Friday, December 15, 2006




Wake Up BURSA!

As I was trying to do a review of the covered warrants, I had great difficulty trying to come up with essential information on these covered warrants.

a) If you check the newspapers, Star and NSTP - Star has a 52 week high low, closing warrant price, +/-, volume traded, exercise price and expiry date. No mention on the conversion ratio. Conversion ratio is very important as investors would need to use the formula to calculate premium and gearing.

NSTP shows the week's high and low, closing warrant price, change, year issued, maturity year and exercise. OMG, biz editor at NSTP, please wake up! Why show us maturity year, no use punya info. Plus year issued, why, why do we need that info. Does anyone at the NSTP biz desk understands warrants. The most important info one MUST have:
- warrant price
- conversion price
- maturity date
With these 3 data, only then can an investor work out the premium and gearing. Mother share prices are available everywhere, so no bother there. But as you can see, the NSTP info is sorely lacking, very amateurish indeed.

Of course The Edge provides the infomation on premium, gearing and even delta. As for conversion ration, some yes, some no. Anyway, as the warrant and/or mother share price move, one must be able to calculate the Premium and Gearing by themselves - there is NO LIVE INFO the last I heard.

b) Not happy at not getting the conversion ratio, I moved to the website of Bursa... go to company's announcements, no luck, covered warrants issued by difffering merchant banks not by company itself. Go to Call Warrants page, no good, only report monthly outstanding call warrants. One actually has to go to the correct bank/broker company announcement page, search for the right date, then read through the offering prospectus to GET THE CONVERSION data.

Tell me Mr. Bursa, can you tell me in 1 minute, what is the conversion rate for the following Call Warrants - Genting, IOI Corp, MISC, Tenaga... see how long it takes for you to come up with the info...

Why does this happen? Poor execution, having the wrong people at the wrong jobs, having inept people doing important jobs ... If the Bursa does not even allow investors to get the said information in a quick and precise manner, either the Bursa does not understand how important the information is, or couldn't care less - either way, NO GOOD!

Why bother going on roadshows asking people to invest or complain on why local investors are still speculative driven only WHEN you do not provide important trading information, important BASIC information for people to trade with an informed mind. Does that mean that Bursa people do not want to provide the info; or does not know whether it is important; or doesn't even know shit about a WARRANT, and YOU WANT TO LAUNCH SINGLE STOCK SHORT SELLING??!!!

Already only a minority even knows how to calculate PREMIUM and GEARING or even understand why they are important... and you encourage merchant banks to keep issuing these fucking papers to be placed out through remisiers and dealers.... when most end buyers do not have a fuckin' clue, and it takes me fuckin' 30 minutes to find the conversion ratio for one covered warrant... and I am a professional in the investment field. Buck up, bucko!

p/s that's why my Culling The Covereds posting was cut short, was so frustrated... sorry for the fuckin' language but I cannot express myself well enuff, limited vocab la, sometimes I think to swear gives the right measure of weight on the level of "pissed-off-ness" ... yes, you are right, I cannot tolerate incompetence and stupidity ...

9 comments:

Boon said...

Hello! My name is Boon from Trade Bursa Malaysia. I like your blog!

Bluesea said...

hallo

Bluesea said...

Get a copy of Sin Chew Daily, the business section on call warrants have all the above info. All English papers on business r fuckup in this country.

juicy said...

this is not too bad , at least if u go to right place u can get the info. but when the merchant banker like CIMB issue call warrants of foreign securities (in future ). then where r u going to get live feed from their security to calculate the premiun
http://nexttrade.blogspot.com/
this blog got info u want re covered call warrants

swifz said...

If you want any warrant info, I say...you will have a hard time getting the right info from the web. Splits, bonus issue etc sometimes are not reflected in the actual conversion price. What you get is sometimes so misleading.

So sad that a simple task also cannot do it properly. No wonder FDIs are going down. Malaysia Boleh!

yeemr112 said...

By right KLCI should be around 2000 points if not fun by stupid people there. Look at Korea & Sing'pore.

FATCAT said...

i get the warrant info from http://warrants.cimb.com/WRT/ hopes that can help

Yellavia said...

I found one website that give you the conversion ratio of call warrants and provides call warrant calculator for us to check the Premium and Gearing of warrants. Please check at Bursawave Call Warrant Calculator.

Yellavia said...

Forgot to mention their warrant listing is at Warrant Directory.