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[CHEUNGK-C1] caculation of a warrant's intrinsic value

The intrinsic value of a warrant is calculated as follows: Price of Mother share minus Strike price divide by the conversion ratio. The premium or discount is the difference between the intrinsic value and the warrant's quoted price.
The CRAZY price of HKEX C4 shows the total ignorance of Malaysian traders in structured warrants.
HKEX price is 254 HKD. Strike price is 230 HKD. Conversion ratio is 200:1. Therefore intrinsic value of C4 (explosive) is 254 -230 = 14 divided by 200 = 7 HK cents or 3 sens. Crazy people have chased it to 45 sens! To be worth 45 sens the mother share should DOUBLE to HKD500.
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