Another untimely move by SEC - Foreign listings in Sri Lanka

dineshfernando

dineshfernando

Senior Manager - Equity Analytics

Posts : 573
Join date : 2011-02-05

Please note that I'm not against for IPOs or introductions. But concerned of their timing. I have stopped subscribing for IPOs sometime back.

SEC has to take immediate action to limit the number of IPOs / introductions within a time frame. Some of our investors chase behind overprices IPOs and burn their fingers. Surprisingly they never learn.
As a group we have to boycot overvalued IPOs and introductions.

The market is slowly dying day-by-day. SEC is helping it to die faster as they are going to list foreign firms at CSE. It should be the other way round where our companies must be listed abroad so that our investors will be benefited. It is like repeatedly stabbing a dying person to expedite the death.

http://www.lankabusinessonline.com/fullstory.php?nid=1109642904

You could clearly notice that on Friday 75% of the turnover was VONE and investors didn't even bother for the other undervalued shares.

People are having different views and this is my personal opinion. Please note that I'm not against for IPOs and I always avoid overpriced IPOs.

Sun Jul 10, 2011 10:41 pm by bullrun · Sun Jul 10, 2011 10:41 pm by bullrun

Re: Another untimely move by SEC - Foreign listings in Sri Lanka

Dear Friends,
The SEC never learns lessons by practice. I feel that they do not have market sense. I don’t know whether they have got in to the market even for a shelter in a rain. Shall we convince to the His Excellency MR to instruct so called regulators to not to interfere with the free market. Investors have entered to the CSE having known very well that it is the most risky investment. No any other solution than this. Otherwise they will play their trumpet until the market die.
See, what they have achieved since they came to the driving sheet. How many foreign investors did they fetch down here? What happened to the indexes? How much time they change their actions? Do they want to chase away all small scale investors? We can’t expect justice from them. Shall we get together and meet MR. That is the only option available as I feel.

Mon Jul 11, 2011 10:09 am by lokuayya · Mon Jul 11, 2011 10:09 am by lokuayya

@bullrun,
exactly, someone should intervene to stop this destruction.billions wiped out.all these happen when country's growth rate,inflation control,interest rates,political stability are in favor of the market.there is no terrorism,no tsunamis,
.
see the difference of two regulators .bank regulator and stock regulator.
kabral has the intelligence and expertise.so financial system is stable,interest rate ,inflation under control.
but see the stock regulator set. billions wiped out,investors wiped out.this is the real example for danger of appointing "moda pahe" ,low intelligence people to high key positions.damage they do the country is immeasurable .
regarding going for shopping of foreign companies in to cse by stock regulator ,i see this is another immature work by regulator.salesman job is not regulators duty.let cse to do the selling.what we expect from regulator is level and stable play ground.

Mon Jul 11, 2011 10:24 am by Tiger · Mon Jul 11, 2011 10:24 am by Tiger

bullrun wrote:
Re: Another untimely move by SEC - Foreign listings in Sri Lanka

Dear Friends,
The SEC never learns lessons by practice. I feel that they do not have market sense. I don’t know whether they have got in to the market even for a shelter in a rain. Shall we convince to the His Excellency MR to instruct so called regulators to not to interfere with the free market. Investors have entered to the CSE having known very well that it is the most risky investment. No any other solution than this. Otherwise they will play their trumpet until the market die.
See, what they have achieved since they came to the driving sheet. How many foreign investors did they fetch down here? What happened to the indexes? How much time they change their actions? Do they want to chase away all small scale investors? We can’t expect justice from them. Shall we get together and meet MR. That is the only option available as I feel.

Hi if you were in the chair of Ms. Indrani Sugathadasa or in Malik cadar's. What would you do? What is your advice to those who regulate the market?
More credit? T+365 ? No price bands? No IPOs? Govt funds to support market? all IPOs to be made compulsory to undervalue?

It would be more interesting and useful to start a discussion as to how should the regulations be rather than JVP type hype.

According to me the worst mistake regulators did was keep on postponing credit clearance, by doing that they let the problem grow bigger and bigger. Otherwise we wouldn't have seen this onslaught now.

Mon Jul 11, 2011 11:22 am by lokuayya · Mon Jul 11, 2011 11:22 am by lokuayya

@bullrun,

Your idea of meeting HE Mahinda Rajapaksha is very good.can any senior person volunteer to takeup the role of convener? We will come.full support. This killing should not be allowed to continue.
These people cannot comprehend what is happening.comprehension need some intelligence.
Broker associations have already told what to be done as an advice to the SEC.I read from news papers about brokers representation.I fully agree as a trader /investor.
Only intelligent people can understand and make remedies.

Mahinda Rajapaksha recently told there are economic attacks on the country.Frankly tell me what is the worse attack than what is made to happen in CSE.Is this a case of attacks by own men and women.

Mon Jul 11, 2011 1:45 pm by bullrun · Mon Jul 11, 2011 1:45 pm by bullrun

Dear Tiger,

When did we have this stock market? In 2000s? It is coming from sudda’s period. Why do they want to put all barriers now? I feel that they may be a group from JVP. They want to rune everything. When did we have the best time? When did we have this nature of controllers? My feeling is that they want to do something. They do not worry about the result. Some of the countries allowed even the black money to come to the market in order to develop. But our gang is chasing all small fellows!!!!!!!!!!!!!!!

Mon Jul 11, 2011 1:55 pm by sapumal · Mon Jul 11, 2011 1:55 pm by sapumal

Mahinda chinthana - Kill Stock market retailers, introducing rules as much as possible

Dhaka chinthana - save retailers by pumping money as much as possible

Mon Jul 11, 2011 2:51 pm by Tiger · Mon Jul 11, 2011 2:51 pm by Tiger

sapumal wrote:Mahinda chinthana - Kill Stock market retailers, introducing rules as much as possible

Dhaka chinthana - save retailers by pumping money as much as possible

That is why Bangladesh is such a hopeless country.

All new investors are learning things hard way. In this market last thing that you should do is to sell at the bottom or panic selling. If you are with strong companies with good past results and in low p/e no need to panic.

However if you are with weak fundermentals and bough following rallies or fantastic growth fantasies, sell off even with loss.

This is my personal belief please obtain professional advice before making your investment decision.

Mon Jul 11, 2011 4:47 pm by sapumal · Mon Jul 11, 2011 4:47 pm by sapumal

Tiger wrote:

sapumal wrote:Mahinda chinthana - Kill Stock market retailers, introducing rules as much as possible

Dhaka chinthana - save retailers by pumping money as much as possible

That is why Bangladesh is such a hopeless country.

All new investors are learning things hard way. In this market last thing that you should do is to sell at the bottom or panic selling. If you are with strong companies with good past results and in low p/e no need to panic.

However if you are with weak fundermentals and bough following rallies or fantastic growth fantasies, sell off even with loss.

This is my personal belief please obtain professional advice before making your investment decision.

Fundamental or non fundamental, cash not coming to the market as fast as the value coming from IPO + right issues + introduction