Things 'not generally accepted in finance' have made us all a lot of money over the years, it's rather the point to get in before they're generally accepted and get out immediately after -g- ... but yeah, you're talking about terms and not plays
Still i'm with koan in re the ckg.wt, for what i would describe as insufficient 'leverage', as he does ... and unlike him i hold a bit of the common so maybe in that way it means more? ... at a third or a quarter the price of the common they'd become attractive, above that not particularly, they are a time-decayable after all ... this being based completely on squint 'n guess estimation by a logger who never went to skool, but who kind of questions the validity of any method that does not take into account the potential of the underlying project ... only reasoning i've got, just don't understand the Black-Scholes thing at all ... and apparently it values the epm.wt.a and epm.wt.b at the same price, which doesn't compute imho, and i hold mostly the B-models, still think the As are worth maybe ten to fifteen per cent more, it's only when a larger discount is on the Bs that i buy them [which has been most of the last few months, actually] - imho the higher strike outweighs the slower time-decay at this point, and while that edge will decline over the months it will do so slowly at first
Warrant holders get screwed most in cheap takeouts - this we learn from the rng.to experience, eh ... nothing in the B-S formula about that ... or maybe there is? ... doesn't matter, i can't even wrap my brain around the symbols they use, lol |
