Before Trading in Knockout! Warrants Please Note The Following: |
- Ensure you understand the product properly, and have experience in trading derivatives.
- If you are an inexperienced trader don�t trade Knockout! Warrants.
- Buy Knockout Calls if you are bullish, buy Knockout Puts if you are bearish.
- Keep in mind that different Knockout! Warrants will have different Knockout Levels.
- With every investment, one needs to have a time horizon. Don�t buy a Knockout Put listed on an index that you feel might fall in the next 3 months, if the Knockout Put expires in 1 month.
- Once you have entered the position, keep a close watch of the current index level and your Knockout Level.
- Manage the Knockout Level. If the index approaches the Knockout level, we recommend you exit that Knockout whilst it still has value.
- Please note Standard Bank will not be a seller of the Knockout! Warrants close to the Knockout Level.
- Please note the Knockout Level is set off the spot price of the Top40 Tradeable, but Knockout! Warrants are hedged in the FTSE/JSE Top40 Index Future.
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How to Identify a Standard Bank Knockout! Warrant |
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