I read the article Understanding Rights Issues, but I don't understand how the selling of those rights issues works in practice.
Do you simply get call options you can sell on an options exchange? Or is there a special exchange where such rights issues are traded?
Do you simply get call options you can sell on an options exchange?
No, you don't get call options that you can sell on an options exchange. Rather, you get rights that you can (generally) sell on the stock exchange.
The right issue is in essence a call option – in that it behaves like one, but it is not considered a standardized option contract.
is there a special exchange where such rights issues are traded?
No. It will normally be done on the stock exchange.
