Kenanga’s first ‘put’ warrant


KUALA LUMPUR: Kenanga Investment Bank Bhd is issuing 12 structured warrants including the only single-stock put warrant on the market. The Datasonic warrant is Kenanga’s maiden put warrant offering investors the platform to benefit from a falling market, as opposed to short-selling shares and its related costs.

Put warrants give holders the right (but not the obligation) to sell a given quantity of the underlying asset at a specified price, before the expiry date.

Typically put warrant prices increase when the underlying share price decreases.

“Following our theme of long-dated warrants, this batch contains warrants of 11-month (call warrants) and an eight-month (put warrant). This is Kenanga’s inaugural put warrant and the only single-stock put warrant in the market,” said Kenanga Investment Bank’s head of equity derivatives, Philip Lim in a statement.

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