Bull-bear certificate and Warren are both derivatives that track the performance of related assets, which can go up or down, have leverage effect and have similar transaction costs. The biggest difference between the two is that the bull-bear certificate is less affected by the extension and time value at the initial stage of listing, and there is a mandatory withdrawal mechanism. As long as the relevant asset price touches the redemption price, even if the voucher is not due, it will be redeemed immediately, and the investor may lose all the investment amount at this time.
Although in theory, the price of bull-bear certificate is closely related to the trend of related assets, it may be out of sync with the changes of related asset prices in some cases due to its own supply and demand, financial expenses, expiration date and many other factors. When the price of related assets approaches the recovery price, the price of CBB may become more volatile, the bid-ask spread may be larger and the liquidity may be lower.
Cow-bear syndrome can be divided into two types: N type and R type. The following table summarizes the differences between the two:
Class n
R grade
Recovery/exercise price level
Recovered price = exercised price
Cattle's certificate \u withdraw price > exercise price
Bear certificate: recovery price
What fees will investors charge after the bull-bear certificate is revoked?
Will not receive any payment.
Investors may recover a small amount of cash, which is called "residual value"
The "forced recall event" is a unique feature of the bull-bear certificate, which is not available in ordinary warrants. The recovery price of bull certificate is equal to or higher than the exercise price, and the recovery price of bear certificate is equal to or lower than the exercise price. If the linked asset price touches the recovery price before it expires, the bull-bear certificate will expire early and the transaction will be terminated immediately. This situation is called a forced recall event.
After the withdrawal of the bull-bear certificate, even if the linked asset price rebounds in the right direction, the bull-bear certificate will not resume trading in the market again, and investors will not benefit from the price rebound.
After forced evacuation ...
When the price of linked assets is close to the recovery price, the forced recovery event may occur at any time. Any transaction executed after the mandatory recall will be cancelled. Because there may be a certain gap between the time when the mandatory recall occurred and the time when the trading of the Bull Bear Certificate stopped, some transactions that have been entered into the trading system may still be executed and confirmed after the mandatory recall.
However, any transaction executed after the mandatory recall event will not be recognized and will be cancelled. The exchange will notify the exchange participants (that is, brokers), and then brokers will notify customers of the mandatory recall. Investors should pay attention to this risk, especially when the price of the bull-bear certificate is close to the recovery price.
limited time
Both bull and bear certificates and stock subscription certificates have set deadlines, and the expiration date of these products will be stipulated in the supplementary documents for listing. However, if the bull-bear certificate is withdrawn before the original expiration date, its term may be shortened.
Summary:
The English name of Bull and Bear Certificate is Callable Bull/Bear Contracts, or CBBC for short. Cow-bear syndrome is divided into two categories, namely cow syndrome and bear syndrome. Investors who are optimistic about the market outlook can invest in the "bull certificate". On the contrary, if you are bearish, you can choose "bearish cards". An important difference between Bull Bear Certificate and common warrants is that Bull Bear Certificate has a "resale price"; If the price of the relevant assets touches or exceeds the bullish price at any time before the maturity date, the issuer must immediately withdraw the bull-bear certificate, and the trading of the bull-bear certificate in the trading market will also stop. Under normal circumstances, the Exchange will not recognize all the bull-bear securities transactions reached or recorded in the exchange system after the compulsory recall. In the case that it has not been recovered, the holder of the bull certificate can charge the balance of the settlement price of the relevant assets minus the exercise price divided by the conversion ratio of the maturity date, and the holder of the bear certificate can charge the balance of the exercise price minus the settlement price of the relevant assets divided by the conversion ratio of the maturity date.
Besides bovine syndrome and bear syndrome, bovine-bear syndrome can also be divided into "N" and "R". "N-type" bull-bear card will not be returned, while "R-type" bull-bear card may be returned.
What is a bull-bear certificate?
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Bull and bear certificate? It is a structured product that can track the performance of related assets without having to pay the full cost of purchasing the actual assets. Um ... Bull-bear certificates are divided into bull certificates and bear certificates, and have a fixed expiration date. Investors can be optimistic or pessimistic about related assets and choose to buy bull certificates or bear certificates. Is the Bull Bear Certificate issued by a third party? , send? Businessmen usually invest in silver? , with China and Hongkong? Are there any related assets? .
In some overseas markets, the listed products equivalent to the bull-bear certificate are generally called "knock out" or "stop loss" bills, and the unlisted products equivalent to the bull-bear certificate are generally called "contracts for differences" (CFD for short). Bull and bear certificates are being issued? Sometimes conditions are attached: during the validity period of the bull-bear certificate, the relevant assets will be issued only if the price reaches the level specified in the listing documents (called "recovery price")? The Chamber of Commerce immediately withdrew the relevant bull and bear certificates. ? The relevant asset prices hit the recovery price before the expiration of the bull-bear certificate. If the bull-bear certificate expires in advance, the transaction will be terminated immediately. What is the original expiration date of the listing documents? Effective again.
Bull-bear certificate is valid from 3 months to 5? Wait, just now? Reconciliation. Is the Bull and Bear Certificate handed in between China Mainland and Hongkong? What exchange is its spot market? During the transaction, the third generation automatic matching transaction system (AMS/3) is used to conduct the transaction.
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Main characteristics of bull-bear syndrome
1. The price trend of bull-bear certificate tends to be close to the price of related assets-the price change of bull-bear certificate tends to be close to the price change of related assets (that is, the hedging value is close to 1). So? The value of related assets rises, and the equity ratio is equal? Generally, the value of cattle certificate will increase near equal value, and what is the equal equity ratio? The value of the bear certificate is generally close to the equivalent? . This feature provides investors with a product that can closely track the price trend of related assets, and the price is transparent? Higher than other structural products.
However, when the price of the assets related to the bull-bear certificate approaches the recovery price, the price change of the bull-bear certificate may fluctuate greatly, even accompanied by the price change of the related assets. Bi cheng? .
2. Bull and bear certificates have a recovery price and a compulsory recovery mechanism-the recovery price of bull certificates must be equal to or higher than? The opening price and withdrawal price of bear certificate must be equal to or lower than? Make an offer. ? If the relevant asset price touches the recovery price at any time before the expiration, the bull-bear certificate will expire early and must be issued by? When the business is revoked, its business will be terminated immediately. The whole process is called "forced recall event".
3. Bull and Bear Certificate? No.-what's the bull-bear certificate? :N？ What about r? .
(1) n? Does the bull-bear certificate mean that the recycling price is equal? Pricing Bull Bear Certificate. Once the relevant asset price touches or exceeds the recovery price, the holder of the bull-bear certificate will? Will you receive cash? Money.
㈡R？ Bull-bear certificate means that the recycling price is different from? Pricing Bull Bear Certificate. ? If the recall is mandatory, how much can the holder of the bull-bear certificate recover? Now? Money (called "surplus value"). But in the worst case, there may be no surplus value. (Please? See point 5 on determining "surplus value")? Will it be the same? The price of n? Bull-bear certificate and R? Comparison of bull-bear syndrome, r? At an earlier price level? Be taken back
4. What is the maturity value? If it has not been recovered before the expiration, can the bull-bear certificate be held until or before the expiration? What is exchange? Sold out within the time limit.
(i) In the case of a certificate of cattle, when will it be redeemed if it is held until its normal maturity? The settlement amount will be the settlement price of relevant assets (determined on the appraisal date) minus? The positive difference in price.
(ii) In the case of a bear certificate, when will it be redeemed if it is held until its normal maturity? What will be the settlement amount? The positive difference between the price of related assets and the settlement price (determined on the appraisal date).
? It is a Hong Kong stock certificate, and the settlement price will be subject to the final payment. The daily closing price of the related assets. ? Hong kong stock index? Bull and bear certificate, settlement level, expiration? The settlement level of futures contracts is the same. ? Is the difference between (i) and (ii) above negative? , investors? Will receive any money.
5. determine r? Proof method of surplus value of bulls and bears-when R? When the cattle certificate is recovered, its residual value is the settlement price determined according to the terms of the listing documents and? Make the price difference positive. What is the settlement price of the cattle certificate? Can you lower the relevant assets to the next transaction after the forced recovery event? The lowest transaction price during the period *. On the other hand, when r? When the bear certificate is recovered, its residual value is? The positive difference between the issue price and the settlement price determined according to the terms of the listing documents. What is the settlement price of the bear certificate? Can it be higher than the related assets to the next transaction after the forced recovery event? The highest transaction price during the period.
Before the market opens and in the morning? Time periods are regarded as the same intersection? Time period. However,? Does the settlement price touch or exceed? In the worst case, there may be no surplus value.
*? Next time? Continue to put in time slots? Time? For a whole hour, the time to set the settlement price will be postponed to the next delivery. Time period.
What's the difference between stock warrants and warrants?
Because there are too many contents, you can go directly to this website: EX/PROD/CBBC/CBBC% 20Leaf _ c.pdf, reference: EX/PROD/CBBC/CBBC% 20Leaf _ c.pdf.