Any final words of advice? Mr.
Yap Remember the two words “Don’t lose”. In the May 1989 edition of the SES Journal (as it was then called) I wrote an article titled “Investing in the stock market – How to win a loser’s game.” I think a lot of things I said 15 years ago still apply today. Trading in warrants is an extension of that. At my firm, we came up with eight key warrant trading rules based on what we observed in the warrants market. We have shared this with our dealers and remisiers, as well as the investing public when we go out to give investment/trading talks. They are simple rules, but they surprised some people who did not really think in these ways. Here they are: Rule 1: Minimise overnight exposure. Especially on the volatile stocks because of the risks of gapping down on the open. As a guide, I would suggest 50 percent of the intended position, with the other 50 percent initiated and closed off during the day.
