Australia's largest stock trading and investment forum Australia's #1 stock forum

FGF

Click for more information

0.00%

18.0¢ first growth funds limited

2 cent Options, page-30

First 30 Last

Share
Profile

Follow
8horse

34,353 Posts.

9149

03/01/18

12:44

Post #: 30009242
Share

Originally posted by jj2 ↑

Someone is super keen to get option holders to take them up.
Fact is the registry automatically send the option form along with your statement.

Also, the "talk" about option value is fluid.. as it depends on the value of the fully paids.. and I use the word value, loosely..

It depends on the price the fully paids are trading at.

If you want entry into any stock via the options and are prepared to go through the extra paperwork.. time taken and hold longer-term.. and like the current price - then buying and converting options works.

When the options have a long time until expiry (not the case here) it also makes sense to buy as the capital outlay would be less than buying the shares outright - remembering also that you have no rights as an option holder - to dividends or new issues should there be any.

Just some things to consider when looking at "options"..

Expand

By and large you're right, but for a speculative stock, who would care about voting rights and 'dividends'? It's about leaverage and Arbitrage. Less outlay to expose bigger gain/loss; if one is lagging, then there's arbitrage value.

FGF Price at posting: 3.8¢ Sentiment: Buy Disclosure: Held
Upvote

0 Great analysis

Reply

Top Stories

MKT

The ASX can overlook its Telecomm small-caps. Here’s one diversified brand with an international footprint

Palladium's the newest geopolitical hot commodity. But ASX exposure is limited

PFE

Pantera begins drilling of maiden test well at Smackover

QHL

Aerospace smallcap Quickstep Holdings jumps nearly 100% after 40cps takeover offer

C29

C29 Metals wins Kazakhstani uranium drill run green tick, Kazatomprom talks mature

First 30 Last

Add FGF (ASX) to my watchlist