brawidjaja,Normally settlement occurs on a T+3 basis.ie the...

brawidjaja,

Normally settlement occurs on a T+3 basis.
ie the stock is paid for and changes hands 3 days after it is actually traded.

In some cases, for either IPO's or new issues of shares, the stock may not actually be issued to your CHESS or Issuer Holding account prior to the stock being available to trade. In this case, settlment will take longer than the standard 3 days (ie deferred settlement), since there is 3 days plus the time the taken for the share registry takes to distribute the shares in to you holding account.

In the case of CRJO, the options were tradeable as from 26th September, however they were not allocated until COB on 3rd October.

What this means is that if you have a full service broker, you could have sold the options prior to yesterday.

However, if you use a discount broker such as Comsec or E*trade, the CRJO options would not have shown up in your holdings prior to yesterday, hence you weren't able to sell them.

This is why there was a large increase in the volume yesterday, with shareholders recieving their bonus options and trying to belt them out below fair value since they cost next to nothing.

It would have been better to sell the fully paids at 35 cents and buy options at 11 cents. By paying the additional 20 cents to exercise them, your are effectively entering the stcok at 31 cents.