nt, wor-]
| 1. | authorization, sanction, or justification. |
| 2. | something that serves to give reliable or formal assurance of something; guarantee, pledge, or security. |
| 3. | something considered as having the force of a guarantee or as being positive assurance of a thing: The cavalry and artillery were considered sure warrants of success. |
| 4. | a writing or document certifying or authorizing something, as a receipt, license, or commission. |
| 5. | Law. an instrument, issued by a magistrate, authorizing an officer to make an arrest, seize property, make a search, or carry a judgment into execution. |
| 6. | the certificate of authority or appointment issued to an officer of the armed forces below the rank of a commissioned officer. |
| 7. | a warehouse receipt. |
| 8. | a written authorization for the payment or receipt of money: a treasury warrant. |
| 9. | to give authority to; authorize. |
| 10. | to give reason or sanction for; justify: The circumstances warrant such measures. |
| 11. | to give one's word for; vouch for (often used with a clause to emphasize something asserted): I'll warrant he did! |
| 12. | to give a formal assurance, or a guarantee or promise, to or for; guarantee: to warrant someone honorable treatment; to warrant payment; to warrant safe delivery. |
| 13. | to guarantee the quantity, quality, and other representations of (an article, product, etc.), as to a purchaser. |
| 14. | to guarantee or secure title to (the purchaser of goods); assure indemnification against loss to. |
| 15. | Law. to guarantee title of an estate or other granted property (to a grantee). |

war·rant (wôr'ənt, wŏr'-) n.
[Middle English warant, from Old North French, of Germanic origin; see wer-4 in Indo-European roots.] war'rant·a·bil'i·ty, war'rant·a·ble·ness n., war'rant·a·ble adj., war'rant·a·bly adv., war'rant·less adj. |
Warrant
A derivative security that gives the holder the right to purchase securities (usually equity) from the issuer at a specific price within a certain time frame. Warrants are often included in a new debt issue as a "sweetener" to entice investors.
Investopedia Commentary
The main difference between warrants and call options is that warrants are issued and guaranteed by the company, whereas options are exchange instruments and are not issued by the company. Also, the lifetime of a warrant is often measured in years, while the lifetime of a typical option is measured in months.
Related Links
What Are Warrants?
See also: Call Option, Call Warrant, Convertible Bond, Cum Warrant, Diluted Earnings, Ex-Warrant, Put Warrant, Warrant Coverage, Warrant Premium, XW
Also spelled: warrents, warrent
warrant