Explain Equity Warrants. Call warrants, Put warrants

Explain Equity Warrants.


Equity warrants are the kind of warrants which can be put or called. It is like an option which gives the holder to buy the security related to its option at a certain price, quantity and time. It is issued by the company. The two warrants which come under this are as follows:-

1) Call warrants :- it gives the rights to the holder to buy the securities which are related to their warrants or the shares which are specified in number.

2) Put warrants:- it gives the rights to the holder to sell back to the issuer at a specified price on or before the date which has been stated while purchasing.
Explain following bond types a.) Floating rate bonds b.) Zero coupon bonds
Floating rate notes (FRNs) are the bonds which have a comparable ratio with the money market reference rate…
Explain secured premium notes
Secured premium notes are issued with the warrant which is kind of detached. This can be redeemed after a notice period…
What are the advantages and risks associated with Equity warrants?
The advantages of equity warrants are as follows:-…
Post your comment