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AMEX LAUNCHES FIRST WARRANTS ON AMEX-CREATED HONG KONG 30 INDEX; FIRST DERIVATIVE TRADED IN U.S. BASED ON HONG KONG INDEX

 NEW YORK, Oct. 26 /PRNewswire/ -- The American Stock Exchange today listed the first publicly traded derivative security in the United States that enables investors to participate in changes in the Hong Kong market -- Amex Hong Kong 30 Index Put and Call Warrants. Issued by Paine Webber Group Inc., the new securities are based on the newly created Amex Hong Kong 30 Index, an index of 30 common stocks trading on The Stock Exchange of Hong Kong.
 "More than ever, U.S. investors have been aggressively seeking opportunities to participate in Asia's growing market, particularly in Hong Kong," said Ivers Riley, senior executive vice president of derivative securities at the American Stock Exchange. "The Hong Kong 30 Index warrants meet that demand head on."
 The calls will trade under the ticker symbol HKC.WS and the puts under HKP.WS. The warrants were issued by Paine Webber Group Inc. and underwritten by Paine Webber Incorporated, Oppenheimer & Co., Inc., and Kemper Securities Inc., and carry a strike price of 440.09. They are cash settled in U.S. dollars and expire on Oct. 27, 1995. The warrants can be redeemed any day prior to expiration.
 At the start of today's trading, HKP.WS opened at 4-5/8 on an initial trade of 32,500 warrants and HKC.WS opened at 4-3/4 with an initial trade of 37,500 warrants.
 The new warrants are expected to trade much like options with the calls typically rising in value when the index rises, and the puts rising when the index declines.
 Introduced by the Amex in June, the Hong Kong 30 Index is a capitalization-weighted stock index which measures the composite price performance of the 30 selected stocks in a broad range of industries on The Stock Exchange of Hong Kong.
 "As the only Asian index warrants available in the U.S. marketplace, it is an important instrument for global investors to hedge their existing Hong Kong holdings or to take a position on the future direction of the market," said Benjamin Krause, Amex senior vice president of capital markets. "The advantage of publicly traded Amex Hong Kong 30 Index Warrants is the liquidity and price transparency which has not previously been available in privately negotiated transactions."
 The introduction of the Hong Kong 30 Index warrants follows earlier precedents set by the exchange when it was the first U.S. securities marketplace to provide a market in warrants based on the Eurotrack 200, France's CAC-40 Index, London's FT-SE 100 and Japan's Nikkei Stock Average.
 -0- 10/26/93
 /CONTACT: Steven Shapiro, 212-306-1634, or Kathleen Fitzpatrick 212-306-1697, both of the American Stock Exchange/


CO: American Stock Exchange ST: New York IN: FIN SU:

TW -- NY048 -- 6869 10/26/93 11:46 EDT
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Publication:PR Newswire
Date:Oct 26, 1993
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