DBS Group Holdings Ltd - Warrant

DBS Group Holdings Ltd - Warrant is a structured financial derivative issued by DBS Bank Ltd., designed to provide investors with leveraged exposure to the price movements of an underlying asset—in this case, Hong Kong Exchanges and Clearing Limited (HKEX). This particular warrant is a European-style call warrant, which means it grants the right, but not the obligation, to receive a cash settlement if the market price of the underlying exceeds the set strike price at the close of maturity. The warrant is cash-settled and not physically settled, with an entitlement ratio indicating the number of warrants required to equate to one share of the underlying. Its key features include a defined maturity date, a fixed strike price, and trading in board lots, making it accessible to a wide range of market participants. Structured products like this warrant play a significant role in the financial markets by enabling investors to implement various strategies such as hedging, speculation, or enhancing portfolio returns, while also contributing to the overall liquidity and depth of the derivatives market in Hong Kong.