KUALA LUMPUR (April 12): To capitalise on increasing market volatility, Kenanga Investment Bank Bhd (Kenanga IB) will issue 24 new European style non-collateralised cash-settled call warrants from six sectors for its largest issuance to date.

Kenanga IB said the call warrants will be issued over the ordinary shares of Ann Joo Resources Bhd, Astro Malaysia Holdings Bhd, Axiata Group Bhd, Bermaz Auto Bhd, CIMB Group Holdings Bhd, Datasonic Group Bhd, Econpile Holdings Bhd, IJM Corp Bhd, Inari Amertron Bhd, Kossan Rubber Industries Bhd, LBS Bina Group Bhd, Mah Sing Group Bhd, Malayan Banking Bhd, Malaysia Building Society Bhd, Malaysia Marine and Heavy Engineering Holdings Bhd, MISC Bhd, Pos Malaysia Bhd, Press Metal Aluminium Holdings Bhd, S P Setia Bhd, Sapura Energy Bhd, SKP Resources Bhd, UEM Sunrise Bhd and Westports Holdings Bhd.

The investment bank observed market volatility has been on the increase in recent months owing to global uncertainties including an escalation in the US-China trade war. But it pointed out call warrant traders welcome volatility.

In a statement today, Kenanga IB executive director and head of group equity broking Lee Kok Khee said, "Responding to market demand, these 24 new warrants from six sectors will provide trading opportunities in a volatile market.

"When markets are strong, structured warrant traders benefit from the well-known effective gearing effect. In a range-bound market, certain stocks come to flavour and traders may consider choosing highly-sensitive warrants. In layman's terms, sensitive warrants flip quickly so traders can enter and exit with speed and ease."