Warrants A Premium Impact Factors Empirical Research

Baosteel-call-warrant came into the shanghai market in August 22, 2005. The warrant market restarted after 9 years break and it becomes the focus of the market. As a Financial derivatives, warrants can discover price and hedge. Although many foreign researchers have done more on warrants, the research in China is just started. The investors and organigers pay much attentions to the overprice rate of the warrnts, so the research on the influence factors of warrants overprice rate is extremely significant.First, the thesis described the warrant history of China, the necessity and mode of nontradable shares reform, and gave a descriptive statistics of Baosteel-call-warrant and Wusteel-warrants.Second, the author did a demonstration analyse on the influence factors of warrnts overprice rate on initial public offerings day. The result was that the overprice rate was related to swing of the warrats and recent history of stock price, but has nothing to do with other factors.Third, the author did a demonstration analyse on the influence factors of warrnts overprice rate in the middle longevity. The result was that the overprice rate was related to different factors betweent call wanrrants and put warrants.Finally, the thesis made a comparison between the initial public offerings day and the middle longevity in the influence factors of warrnts overprice rate. Then the thesis brought forward suggestions on the warrant market and winded up with the research limitations and prospects.