RE:RE:RE:RE:RE:Brain teaser for my buddiesScott uses Cormark to trade his family's $300mm+ fortune, but the company is an Investment Dealer. Their job is to get customers and then make money servicing those customers. When the BG's of the world want to accumulate 15mm shares, they don't sit there all day long buying 1000 shares at a time trying not to move the market.
They pay the spread and commission fee to shops like Cormark to do it for them so BG can spend there time doing other more lucrative tasks. This is why Cormark exists.
When the next Fund comes through wanting 10mm shares, they won't be able to buy them at $5, and who is going to sell them 8% of the company at this point, its not going to happen, prices will move higher.
Couple this with news that could come out at any point or a takeover that could be announced at any time, trading this stock around to lower my cost base is something that I have no interest in if it means I may miss out on the prize due to bad timing.
Get a futures a/c at IB and day trade S&P futures, its way more fun!
Crave.