Bobwins - warrants
I have owned warrants in a few different stocks now. I really like them so far. I bought BWR warants at 30 cents, watched fall to 11 cents and now they are 1,78. Unfortunately after the scare at 11 cents, I was happy to take 50 cents for them. Left a lot on the table though.
Warrants are great if you really like the longer term future of the company and the warrants have a lot of life left. If they are just coming to the money, so much the better. But because they are less liquid, you can't buy too many of them.
I can see why people buy the private placements and then sell the shares and keep the warrant. You could have bought San Gold at 1.00 and sold today at a quick 6% profit and kept the half warrant for nothing. A low risk way to have a potentially big return in the future with a quick profit and no long term capital tied up. That is one sweet deal. In my case though I have kept my shares (too greedy?)
Have fun!
JFF7
It's better to be out wishing you were in than in wishing you were out.
"Markets can remain irrational longer than you can remain solvent". - John Maynard Keynes
