Just in news. I heard that there is a force selling going on by one broker firm

mra

mra

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anyone got any news about this?

PGCR

PGCR

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it should be Bartleet..

wiki

wiki

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This will trigger a vicious cycle ..

I think there is margin call by PABC

ABEST

ABEST

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yeap,
i think Lanka Security is doing that

ABEST

ABEST

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@PGCR wrote:it should be Bartleet..

BMS is not so far. because i have debit balance in BMS
my adviser did not call to sell so far

hawklk

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If this is true....The SEC should regulate this. One broker firm or firms cannot be allowed to ruin the market as whole. This is where SEC failed......

I would like to see SEC further reduce the broker fee or put in different fee band.

1. Just to act as a broker between CSE and client a fee band
2. The above + investment advice another fee band

As for once I do not trust these so called "Investment advisers"

kelumhewage

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again....capital trust sold my at 80% lost...

Chinwi

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Yes. Margin account holders have to maintain a portfolio value double (or more) of their debt taken from the provider.

When share prices fall portfolio value goes down but their debt remains same or goes up monthly with the interest. Either they have to put money to the account or sell shares to balance the amount.

Yes , at the moment we are watching the horrorous outcome of this vicious cycle .
Shares down -> Margin call -> sell shares to pay -> selling pressure -> prices go down -> new margin call -> again selling -> ......... so on.

Unfortunately this do not spare the people who do not use margin trading.

When you get into the opposite you can see the other cycle.

Shares up -> portfolio value up = more margin(buying power) -> buy using increased margin -> buying pressure -> shares go up -> portfolio up -> more margin -> buy -> .....

What is the name for this cycle ? Sansara Asha ?

Deva

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@kelumhewage wrote:again....capital trust sold my at 80% lost...

Didn't they atleast call you before selling?

mra

mra

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@kelumhewage wrote:again....capital trust sold my at 80% lost...

ok. the heard news got confirmed. tks

Roboticfx

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SEC should take urgent actions against this if it wants to keep the market strong and healthy.

http://www.reuters.com/article/2012/01/23/markets-srilanka-idUSL4E8CN59620120123

bakapandithaya

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@mra wrote:

@kelumhewage wrote:again....capital trust sold my at 80% lost...

ok. the heard news got confirmed. tks

Will others may follow Crying or Very sad

ss7097

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Hi Guys,

I got news from one of my colleagues who also having account with Asha Phillip has informed that Asha phillip cannot give credit. But same broker has promised us that they will allocate 40% of our portforlio as Credit when CSE has allocated more credit to broker firms. We're new to CSE and can anyone who has more experience in this market know whether brokers cannot allocate credit for their customers. Is this CSE gives credit only for brokers to buy and sell shares on this allocated credit their own or to allocate credit for their customers.

Cheers

warna123

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News is 100% confirmed,I personally know,Asha phillips is doing force selling

A2Z

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Capital Trust is the worst brokering firm i have ever seen. Making people more poor and poor

Roboticfx

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@A2Z wrote:Capital Trust is the worst brokering firm i have ever seen. Making people more poor and poor

Why did you say this? Please write down in details briefly about your experience.

econ

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@Chinwi wrote:Yes. Margin account holders have to maintain a portfolio value double (or more) of their debt taken from the provider.

When share prices fall portfolio value goes down but their debt remains same or goes up monthly with the interest. Either they have to put money to the account or sell shares to balance the amount.

Yes , at the moment we are watching the horrorous outcome of this vicious cycle .
Shares down -> Margin call -> sell shares to pay -> selling pressure -> prices go down -> new margin call -> again selling -> ......... so on.

Unfortunately this do not spare the people who do not use margin trading.

When you get into the opposite you can see the other cycle.

Shares up -> portfolio value up = more margin(buying power) -> buy using increased margin -> buying pressure -> shares go up -> portfolio up -> more margin -> buy -> .....

What is the name for this cycle ? Sansara Asha ?

thankjs and nicely explained chinwi.. That this is vicious circle of margin pressure

aj

aj

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1. Veena Jan 24
With last weeks announcement about restarting of SEC inquiries in to malpractices, some brokers and manipulators want show the new chairman who is the boss.

From comments http://lbo.lk/fullstory.php?nid=1702018582

Hope the SEC has a spine to punish and banish these brokers and manipulators.

Soundchips

Soundchips

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@warna123 wrote:News is 100% confirmed,I personally know,Asha phillips is doing force selling

No evidence of force selling.

prasa2004

prasa2004

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i am trading from overseas via directfin online with ASHA and usually have no communication with them. i generally carry forward 50,000-75,000 rolling settlement due and they have not forced sale but instead apply interest. i do not know the amount is small for them to force sell.

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Just in news. I heard that there is a force selling going on by one broker firm

1 Just in news. I heard that there is a force selling going on by one broker firm Tue Jan 24, 2012 11:43 am

mra

2 Re: Just in news. I heard that there is a force selling going on by one broker firm Tue Jan 24, 2012 11:53 am

PGCR

3 Re: Just in news. I heard that there is a force selling going on by one broker firm Tue Jan 24, 2012 11:54 am

wiki

4 Re: Just in news. I heard that there is a force selling going on by one broker firm Tue Jan 24, 2012 11:57 am

ABEST

5 Re: Just in news. I heard that there is a force selling going on by one broker firm Tue Jan 24, 2012 11:59 am

ABEST

6 Re: Just in news. I heard that there is a force selling going on by one broker firm Tue Jan 24, 2012 11:59 am

hawklk

7 Re: Just in news. I heard that there is a force selling going on by one broker firm Tue Jan 24, 2012 12:08 pm

kelumhewage

8 Re: Just in news. I heard that there is a force selling going on by one broker firm Tue Jan 24, 2012 12:23 pm

Chinwi

9 Re: Just in news. I heard that there is a force selling going on by one broker firm Tue Jan 24, 2012 12:24 pm

Deva

10 Re: Just in news. I heard that there is a force selling going on by one broker firm Tue Jan 24, 2012 12:36 pm

mra

11 Re: Just in news. I heard that there is a force selling going on by one broker firm Tue Jan 24, 2012 12:43 pm

Roboticfx

12 Re: Just in news. I heard that there is a force selling going on by one broker firm Tue Jan 24, 2012 12:47 pm

bakapandithaya

13 Re: Just in news. I heard that there is a force selling going on by one broker firm Tue Jan 24, 2012 12:47 pm

ss7097

14 Re: Just in news. I heard that there is a force selling going on by one broker firm Tue Jan 24, 2012 10:09 pm

warna123

15 Re: Just in news. I heard that there is a force selling going on by one broker firm Wed Jan 25, 2012 9:05 am

A2Z

16 Re: Just in news. I heard that there is a force selling going on by one broker firm Wed Jan 25, 2012 9:10 am

Roboticfx

17 Re: Just in news. I heard that there is a force selling going on by one broker firm Wed Jan 25, 2012 9:21 am

econ

18 Re: Just in news. I heard that there is a force selling going on by one broker firm Wed Jan 25, 2012 9:24 am

aj

19 Re: Just in news. I heard that there is a force selling going on by one broker firm Thu Jan 26, 2012 8:15 am

Soundchips

20 Re: Just in news. I heard that there is a force selling going on by one broker firm Thu Jan 26, 2012 8:20 am

prasa2004

21 Re: Just in news. I heard that there is a force selling going on by one broker firm

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