The bargain amount of warrants in past nine months this year has reached to HK$1,191.3 billion, surging 94.7% than that in same period last year; and exceeding the total turnover of HK$856.5 billion last year, accounting for 21.2% of all the turnover in market, according to the Societe Generale Derivatives Tool Department vice CEO Mr Lee.
The warrants's bargin share in total turnover of market in Q3 increase to 25.9% from 19.6% Q1, an average turnover of HK$6.67 billion each day; HSI warrants are still ranked first - about 50.75%. Mr Lee said he believe the proportion in Q4 will get to 25%, but that lies on whether the turnover in the whole market could keep the level of HK$30 to 40 billion every day.
He pointed out as the China Life Insurance's shares price waved greatly and show a upward trend, which brought the China enterprise stocks warrants upward and accounted for 11.83% of the total turnover.
he said also after the stocks market reformed, A share market rally obviously, which drove the investment's profit of Insurance company rising; given the more opportunities of acquisitions and mergers among the mainland insurance companies, the low penetrating ratio in mainland insurance market and a great rooms to grow, which are benefit to China Life's shares price, the warrants issued will grow.
For the mainland banking shares warrants, Mr Lee said after ICBC lists, the related warrants will appear, the expectation for it is hot in market, which improve the turnover of the whole market; but with the rising supply of warrants, the choice of investors increases, which make the waving size declined, so he suggest the investors should take the strategy of flexible move.