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Gold/Mining/Energy : Sandstorm Gold -- Ignore unavailable to you. Want to Upgrade?


To: Metacomet who wrote (431)2/28/2011 4:53:00 PM
From: kidl  Read Replies (1) | Respond to of 1133
 
There is an excellent warrant forum on SI:
Subject 27370

Maybe you should raise your point there. The guys are very helpful.



To: Metacomet who wrote (431)2/28/2011 11:16:48 PM
From: marcos  Read Replies (2) | Respond to of 1133
 
ssl.to - strike is usd.60, so using the B-S model you'd have to continually update for fluctuating cambio

Those models seem at times to give way too much credit to time value, and they depend very much on recent volatility in the common as well - the combination of these once had them valuing the ngd a-wts at very nearly what the common was trading for, if not over the common [? - anybody recall that, probably year and a half ago] ... this made no sense at all, to me anyway, i figure there has to be two to one leverage minimum or else why would i buy finite-life warrants over common? ... the B-S models don't have any input factors for leverage to the common, and that's important in warrants imho

It's interesting to see what they say, but i wouldn't operate on them ... to me it's all about what i expect the common to do, the warrant is only a way to gain leverage on that, and at the expense of risk in its time decay

usa.wt - models say these are worth .53, the common printed .55 today and closed at .59, no way i'll touch anything time-decaying with that skinny a discount ... it's not even a discount, since strike is .16, lol

Like most everybody here probably, i hold much more ssl.wt than the common ... not two to one leverage, but it has been, especially back when i was buying, and close to two to one is tolerable, for the time being