Trading stock index options is to judge the rise and fall of the stock index, and to achieve the purpose of earning income by paying a fixed **. A stock index option is the right to buy or sell an underlying asset based on a stock index.

Second, how to operate compound interest.

Compound interest can earn a lot of profits, which is simply the compound growth. Therefore, for an investment, it is normal to want to get compound interest, but not every investor can get compound interest rights. Compound interest is an important means of accumulating wealth and penetrating wealth, and it is also possible for users to make profits in this way after investing.

If you want to compound interest operation, investors can choose long-term operation compound interest, ** operation compound interest and diversification investment, no matter what operation method the investor chooses, first of all, the investor needs to hold a high-quality stock. As a value investment, you should choose such stocks to buy.

Harajuku is saying that you can exercise your right ** option, that is, when they issue it, there is an option price, and then you can buy ** or sell ** according to this ** at that time, this is your right.

What does co-lender mean.

In the trading market, the presence of every indicator is very important. For investors to reap the rewards, it is important to take the time to analyze the metrics. An option is a contractual transaction in which there is a buyer and a seller.

Most users understand that when an investor exercises an option, the option exercise is only interesting if the option is truly valuable.

The occurrence of anything is the main reason, and **is no exception**, and the main reason that affects ** is the main force. Because if there is no main force, there will be no ups and downs. No matter how good the concept of the theme is, it is empty talk without the participation of the power of the theme.

In the market, you have to understand what execution means exercising. Exercise is a pre-agreed validity period in the warrant by the holder of the warrant, and the issuer of the warrant is required to fulfill its commitments. In an option plan, the purchase of an option is usually the market or discount of the option on the grant date.

"Date of grant" means the date on which the employees of the company have such rights.

The exercise of an option refers to the point in time and transaction at which the buyer and the seller complete the transaction during the exercise of the option and the performance of the contract. Execution is determined by the exchange, which has its own execution for each option contract. Exercise means that the buyer (right) of the option contract requires the seller (obligation) to perform the obligation under the option at the agreed time, ** and manner.

Typically, the exercise** is agreed upon in advance by the buyer and seller of the option. It doesn't change until the option expires. At the level, this ** is agreed upon by both the buyer and the seller, that is, to go to the right money.

At present, the buyer can choose to waive the exercise of the right according to the market environment, but once the buyer exercises the right, the seller must perform the contract.

The exercise of an option is to be paid for the purchase or future of the underlying asset, and can be set at a valuation of 40% to 60% of the company's most recent round of financing. The exercise** and the underlying asset** constitute the intrinsic value of the option, and the exercise** is determined at the time the option is listed. In other words, it refers to an action in which the holder of the warrant requests the issuer of the warrant to fulfill its commitment within the validity period agreed upon in advance of the warrant.

It refers to the expiration date specified in advance in the warrant, and it is also necessary to fulfill the commitment to the issuer. Refers to the point in time and transaction ** between the buyer and the seller in the course of the transaction.

The meaning of this word is the right to buy and sell freely within a period of time, generally buying a house needs to pay a certain amount to the seller, and then obtain the right to drive, generally different companies, different **** is completely different.

**Target**. It is the selling price, which needs to be determined by people according to the changes in the market.

It's a kind of ** price. According to the situation of **** and **, the ** of this strike price is not the same.

Exercise** refers to the amount paid or received by the party involved in the economic action when exercising. The exercise of a growth option** is the amount required to form an investment in the underlying asset. The exercise of an exit option is the value of the underlying asset at the time of future exercise, or the value of the underlying asset at the time of exercise if it can be converted.

In option pricing, the two basic components of an option's value are: intrinsic value and time value. Option pricing, intrinsic value, also known as intrinsic value, is the benefit that the option holder realizes by exercising the option rather than buying it outright.

Option refers to the right that can be bought and sold in a certain period of time in the future, and is the right of the buyer to pay a certain amount of money (referring to the premium) to the seller in the future for a certain period of time (referring to American options) or at a specific date in the future (referring to European options) to purchase or ** a certain amount of specific underlying goods from the seller in a predetermined ** (referring to the performance **), but does not have the obligation to buy or sell.

Options trading is in fact a trading of such rights. The buyer has the right to enforce and the right not to execute, and can choose flexibly. Options are divided into OTC and OTC options. OTC options transactions are generally entered into by both parties to the transaction.

The exercise of the right is time-limited and is exercised within a specified period of time (the exercise period), neither before nor after the exercise period. In particular, if the exercise is overdue, the warrants that have not been exercised will be cancelled after expiration, and the warrants will have no value. Generally speaking, the exercise period of the warrant can be found in the listing announcement of the warrant.

Exercise ** means that the date of expiration of the warrant can be specified in the prescribed **** or sell provision**.

The significance of exercise**: Exercise is closely related to warrants, and exercise is dependent on warrants. For put warrants, when the exercise ** is higher than the exercise period, the warrant has intrinsic value; For call warrants, when the exercise ** is lower than ****, the warrant has intrinsic value.

Exercise is closely related to warrants, and exercise is dependent on warrants. For put warrants, when the exercise ** is higher than the exercise period, the warrant has intrinsic value; For call warrants, when the exercise ** is lower than ****, the warrant has intrinsic value. Therefore, exercise ** has become an important yardstick for pricing warrants, and the formula is call warrant ** = expiration **** - exercise **, put warrant ** = exercise ** - expiration ****.

The lower the strike price, the higher the ** of the call option; The higher the strike price, the lower the ** of the call option, and the two show an inverse relationship. The reason is very simple, the current ** of the underlying asset remains unchanged at 100 yuan, and the lower the exercise price, the higher the exercise value of the call option; The higher the strike price, the lower the strike value of the call option.

Exercise**: also known as the exercise price, refers to the purchase or target purchase by the holder of the warrant from the issuer when the issuer issues the warrant.

Exercise** means that after the expiration date of the warrant shares you hold, you will buy back the underlying shares of the warrant according to the given travel rights**! If you have 100 shares of China Southern Airlines warrants, after they expire, you can buy 100 A shares of China Southern Airlines according to the exercise ** given by China Southern Airlines! The exercise ** given will generally be lower than the positive ** price!

If you do not exercise the option within the exercise period, your warrant will be invalid! This becomes 0!!Please be cautious about speculating warrants!

That's it, understood?

It is the exercise of the option contract**.

For example, if the exercise of a call option is $5, you have the right to subscribe for a certain percentage of the ** at the expiration of $5.