More tactical upside exposure
Call warrants are designed for investors with a bullish view who want to capture upside in the underlying stock with more efficient capital usage.
Smart Leverage For Confident Traders
Explore structured warrants to understand leverage opportunities with clearer market context and tighter discipline.
Learn MoreWhy Consider Structured Warrants?
Leverage with lighter initial capital
With a lower notional entry point than the underlying stock, call warrants can help traders manage short-term opportunities more compactly.
How Do Structured Warrants Work?
The underlying stock rises
If the underlying stock climbs toward or through the relevant exercise level, the value of a call warrant generally becomes more attractive.
Leverage increases sensitivity
Small price changes in the underlying stock can have a bigger effect on the warrant, increasing both opportunity and risk.
Structured Warrant Types and How They Work
Call Warrant
A call warrant provides exposure to potential upside in the underlying stock. It is generally considered when an investor has a bullish market view and wants to respond more tactically to upward price movement.
Put Warrant
A put warrant is designed for scenarios where the underlying stock may move lower. It can be considered when an investor sees downside risk or wants to complement a short-term defensive view.
What Should You Review Before Buying SW?
Understand these core indicators before making a trading decision.
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Structured warrants are more sensitive to changes in the underlying stock. Because of that, position sizing should always match your risk budget.
Leverage amplifies both potential and risk
Any structured warrant decision should be tied directly to the direction, momentum, and volatility of the underlying stock.
The underlying stock stays at the center
Beyond the underlying move, warrants are also influenced by volatility, time, and the leverage profile of the instrument.
Price sensitivity depends on more than direction
The closer the expiry date, the less room there is to wait for a market scenario. Exit discipline becomes even more important.
Tenor defines strategic flexibility
Structured Warrant Trading Strategies
Underlying Stock Analysis
Analyze the underlying stock thoroughly, including price trends, technical levels, and relevant fundamental factors.
Choose a Warrant Based on Your Analysis
Align your warrant selection with your analysis: CALL for a potential upside scenario and PUT for a potential downside scenario.
Review the Structured Warrant Matrix
Use the Structured Warrant Matrix to understand product parameters and help determine suitable buy and sell price areas.
Trade Through M-STOCK
Structured Warrants can be traded through M-STOCK for a more practical trading process.
Understand leverage with clearer risk context
Frequently Asked Questions
Structured warrants do not represent direct ownership of the underlying company. Instead, they offer more tactical exposure to the underlying stock’s movement with a different leverage profile.
A call warrant is generally considered when an investor has a bullish view on the underlying stock and wants to respond to upside moves with more efficient capital use.
A put warrant is generally considered when an investor sees downside potential in the underlying stock or wants a more tactical defensive scenario.
The most important risks usually relate to leverage, changes in the underlying stock direction, volatility, and the time remaining until expiry. Position sizing and exit discipline are therefore essential.
Watch Structured Warrant Videos
Stocks Up Slightly, Warrants Can Double the Upside
BBM • 5 min
The Trader’s Hidden Cheat Code
BBM • 4 min
Warrants: High Risk, High Return
BBM • 4 min
