1Semana·

IREN Factor X 3

Hello everyone 🙋‍♂️

Now that IREN has repeatedly bounced off the 40$ mark, I am long again with factor 3.

After it went well the first time, I have strengthened my position in the portfolio with this OS...

Why factor instead of KO? Because the spread is good here and because the KnockOut is further away (33%)...

LG Small investor ✌️

$IREN (+0,53 %)

03.12

UNI

UniCredit Bank AG Warrant 2025-open end on IREN Ltd

Comprado a 23,46 €

31 Comentarios

Tigawutz@Tigawutz

1Semana

@Multibagger @Klein-Anleger1 Can you explain factor warrants in a little more detail? What are the differences to KO certificates?

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Chris@Multibagger

1Semana

@Tigawutz Sure, I can. A KO certificate has a fixed price at which it goes KO. A factor certificate always reflects the daily performance to the extent of the factor in both directions. If the share rises by 5% with a factor of 5, the certificate is worth 25%. If the share falls by 20% on the day, the certificate is KO and the value is 0, even if you were previously 100% up.

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Klein-Anleger1@Klein-Anleger1

1Semana

@Tigawutz In this case it is a 3 factor certificate and that means that IREN should not fall more than 33% per day. But I do not expect that to happen...

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Tigawutz@Tigawutz

1Semana

many thanks

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Tigawutz@Tigawutz

1Semana

thank you again for the explanations. i have read a bit more about it 😍 there are exciting possibilities without the lever changing and or the ko being tightened as with a ko certificate

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Simon_n@Simon_n

1Semana

@Multibagger But why is that better? Isn't it smarter to take a KO right away if you expect a rise? or less initial risk?

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Chris@Multibagger

1Semana

@Simon_n Did I write that this is better? I never use factor certificates. But I have been asked to explain and then I am happy to do so. I would always prefer a KO certificate. There is only one reason to take a factor certificate. You speculate on a short-term trend reversal at supports and resistances and don't want to go KO if the support doesn't hold.

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Simon_n@Simon_n

1Semana

@Multibagger Wasn't an accusation! 😄 I just meant out of interest whether this has an advantage over KOs, because I've only used KOs so far

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Simon_n@Simon_n

1Semana

@Multibagger Wasn't an accusation! 😄 I just meant out of interest whether this has an advantage over KOs, because I've only used KOs so far

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Klein-Anleger1@Klein-Anleger1

1Semana

@Simon_n I'll briefly explain why I opted for a factor warrant this time: firstly, I don't have the knock-out risk mentioned by Chris. risk mentioned by Chris. In addition, I can profit disproportionately from sustained upward phases, i.e. several consecutive days with a green sign, because the leverage always remains constant. If I had bought a triple leverage with a knock-out yesterday, the leverage would only be 2.7 or so today and after a week I would have to change it at the latest if I still want to have a leverage effect. And because I only want to take advantage of a short upward movement here, which will probably go up to around $50 or $52, I feel most comfortable with a factor warrant. @Multibagger Is that right, or have I missed something?

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Klein-Anleger1@Klein-Anleger1

1Semana

@Klein-Anleger1 oh, and the spread for the warrant with knockout was also much higher than for the factor warrant

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Ver todas las 5 respuestas adicionales

Mumbo J.@MumboJumbo

1Semana

Good luck

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Patrick Schäfer@Hotte1909

1Semana

That's good. Range between 40$ -49.3$ roughly, after that we run into the zone up to about 65$ where it went down from the top last time to said 49$

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Klein-Anleger1@Klein-Anleger1

1Semana

@Hotte1909 Are you also leveraged 😅?

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Patrick Schäfer@Hotte1909

1Semana

@Klein-Anleger1 no 😀 not for once

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jkb92@jkb92

1Semana

Where do you trade them? There's never anything like that at TR :(

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Klein-Anleger1@Klein-Anleger1

1Semana

@jkb92 Unfortunately with S-Broker, expensive fees, but currently my only custody account besides TR

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Alex@nitroxx

@Klein-Anleger1 Question, isn't the principle of TR, derivatives factor 2, open end DE000FD49AV the same, just with a different leverage?

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Chris@Multibagger

1Semana

But that's not one of the ones you threw at my head at lunchtime today

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Klein-Anleger1@Klein-Anleger1

1Semana

@Multibagger Yes, because I was undecided... 🙈 The KO was too close for me and the term of the disxount is too long 😬 I also don't have to exchange the OS if it goes up because the leverage is constant 🫥 Sorry, I really had the one I sent you today on my watchlist, but then decided otherwise😅🙈 Are you leveraged somehow? And I didn't take the discount either, as the MM629J bond hardly moved at all despite an almost 5% increase in IREN. Sorry for the false alarm 😬

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Chris@Multibagger

1Semana

@Klein-Anleger1 My purchase order for the loan has not yet been executed

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