How to deal with dealing by directors.?

schacha · 1 How to deal with dealing by directors.? Wed Jul 13, 2011 11:16 pm

schacha

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Directors deal with shares. There is definite story behind the particular dealing.
Is it a real investment plan?
How does the particular director's investment plan suit to us?
Is it just an attempt of a manipulation?
And what else..?

mark · 2 Re: How to deal with dealing by directors.? Thu Jul 14, 2011 12:42 am

mark

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schacha wrote:Directors deal with shares. There is definite story behind the particular dealing.
Is it a real investment plan?
How does the particular director's investment plan suit to us?
Is it just an attempt of a manipulation?
And what else..?

no directors invest plan suite for us,we need a our own strategy of investment,following a director will may be misguided..

there is directors who try to manipulate,but not in always,btw as an example get VONE deals by directors,that director bought some shares at some price and same day sold with little margin or sometimes with little loss.

see this news.

Managing Director Nimal Perera’s play on two million Royal Ceramics shares accounts for 30% of turnover; SLIC buys one million more shares

Deals on Royal Ceramics began with Managing Director Nimal Perera, who is a key player in the market, buying one million shares from Chairman A. Weerasinghe for Rs. 150 each. The latter was partly shedding stake to take profit to raise some cash for a new healthcare venture. As at 31 March, Weerasinghe held 10.2 million shares in RCL.
Making what was his first purchases of RCL shares, Nimal thereafter began collecting available quantities though at rising prices ranging from Rs. 153 to Rs. 163 per share. He had picked up a further one million shares mostly from Bank of Ceylon.
Later on broker for Sri Lanka Insurance General Fund joined the play, picking up one million RCL shares at Rs. 165 each with seller being Nimal.
Analysts said Nimal booked a tidy capital gain within minutes whilst he continues to hold around one million more RCL shares. RCL, which reported Rs. 1.5 billion in profits for the just concluded 2010/11 financial year, saw its share price close up Rs. 8.40 or 5.56% to Rs. 158 yesterday.
Prior to yesterday’s purchase, SLIC General Fund held 0.66% stake whilst its Life Fund owns 2.27% stake in RCL. EPF also owns 4% stake in RCL.

http://www.ft.lk/2011/05/05/deals-within-deals-only-spark-in-bourse/

examples are many,btw go and check dealing by directors in CSE web,you can see this person buy and push the price and pass it to our foolish panic buyers Evil or Very Mad

schacha · 3 Re: How to deal with dealing by directors.? Thu Jul 14, 2011 8:38 am

schacha

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Thanx Mark.
U revealed a good aspect for this matter.
Keep it up..

Liber Abaci · 4 Re: How to deal with dealing by directors.? Thu Jul 14, 2011 10:30 am

Liber Abaci

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mark wrote:

schacha wrote:Directors deal with shares.
I

see this news.

Managing Director Nimal Perera’s play on two million Royal Ceramics shares accounts for 30% of turnover; SLIC buys one million more shares

Now .. do you buy this story . I don't.
As per the above .... Nimal Perera has bought one million shares form A weerasinghe @ Rs 150/- and within minutes sold @ 165/- and booked a tidy capital gain.
So ... Mr perera , as usual, is a genius in making money ,and Mr Weerasinghe is a fool ( He also could have sold to SLIC @ 165/- !)

Think about the following facts also,
# Mr Perera and Mr Weerasinghe are Chairman and Managing Director , respectively of Royal Ceramics for a considerable period

# Both being Directors of some other companies in " Perera Group " as well, we can conclude that they have been business partners / colleagues for a long period of time

#It is mentioned in the Article ....."The latter ( Mr Weerasighe )was partly shedding stake to take profit to raise some cash for a new health care venture". Why the FT Reporter is stating a "unsubstantiated reason" for Mr Weerasinghe to sell ?

I think they , Perera - Weeresinghe - FT reporter, is building a story ( behind the transactions) for us to believe.

Hawk Eye · 5 Re: How to deal with dealing by directors.? Thu Jul 14, 2011 11:28 am

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They are powerful and influential, they do all unethical things to earn money, which our regulators and governors keep a blind eye.

This is Sri Lanka. Be Extra Cautious with all in what they are involved.