Be careful with Acuity Stockbrokers...

Jana1 wrote:I can give you guys my common opinion. Before change broker make sure your new broker is good. I know CT smith very well but they dont have on-line facility. But I can tell one thing dont ever open anyaccount with Asha P----. They are the worst people. They now asked their credit clients to stop trading until December and advised them the market is going to collapse sooner. Even those people recommend to buy shares during the July down market.

I cant agree with you on this.. I do even hate this force selling drama but what AshaPhillip practicing is the normal procedure of credit.. The more you use credit, the more u get indebtted.. so when u cant get the expected return u started selling then the shares started fallin in a bear period like this and ultimately most ppl suffer..
So at least if brokers dont allow too much credit the drama will soon be over.. At least ppl will stay with what ever they have not going to earn quick buks sending stocks down..

Not only them, many other brokers even advised buying shares on the down market.. very few I think have identfied the running shares though

What I dont like is the continuous problems with DirectFN.. sometimes portfolio issues, loggin issues, online tradin issues..

bloody Asha phillips call on 3rd day. They telling "if you don't settled credit today, our ### team will sell it in tomorrow morning may be before you are selling".
When they selling they don't care about losses to clients. They sell like crazy

mee yakkunta mase anthima dawasa wenakota credit clear kalama athi. SEC eken kiyala neha 4 dawase ude clear karanna oona kiyala. sathiyakata kalin mata kiwwama mama kiwwa "kahanawanam sell karaganna kiyala"

eeta passe u mata katha karanne neha.

smallville wrote:

Jana1 wrote:I can give you guys my common opinion. Before change broker make sure your new broker is good. I know CT smith very well but they dont have on-line facility. But I can tell one thing dont ever open anyaccount with Asha P----. They are the worst people. They now asked their credit clients to stop trading until December and advised them the market is going to collapse sooner. Even those people recommend to buy shares during the July down market.

I cant agree with you on this.. I do even hate this force selling drama but what AshaPhillip practicing is the normal procedure of credit.. The more you use credit, the more u get indebtted.. so when u cant get the expected return u started selling then the shares started fallin in a bear period like this and ultimately most ppl suffer..
So at least if brokers dont allow too much credit the drama will soon be over.. At least ppl will stay with what ever they have not going to earn quick buks sending stocks down..

Not only them, many other brokers even advised buying shares on the down market.. very few I think have identfied the running shares though

What I dont like is the continuous problems with DirectFN.. sometimes portfolio issues, loggin issues, online tradin issues..

I cant agree with your comments about Asha Pillip... They reduced credit period from T+5 to T+3, They don't care about small investors at the moment...

When I started out trading at cse, I faced a similar problem.y broker sold my shares without informing me.I brought this to the attention of Chairman of the company, who was a classmate. This settled the matter in my favour promptly.

banarahu wrote:I cant agree with your comments about Asha Pillip... They reduced credit period from T+5 to T+3, They don't care about small investors at the moment...

Legally they don't have to do reduce T+5 unless it is month end. Even SEC will not ask about it. This can be help to get a idea about Asha Phillip client service.
sinhalen kiyanne kuhaka kama kiyala

do not buy on credit guys. you will end up in loosing.only brokers will earn money from giving credits.

econ wrote:do not buy on credit guys. you will end up in loosing.only brokers will earn money from giving credits.

Yes that is the simplest option...
But thing is coming with new comers. when some invest in first time they don't have any idea about market or brokers. usually they coming by a recommendation of someone. At the beginning they believe their broker and ask what are best stocks to buy. Then they fellow broker recommendations. most of times new comers don't know about the stock. specially is it a long term, medium term or Short term. Majority of broker recommendations are wrong or long term. Then people have to hold their invested money for long term...
Then they try to be active in some way,
This is one of the major reasons for credit purchase by people other than they hang on a bull run...

Thanks small, slstock, Gaja and friends,

Thanks for the Great advices, Generally i do not buy on credit with Acuity, this was happened because of relaxation of credit rule.

Now i am planing to make complaint to SEC, but only pain is the adviser who is good friend of mine, If i make a compliant, ultimately his job and licensee is question ( Even his manager did forced selling, manager will pass the blame to my adviser and he will escape from this issue)

Now i am little bit confused, whether to make compliant or not, But if we ignore this , the same problem will be faced by other Innocent investor.

As small said, First I planing to meet with CEO and brief about this incident, and wait for his response, then depend on his response, will decide for other step.

Friends, I just opened up this topic to alarm our members who dealing with Acuity or even other brokers who doing same procedures and to get some advices, but not my intention to impair Acuity Name.

So Friends Be careful on this

I dont think so. My Broker is Asha phillip. Non of my shares have been sold without informing me. i have been given credit more than 50% of my portfolio some times.

GAIN wrote:I dont think so. My Broker is Asha phillip. Non of my shares have been sold without informing me. i have been given credit more than 50% of my portfolio some times.

Hi Gain

As small said the credit granted and flexibility on settlement period solely depend on the relation with you and ur broker. That is main reason here we get different views from our members. I also had good relation with my broker as he is my childhood friend, because of him only i opened up a/c with Acuity. Today I was cheated. Tomorrow will be you or other our innocent member.

So Be careful with these brokers.

I also had same experiance.at least they don't ask what stocks to sell.In my case he has sold my old stocks with huge loss.I inquired from my adviser .he said he was unaware about stocks they sold @ it was totaly done by some other dept of the firm.I made a complaint, nothing happend.But they play with our hardly earn money irresponsibly. eventhough they dont give valuable advices they should have a sense to select stocks for forceselling,on behalf of small invester. without causing huge losses.(if anybody made a complain to cse pl let me know)

Felling sorry about Seyon and mcqueen. So according to our members, better to avoid trading with Aquity since they do not have any ethics and responsibility towards small investors. Even experienced person Like Seyon got into their trap. So what about new comers ?

seyon wrote:

GAIN wrote:I dont think so. My Broker is Asha phillip. Non of my shares have been sold without informing me. i have been given credit more than 50% of my portfolio some times.

Hi Gain

As small said the credit granted and flexibility on settlement period solely depend on the relation with you and ur broker. That is main reason here we get different views from our members. I also had good relation with my broker as he is my childhood friend, because of him only i opened up a/c with Acuity. Today I was cheated. Tomorrow will be you or other our innocent member.

So Be careful with these brokers.

1.Today U 2marow us, so request refund the loss, if not make complain. Ur Post is limited to the members who read ur post. That does not stop broker monopoly in Sri lanka.
2.Calculate and see , u cant make profit on credit purchase but ur brocker can. ( when u credit purchase U ar becaming a brocker to ur broker )

My Conclusion "We pay brokerage, but we do not get the service in the satisfactory level from brokers !!!! "

seyon wrote:Thanks small, slstock, Gaja and friends,

Thanks for the Great advices, Generally i do not buy on credit with Acuity, this was happened because of relaxation of credit rule.

Now i am planing to make complaint to SEC, but only pain is the adviser who is good friend of mine, If i make a compliant, ultimately his job and licensee is question ( Even his manager did forced selling, manager will pass the blame to my adviser and he will escape from this issue)

Now i am little bit confused, whether to make compliant or not, But if we ignore this , the same problem will be faced by other Innocent investor.

As small said, First I planing to meet with CEO and brief about this incident, and wait for his response, then depend on his response, will decide for other step.

Friends, I just opened up this topic to alarm our members who dealing with Acuity or even other brokers who doing same procedures and to get some advices, but not my intention to impair Acuity Name.

So Friends Be careful on this

The way ur friend has act and talked does not show that he is ur good friend.Good friend today may be the worst one tomorrow.In this money minded world it is difficult to trust anyone.

Of course they have the right to force sell but when they do it they should,not have to or must, do it in the way in which the client would have minimum loss..That is the ethical way.But in this money minded world we can not expect such ethics.A murderer will kill even a innocent man for a small amount of money.

Hope u will not furthur loose ur valuable time and money on this issue.

rijayasooriya wrote:

The way ur friend has act and talked does not show that he is ur good friend.Good friend today may be the worst one tomorrow.In this money minded world it is difficult to trust anyone.

Of course they have the right to force sell but when they do it they should,not have to or must, do it in the way in which the client would have minimum loss..That is the ethical way.But in this money minded world we can not expect such ethics.A murderer will kill even a innocent man for a small amount of money.

Hope u will not furthur loose ur valuable time and money on this issue.

Well said brother, We can not believe anyone, even he is good friend or relative. This is good experience to me with the cost.

my dear friends i went through you all comments about Acuity S/B. Do not pass your mistake to broker. any way i also do not recommend that thing if he force sell without informing investor. but dear friend you has tried earn money using Acuity Funds without using your money so how you are going to blame broker. as well as you also should have a general knowledge about SEC rules. Broker have given at least five days to settle your debt balance but Sec is not given any single extra day to settle outstanding of broker firm. they must pay on time. as well as you should keep better relationship with your advisor. SEC is not extend settlement dates. when you are going to buy stocks you should have enough money to settle it if so you wont loss your money. the main thing do not try to earn by using others
money that is the unethical thing.

pkumara wrote:the main thing do not try to earn by using others
money that is the unethical thing.

What do u say about marginal trading and bank loans taken by bussinessman ?

they paid finance charge for that

pkumara wrote:my dear friends i went through you all comments about Acuity S/B. Do not pass your mistake to broker. any way i also do not recommend that thing if he force sell without informing investor. but dear friend you has tried earn money using Acuity Funds without using your money so how you are going to blame broker. as well as you also should have a general knowledge about SEC rules. Broker have given at least five days to settle your debt balance but Sec is not given any single extra day to settle outstanding of broker firm. they must pay on time. as well as you should keep better relationship with your advisor. SEC is not extend settlement dates. when you are going to buy stocks you should have enough money to settle it if so you wont loss your money. the main thing do not try to earn by using others
money that is the unethical thing.

Hi Friend

Generally Brokers do not give credit free of charge, they charging the interest on that.

Hi ! seyon.



you Can complain to SEC .But iF you have not pre arranged a written agreement on credit (with your stockbrokers stating credit limit , settlement sources .......etc).brokers have rights to sell the shares and get their dues.(without informing you , bcoz firstly it is your responsibilty to settle your dues ,secondly it is broker's and latter has happened in this senario).

selling price cannot be challenged , if they have sold it in the open market other than crossing.

soileconomy wrote:Hi ! seyon.



you Can complain to SEC .But iF you have not pre arranged a written agreement on credit (with your stockbrokers stating credit limit , settlement sources .......etc).brokers have rights to sell the shares and get their dues.(without informing you , bcoz firstly it is your responsibilty to settle your dues ,secondly it is broker's and latter has happened in this senario).

selling price cannot be challenged , if they have sold it in the open market other than crossing.

Yesterday I briefed to CEO by email and i mentioned that based on your response, this matter will be taken up to SEC. He replied that He will inquire on this and revert to me in due course.

Will see How he will take this matter.

@sayon

Now they are a bit relaxed. ....I think they were also under pressure to send reports at the end of the month. ...... This possibility was openly discussed towards the end of August.. …..Stay in the market, now it is recovering. ....all suffered losses during difficult periods. Those who did not have any thing to clear also suffered due to price depreciation. ....now things are recovering….. this is the time to concentrate on investments…..

pkumara wrote:but dear friend you has tried earn money using Acuity Funds without using your money so how you are going to blame broker.

pkumara wrote: the main thing do not try to earn by using others money that is the unethical thing.

Then why the hell Acuity signed to MOU between brokers and asked SEC to allow them to give credit to retailers ?
pkumara, Acuity can give credit up to thier NAV. Don't say Acuity don't have any assets. They used innocent individual retailers to get approval for credit, then allocate chunks of credit to them self. That's the unethical thing.
Ethically Acuity can't say that is their money. They promised SEC this is for give credit to retailers not for them self , lol. You can easily find interviews of broker chiefs. Everywhere they used the term "Retailer Credit". Can you give me any where they used the term "Broker Credits"
When retailer credit get approved they claiming this is "Broker credit" that's for them self
den apita penawa Acuity, Asha phillips, brokers la retailers la gana hadapu kibul kadulu. credit labunama ko e ayage kadulu ?
Retailers must leave this kind of cunning brokers

pkumara wrote:
as well as you also should have a general knowledge about SEC rules. Broker have given at least five days to settle your debt balance but Sec is not given any single extra day to settle outstanding of broker firm. they must pay on time. as well as you should keep better relationship with your adviser. SEC is not extend settlement dates.

Don't try to mislead. It is true SEC hasn't extended settlement days. But they relaxed the force selling restrictions. That was the problem to the market. Where it came the settlement date ? LOL
One thing you have not get from the SEC rule. They never asked brokers to report to SEC daily. It is once for the month. On that day they should have credit less than NAV. If I take a credit on 2nd of any month and sell it on 10th of the same month is the broker firm get into a trouble by any SEC rule ? I think no. Funny thing is, in this situation they have reduced the force selling date to T+3 (Asha phillip). They call on T+3, tell you have a settlement on today. If you don't settle it today our team will force sell it on tomorrow morning.

pkumara wrote:my dear friends i went through you all comments about Acuity S/B. Do not pass your mistake to broker. any way i also do not recommend that thing if he force sell without informing investor. but dear friend you has tried earn money using Acuity Funds without using your money so how you are going to blame broker. as well as you also should have a general knowledge about SEC rules. Broker have given at least five days to settle your debt balance but Sec is not given any single extra day to settle outstanding of broker firm. they must pay on time. as well as you should keep better relationship with your advisor. SEC is not extend settlement dates. when you are going to buy stocks you should have enough money to settle it if so you wont loss your money. the main thing do not try to earn by using others
money that is the unethical thing.

Yes i agree with you on this "Do not pass your mistake to broker. any way i also do not recommend that thing if he force sell without informing investor. but dear friend you has tried earn money using Acuity Funds without using your money so how you are going to blame broker." The very same thing happened to me as well, last week my broker sold my shares without even informing me. But the thing is that he (name start with C) sold more than the credited value.

"A stockbroker is an individual who is especially trained and certified to participate in the securities market on behalf of clients. "
most of the time my broker (c) not answering the phone. actually he's seems very very busy person ... then i meet guy on the 5th floor name Dilanjan ... i ask him to buy some shares he sold my HVA shares instantly with 15000/- loss (i got 5000 shares 17.6) ..... but he sold 15.... then purchase CSD at 19.6..... but now HVA reach almost 60 .... .

dishii wrote:

pkumara wrote:my dear friends i went through you all comments about Acuity S/B. Do not pass your mistake to broker. any way i also do not recommend that thing if he force sell without informing investor. but dear friend you has tried earn money using Acuity Funds without using your money so how you are going to blame broker. as well as you also should have a general knowledge about SEC rules. Broker have given at least five days to settle your debt balance but Sec is not given any single extra day to settle outstanding of broker firm. they must pay on time. as well as you should keep better relationship with your advisor. SEC is not extend settlement dates. when you are going to buy stocks you should have enough money to settle it if so you wont loss your money. the main thing do not try to earn by using others
money that is the unethical thing.

Yes i agree with you ......., this things happen to me as well .... last week my broker sold my shares without informing me .. but thing is he sale more then the credit value the broker name start with (C...) ....

"A stockbroker is an individual who is especially trained and certified to participate in the securities market on behalf of clients. "
normally my broker (c) not answering the phone most of the time ... actually he's seems very very busy person ... then i meet guy on the 5th floor name Dilanjan ... i ask him to buy some shares he sold my HVA shares instantly with 15000/- loss (i got 5000 shares 17.6) ..... but he sold 15.... then purchase CSD at 19.6..... but now HVA reach almost 60 .... .

agree with him regarding what points ?

Hi there,

According to my knowledge, No one can force sell, without informing the client. That is that must inform the client 'we have to force sell share xxx at xxx price to regularise account." "What do you say?? Can you deposit the money or shall we sell ??" If you can not deposit they will sell, if you deposit the due cash then no issue for them. It is the logical and correct thing to do by the broker. I think here ur advisor/dealer forgot to inform u and now ur advisor is trying to cover up his error?

You report this matter to CSE it is a violation of your rights. No one can force sell? Reason: we buy on credit even if we have cash in hand in our bank accounts - thinking we can shape it by selling quickly.

They must tell us b4 force selling so that we can withdraw cash and deposit to regularise the account. As simple as that. Although this did not happen to me I am very angry.!! Advice : I don't buy on credit even if I have small amount as Rs 500 on red side I deposit cash immediately so that I am square with them. Time to change ur broker as well!
sumith9999

sumith9999 wrote:
Hi there,

According to my knowledge, No one can force sell, without informing the client. That is that must inform the client 'we have to force sell share xxx at xxx price to regularise account." "What do you say?? Can you deposit the money or shall we sell ??" If you can not deposit they will sell, if you deposit the due cash then no issue for them. It is the logical and correct thing to do by the broker. I think here ur advisor/dealer forgot to inform u and now ur advisor is trying to cover up his error?

You report this matter to CSE it is a violation of your rights. No one can force sell? Reason: we buy on credit even if we have cash in hand in our bank accounts - thinking we can shape it by selling quickly.

They must tell us b4 force selling so that we can withdraw cash and deposit to regularise the account. As simple as that. Although this did not happen to me I am very angry.!! Advice : I don't buy on credit even if I have small amount as Rs 500 on red side I deposit cash immediately so that I am square with them. Time to change ur broker as well!
sumith9999

Well sumith9999 u seems to be very rare breed in CSE , no one will go for credit if they got cash in hand , person might go for a day trade and maximum up to t+5 not till their counters get forced sell. and how sure are u that brokers can't force sell???? informing the client doing that is of-course good business ethic, which is something we sees rarely in today's business world.

dishii wrote:

Yes i agree with you on this "Do not pass your mistake to broker. any way i also do not recommend that thing if he force sell without informing investor. but dear friend you has tried earn money using Acuity Funds without using your money so how you are going to blame broker." The very same thing happened to me as well, last week my broker sold my shares without even informing me. But the thing is that he (name start with C) sold more than the credited value.

"A stockbroker is an individual who is especially trained and certified to participate in the securities market on behalf of clients. "
most of the time my broker (c) not answering the phone. actually he's seems very very busy person ... then i meet guy on the 5th floor name Dilanjan ... i ask him to buy some shares he sold my HVA shares instantly with 15000/- loss (i got 5000 shares 17.6) ..... but he sold 15.... then purchase CSD at 19.6..... but now HVA reach almost 60 .... .

As i earlier said brokers do not lend on free of charge, we paying interest on that. Now this all happened due to not proper understanding of the new rule, closer to the month end only top mgt realized that firm does not have a sufficient fund to lend to the retailers, that does not meant that they have rights to do the force selling of the innocent retail investors outstanding. I know well so called C, He does not care about the investors, Now the brokers are keen on achieving their target and tried to earn the commission as much as they can.

Same thing to happened to me also, After this incident My Adviser called me yesterday and briefed, He said after announcement of the new rule He was allocated to lend 10Mn for his clients and he also managed with in that limit. On closer to the month end, his manager instructed to reduce his consolidated exposure to 6Mn, the he was forced to sell of his all clients proportionately.

Now u can imagine the Acuity top management's responsibility. Even they don't know their net liquid position. I know some of them do not have any paper qualification. Still i am waiting CEO response to go for the Next step.

Thanks for the open discussion on the issue of force selling. ....Now realize that, still there is a possibility of credit based stocks declining further due to this effect of force selling which takes place time to time at the CSE......

Investment oriented stocks which grow on corporate earnings and cash rich conglomerates remains the safest option. ...This scenario seems to have been proven repeatedly at the CSE.... monday onwards I buy only stocks with good results..... That is the reason why it is important to stick to financial results all the time....

Hi Friends,

Today CEO replied me that the compliance officer is carrying out inquiry and will replay the final outcome within day or two.

The way he replied me shows me He is very genuine and helpful. So if someone ( Our forum members) were affected due to the forced selling by the Acuity Stockbrokers, You could also contact CEO. He can help you.

If u need contact details, u can contact me through the PM.