...We Welcome You To The Resverlogix HUB withIn The AGORACOM COMMUNITY!

Free
Message: A good article on going long on warrants versus shares.....

https://www.theglobeandmail.com/globe-investor/investment-ideas/warrants-an-investing-option-that-gets-no-respect/article569060/

Here's a snippet:

One investor with a well known predilection for warrants is Warren Buffett, who insisted on receiving them as part of his high profile purchases of shares in General Electric and Goldman Sachs during the financial panic two years ago.

It's easy to see why the investment maestro likes warrants.

Consider the case of New Gold Inc., a promising mid-sized bullion miner. The company's common stock has more than doubled off its lows for the past year. But the A series warrants have done one better: they've more than tripled.

The article goes onto suggest only buying warrants when you're bullish on a company (kinda obvious) and only when there's at least 2 years of life left.  For Resverlogix bulls there's almost 4 years left....I think I'm going to be adding more warrants in lieu of shares....I'll hold onto my shares however.  

 

Share
New Message
Please login to post a reply