Second Chance's 2nd warrant worth a punt?

THERE are flickering signs that the property market may have bottomed and is starting to turn upwards. If so, one of the better ways to profit from an upturn is via warrants; however the problem for the short-term trader is that there aren't that many that have been issued by property companies. One exception though, is Second Chance Properties (SCP), which has not one, but two warrants in issue.

SCP's first warrant - listed on July 27, 2012 - is a five-year instrument and carries an exercise price of S$0.40 and expires on July 24 this year.

Because the shares currently sell for S$0.26, this instrument is "out-of-the-money" and has no intrinsic value (the difference between the underlying share price and exercise price).