Warrants and their underlying stocks: Microstructure evidence from an emerging market

• Main Authors: CHAROENWONG, Charlie, DING, David K., VISALTANACHOTI, Nuttawat
• Format: text
• Language: English
• Published: Institutional Knowledge at Singapore Management University 2018
• Subjects: Warrants; Spreads; Depths; Intraday Pattern; Thailand; Asian Studies; Corporate Finance; Finance; Finance and Financial Management
• Online Access: https://ink.library.smu.edu.sg/lkcsb_research/5983; https://ink.library.smu.edu.sg/context/lkcsb_research/article/6982/viewcontent/Warrants_Microstructure.Risk_Governance_and_Control.Oct2018.pdf
• Institution: Singapore Management University

The Stock Exchange of Thailand provides an ideal platform for comparing the trading characteristics of warrants and their underlying stocks since both of them trade in the same market under identical trading rules. If their patterns diverge significantly, it may be possible for an astute trader to d...