Multiple choice

What is an equity warrant?

  1. It is nothing but an equity share of a company.

  2. It is a debit instrument that offers fixed interest rate.

  3. It is an instrument that gives the holder the right to purchase equity shares in a company at a fixed price in future.

  4. None of the above
Reveal answer Fill a bubble to check yourself
C Correct answer
Explanation

Equity warrant is an instrument that gives the holder the right to purchase equity shares in a company at a fixed price in future. 

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