Warrant Premium The premium paid for the rights associated with a warrant. Investopedia Says: Like a derivative option, warrants will have an intrinsic value and extrinsic value. For a warrant, the intrinsic value is the difference between the warrant's exercise price and the market price of the underlying. The premium is anything paid above the intrinsic value for the warrant. Typically the premium will decrease as the price of the warrant rises and the time to expiration decreases. Related Terms: Call Warrant Covered Warrant Harmless Warrant Warrant |