Warrant

What does it Mean? A derivative security that gives the holder the right to purchase securities (usually equity) from the issuer at a specific price within a certain time frame. Warrants are often included in a new debt issue as a "sweetener" to entice investors.
Investopedia Says... The main difference between warrants and call options is that warrants are issued and guaranteed by the company, whereas options are exchange instruments and are not issued by the company. Also, the lifetime of a warrant is often measured in years, while the lifetime of a typical option is measured in months.

Terms Related Links

Call Option
Call Warrant
Covered Warrant
Cum Warrant
Detachable Warrant
Ex-Warrant
Put Warrant
Warrant Coverage
Warrant Premium
XW

Terms Related Links
Investment Valuation Ratios: Per Share Data - This section provides a preliminary overview of the concepts in per share indicators.

What Are Warrants? - Discover the advantages of this high-return investment tool that's largely unexploited by investors.

I own some stock warrants. How do I exercise them?

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