cfr struggling................, page-43

re: sandy- about the options..... Now I,ve gotcha thinking Sandy !!!!

So sell 40% of the options now & buy the shares .....getting them at 3.8 cents & if the shares are way above 4 cents at expiry the balance of options will be THEORETICALLY be worth whatever that price of cfr is, less 4 cents.

Makes no difference to the final number of shares you would finish up with except you get them NOW at 3.8 cents..... or LATER at 4 cents.

However if you need to sell options for the money to finance the purchase of the ones you wish to exercise............. that's another matter.

What you are doing then is TRADING in the options in the hope that cfr shares will be significantly higher than 4 cents & the options are well in the money at expiry.
(by the way it is my belief that cfr will be > 4c at option expiry time )

I guess my major point is if you have the money to do it now...... do it now......, as you will be in cheaper now than later.

One word of caution.

There will probably be a large number of option holders who will not be able to afford to take up their entitlement & will be forced to sell just before expiry.....
It will be "sell 'em NOW for whatever I can get now or they will expire worthless"....... This being the case they may well sell for LESS than their intrisic value (which if price of cfr minus 4 cents )
(Don't think I am downramping here, as I am just stating
a probable scenario so you can think about it & gain the maximum value for yourself.)

If this indeed does happen, the smart thing to do then would be to SELL the shares & exercise the equivalent number of options to restore your position & effectivly reduce your buying price even further.
If it doesn't happen you can sell the balance of the options for full price anyway.

Hope this gets you thinking on how to maximise you profit in the short term

Cheers

Bendigo