Don't put money in Warrant !

Recently when bursa break 1000! Many newspaper or broker film all said buy warrant. Whether call warrant or warrant issued by company itself, they still warrant. I remember old time, when I in one forum , the forumer (all think themselves is fundamental player (FA). We all buying warrant, whether blue chip or other counter which S&P and many analysts favour counter. when time pass. Most of the forumer be burning and the forum is end and no more active.

Just an reminder in bull market. Limitation and risk involved in buying warrant. Unless you are gambler (or Technical view). Then you can take the risk of warrant.

Warrant is bull market tools to win big money, This can said alrite for gambler or TA. But Warrant Buffet won't buy warrant. why. there are limitation for warrant.

1. Time frame and expired dated. I still remember few year back if you holding a Gamuda wb and Gamuda wc. pricing from 3 dollar to 2 dollar. Today they are in 20 cent and 90 cent respectively, Even the mother are recover from lower 3 dollar to 4.5 dollar. Why ?? this is high risk instructment. not sultable for small investor. I will recommend you bet the KLCI future for betting up or down rather than in Warrant.

2. Due to limitation of quantitiy in market, Warrant easily be use by speculater to win fast money (Big fish). Those small fish it follow through will die very fast too, Yesterday gamuda Wb up to 31 cent , today is 22 cent. If you win money congratulation ! If lost money that your fault. Don't blame market.!! High violation is not suitable for small investor.

Using buffet word. " Protect your capital rather than win the market". but i know when end of the bull run, many of us will burnt by warrant again!! God Bless You~