Tuesday, June 23, 2015

icebergshares unfortunate events


Quite a disappointing evening, I hoped that I would be wrong when I tweeted that a single tweet might be unpopular.

Unfortunately I wasn’t with over 50 replies, and some rather not nice private messages.

1.        It won't make me popular but beware of the two Cornhill pumps #ceb #afpo a few placing shares in both comps being offloaded while ramping”

Quite why a simple tweet asking investors just to beware prevoked such anger is interesting. I didn’t say the companies are over valued, I didn’t say the companies were bad investments. I simple stated one aspect that I thought that investors needed to know/research before investing. Indeed in a follow up tweet I said that just because a company is being ramped while placement shares are being offloaded , doesn’t make that company good or bad. No, certain ego’s felt threatened and out came the insults.

I deliberately didn’t name any names, or make anything personal, as to be honest that’s not me. I care more about the research that folks need to perform and should do on shares, that research should include the brokers, nomads of companies and how money might be raised.

Quite often when this happens the companies are actually quite good/even very good investments, as these are actually easier to pump. The problem is more, that the crew’s move on to the next big thing and the market then becomes flooded, leading to a fall in the share price.

Two or three years ago, companies used YA, Darwin, Bergen to raise cash, investors realised that this killed share prices, as they offloaded into any hint of a share rise for small percentage gains. Now a new way of raising cash is used…

Each share is dealt with differently, but it’s clear that some folks have brought into a placement and flipped, or brought into a placement, ramped the share up, started shorting and then sold the share back down again (why not make money on both the up and down sides of the spike).

Again I won’t name investors, but the fact that, CEB, AFPO, SER, NEW, TEA, RRR all have either Cornhill as their broker or Beaumont as their Nomad, can’t be a coincidence can it? And when we have both of them together, such as with NEW we get some of the worse greed and corporate activity known on AIM.

This piece hasn’t come out of nowhere , I’ve been posting for a few months that investors need to research not only the company but the companies, supporting that company.

I do hope that those folk that seemed to take everything so personally last night, carm down a bit. It all reminds me of the bad old days on the BB’s when a single voice who dared questioned anything got shot down in flames.

Money does strange things to folks.

BTW I am fully aware that we have various (investment) groups on Twitter that seem to take everything personally. For information only I am not with any of them and couldn’t careless. The only thing that I want is a playing field that’s as level as possible for everyone.

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