SINGAPORE (Reuters) - A Singapore housewife beat traders from top banks such as Merrill Lynch to win a warrant-trading competition, a newspaper said on Wednesday.
The Straits Times said 64-year-old Madam Chua Chwee Keok, who was clueless about warrants before the contest, outsmarted 2,000 people — including MBA graduates — by growing her investments tenfold to over S$1 million (325,000 pounds) in eight weeks. That was nearly twice the value of her nearest rival’s holdings.
No real money was used in the contest, but Chua won an S$8,000 prize for her performance. A warrant, usually traded on an exchange, gives holders the right but not the obligation to buy or sell an underlying asset — a stock, equity, index, currency, commodity — at a set price, on or before an expiry date.
The housewife, whose son taught her how to use the computer to carry out trades and to interpret the numbers on the screen before the contest, mostly traded in warrants tracking Hong Kong’s Hang Seng Index, the newspaper said.
$1=1.523 Singapore Dollar