Risks
There are certain risks involved in trading warrants—including time decay. Time decay: "Time value" diminishes as time goes by—the rate of decay increases the closer to the date of expiration.
Read more about this topic: Warrant (finance)
Famous quotes containing the word risks:
“If the children and youth of a nation are afforded opportunity to develop their capacities to the fullest, if they are given the knowledge to understand the world and the wisdom to change it, then the prospects for the future are bright. In contrast, a society which neglects its children, however well it may function in other respects, risks eventual disorganization and demise.”
—Urie Bronfenbrenner (b. 1917)
“In America any boy may become President, and I suppose it’s just one of the risks he takes!”
—Adlai Stevenson (1900–1965)
“The amount of it is, if a man is alive, there is always danger that he may die, though the danger must be allowed to be less in proportion as he is dead-and-alive to begin with. A man sits as many risks as he runs.”
—Henry David Thoreau (1817–1862)