WHEN company warrants first made their appearance in the Singapore stock market, almost all followed a standard template - they were invariably part of a rights issue, they could be detached and traded separately from the stocks or bonds that formed the rights and they had a five-year life span.

Warrants proved very popular because of the leverage they offered, so when the underlying shares rose by a certain percentage, the associated warrants rose by a multiple of that percentage. Of course, the reverse also held true and underlying stock falls were also magnified by the leverage but by and large, because of relatively lower cash outlay and long life spans, company warrants in their heyday did enjoy plenty of play.

However, over the years and possibly because structured warrants entered the market and offered punters a viable, short-term tradeable alternative, companies and their corporate finance advisers have gradually shifted away from that original template in order to remain relevant. So much so that there has been a quiet revolution in the company warrant segment that has resulted in the birth of many warrants that possess novel, non-standard features.