Warrant in its nature is equivalent to holding a virtual right. For investors, warrant can be divided into call warrants and put warrants.

Call Warrant:
Gives the holder a right (but not responsibility) to buy underlying assets within a certain period at fixed “exercise price”.

Put Warrant:
Gives the holder a right (but not responsibility) to sell underlying assets within a certain period at fixed “exercise price”.

Investors can sell their warrant before maturity date. In fact, most of investors will sell before maturity date (investors treated it as an investment tool to win price gap, rather than really exercise the right).

Warrants are traded on the HKEx, sell and buy are in board lots, and transaction are settled on T+2 day. Each warrant has its trading code number, which also has a serial of special symbols for detail description.