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The KenolKobil 2015 pendulum
Rank: Elder Joined: 7/21/2010 Posts: 6,194 Location: nairobi
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Aguytrying wrote:Magnate wrote:Can someone shed some more light on block trading at the NSE,I normally see million+ block of shares moved without seeing them being offered as asks/bids on the trading boards.How does this happen?,how does the buyer /seller know what millions of shares are on offer? etc. It's negotiated at the broker level before execution Iam wondering too why such huge blocks don't attract a discount instead they go for a relatively higher price than market price,is this a high value stock confirmation? "Don't let the fear of losing be greater than the excitement of winning."
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Rank: Veteran Joined: 4/16/2014 Posts: 1,420 Location: Bohemian Grove
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mlennyma wrote:Aguytrying wrote:Magnate wrote:Can someone shed some more light on block trading at the NSE,I normally see million+ block of shares moved without seeing them being offered as asks/bids on the trading boards.How does this happen?,how does the buyer /seller know what millions of shares are on offer? etc. It's negotiated at the broker level before execution Iam wondering too why such huge blocks don't attract a discount instead they go for a relatively higher price than market price,is this a high value stock confirmation? Yes.Must be getting a front row seat before FY.
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Rank: Elder Joined: 4/22/2010 Posts: 11,522 Location: Nairobi
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mlennyma wrote:Aguytrying wrote:Magnate wrote:Can someone shed some more light on block trading at the NSE,I normally see million+ block of shares moved without seeing them being offered as asks/bids on the trading boards.How does this happen?,how does the buyer /seller know what millions of shares are on offer? etc. It's negotiated at the broker level before execution Iam wondering too why such huge blocks don't attract a discount instead they go for a relatively higher price than market price,is this a high value stock confirmation? Not really a confirmation of high value stock...I have seen this happen quite a lot especially with the likes of Sasini,lets say there is an investor A who has bought KK over the years and is holding quite a substantial number of KK shares then we have an investor B who wants to purchase a huge block of KK without placing his/her huge bid on board as it would create interest in the share and in turn make the share spike upwards...broker for investor B will approach the one for investor A and agree to cross the shares at a price 10% upwards or downwards of previous VVWAP of KK...usually the seller takes the day crossing at a margin above previous VVWAP and at a rate better than MP... possunt quia posse videntur
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Rank: Elder Joined: 9/23/2009 Posts: 8,083 Location: Enk are Nyirobi
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maka wrote:mlennyma wrote:Aguytrying wrote:Magnate wrote:Can someone shed some more light on block trading at the NSE,I normally see million+ block of shares moved without seeing them being offered as asks/bids on the trading boards.How does this happen?,how does the buyer /seller know what millions of shares are on offer? etc. It's negotiated at the broker level before execution Iam wondering too why such huge blocks don't attract a discount instead they go for a relatively higher price than market price,is this a high value stock confirmation? Not really a confirmation of high value stock...I have seen this happen quite a lot especially with the likes of Sasini,lets say there is an investor A who has bought KK over the years and is holding quite a substantial number of KK shares then we have an investor B who wants to purchase a huge block of KK without placing his/her huge bid on board as it would create interest in the share and in turn make the share spike upwards...broker for investor B will approach the one for investor A and agree to cross the shares at a price 10% upwards or downwards of previous VVWAP of KK...usually the seller takes the day crossing at a margin above previous VVWAP and at a rate better than MP... Very common, saw it in a small exchange where the brokers were literally in the next cubicle. Business conducted after hours. I Wonder what happens at the NSE...calls,emails? Life is short. Live passionately.
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Rank: Elder Joined: 4/22/2010 Posts: 11,522 Location: Nairobi
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sparkly wrote:maka wrote:mlennyma wrote:Aguytrying wrote:Magnate wrote:Can someone shed some more light on block trading at the NSE,I normally see million+ block of shares moved without seeing them being offered as asks/bids on the trading boards.How does this happen?,how does the buyer /seller know what millions of shares are on offer? etc. It's negotiated at the broker level before execution Iam wondering too why such huge blocks don't attract a discount instead they go for a relatively higher price than market price,is this a high value stock confirmation? Not really a confirmation of high value stock...I have seen this happen quite a lot especially with the likes of Sasini,lets say there is an investor A who has bought KK over the years and is holding quite a substantial number of KK shares then we have an investor B who wants to purchase a huge block of KK without placing his/her huge bid on board as it would create interest in the share and in turn make the share spike upwards...broker for investor B will approach the one for investor A and agree to cross the shares at a price 10% upwards or downwards of previous VVWAP of KK...usually the seller takes the day crossing at a margin above previous VVWAP and at a rate better than MP... Very common, saw it in a small exchange where the brokers were literally in the next cubicle. Business conducted after hours. I Wonder what happens at the NSE...calls,emails? @ Sparkly just a call is enough had even forgotten it also ensures the stocks are not picked by another broker when placed on the board... possunt quia posse videntur
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Rank: Elder Joined: 7/21/2010 Posts: 6,194 Location: nairobi
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Is it not hypocrisy for any govt officer to wonder why kenyan fuel prices didn't fall as widely expected when the same govt introduced new taxes on diesel,there is alot of noise which might cause a review of the formula or scrapping it altogether. "Don't let the fear of losing be greater than the excitement of winning."
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Rank: Elder Joined: 8/16/2011 Posts: 2,387
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I have not sold any of my shares i hold. Is the Govt still charging CGT (Capital Gains Tax) fter it was scrapped once more after foreign investors tried to move out?
Again Govt comes to be the Dog with rbbies that bite its owner. Though we wanted Govt to regulate and control pricing where oil industry was a boom, it has now come to be that its the same Govt now catering for the oil industry where the boom has weathered.
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Rank: Elder Joined: 7/21/2010 Posts: 6,194 Location: nairobi
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Realtreaty wrote:I have not sold any of my shares i hold. Is the Govt still charging CGT (Capital Gains Tax) fter it was scrapped once more after foreign investors tried to move out?
Again Govt comes to be the Dog with rbbies that bite its owner. Though we wanted Govt to regulate and control pricing where oil industry was a boom, it has now come to be that its the same Govt now catering for the oil industry where the boom has weathered.  i got emails from my brokers early this month indicating CGT was no more,on the oil prices i forsee action on pricing soon "Don't let the fear of losing be greater than the excitement of winning."
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Rank: Chief Joined: 1/3/2007 Posts: 18,349 Location: Nairobi
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mlennyma wrote:Is it not hypocrisy for any govt officer to wonder why kenyan fuel prices didn't fall as widely expected when the same govt introduced new taxes on diesel,there is alot of noise which might cause a review of the formula or scrapping it altogether. #ThisIsKenya Greedy when others are fearful. Very fearful when others are greedy - to paraphrase Warren Buffett
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Rank: Elder Joined: 7/11/2010 Posts: 5,040
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mlennyma wrote:Is it not hypocrisy for any govt officer to wonder why kenyan fuel prices didn't fall as widely expected when the same govt introduced new taxes on diesel,there is alot of noise which might cause a review of the formula or scrapping it altogether. Without the formula I think the price per litre can only be higher, I don't see govt reducing its taxes. But omc will happily increase distribution costs and margins. The investor's chief problem - and even his worst enemy - is likely to be himself
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