Allowing only selling the position when a big majority of retails customers cant buy the stock doesnāt allow the stock to potentialy rise in price with more investors, or give the end user much of an option but to take a loss.
Many of these companies may not have risen in price, but the interruption to normal trading has stifled any chance of someone gaining back any lost profits and their only option is to lose money.
This situation doesnāt need people pointing out customers poor investment choices, it needs resolving and the restrictions lifted or just stop offering this service if the broker cant fulfil the trades what other brokers can.
By the way, I have minimal funds invested which are restricted, if I lost that money today I wouldnāt notice it, but I find this stituation unfair and out of principle and for my trust to grow when taking up these positions it would be nice to have some confidence in the service offered, or rather not offered at this time.
I still think its pretty poor 212 hasnāt updated their customers in so long.
Maybe there arenāt any news. Maybe IBKR didnāt give any news to T212, and T212 canāt also give any.
The iliquid stocks have a lot of problems. And any stock could be suspended or limited in any aspect by the regulators, especially the micro/small caps and the OTC traded stocks. So brokers canāt do anything to avoid.
Next time my customers are waiting for me to deliver something to them, I just wonāt update them. Let them guess that I still care, or am trying to procure the stock or resolve the hold up. Thatāll go down well
Just because 212 havenāt been able to resolve the issue, doesnāt mean they cant reassure or check in with their customer base now and then, and share what steps they have taken recently to resolve this, or explain that they are still at stalemate with their intermiediary.
Good communication goes a long way, and at least reassures people their situation is not being ignored or forgotten about.
If they anticipate this situation is not going to be resolved in the short term, I mean 6 months isnāt that short, but lets say another 3 months, then people might actually decide to cut their loses.
Also other brokers are trading some of these stocks, so its not purely an illiquid stock issue or implausible this can be resolved.
The last actual update I can see from a staff member regards this was back in April.
Updates were to be posted in this thread it says, and it was not due to liquidity on the whole as the main issue.
Perhaps there is no communication, simply because there is no update? Would a simple āno updateā from the broker/regulator suspension be sufficient once a fortnight or so?
Or, perhaps a checkbox on the stock, so you could get an āin appā message, once itās available again, or if there are any regulatory news/announcements?
We have to remember it is in the interest of both broker and customer to allow the purchase of securities. Itās not helping 212 not allowing us to buy certain stocks, instead itās giving them more grief. Itās a bit like going into a supermarket and complaining thereās no bread in stock, no one knowing when they will have it back in stock.
Itās well known that irregular trading activity throws up flags either by the regulator, and/or the brokers own controls, and we are at the mercy of InteractiveBroker and the regulators.
Brokers have to show they have āappropriate controlsā to the regulators in order to maintain their licence. This can include suspending stocks, while the source of trade activity is investigated, much to our annoyance but it is for our protection.
Through a GIA you can use multiple brokers and try different places. I think 212 grant us access to the most stocks out of the fintech platforms. Perhaps it would be easier for them not to offer these stocks at all, and set a minimum 90 day average liquidity level before adding, but that is not in the spirit of this community.
That all said, the market and regulations need to change with the times. I say let people buy what they want and they will learn through experience. There has been a massive influx of retail investors in the markets which is firing a lot of trading halts with the old rules on certain stocks, and we have to admit some of this retail activity we all know is market manipulation.
Perhaps you could help the community by starting a petition with the regulators to review the restrictions and gather retail support?
Hey T212 team, any updates on this at all, as you mentioned it was due to volumes coming out of this platform, surely there has been 0 volume on said stocks for the last 6 months so things are skewed the other way? Can no longer obviously be a volume issue? I just want to buy more and enjoy the platform otherwise
Surely there is no longer any risk of suspension with such a long ban?
Any idea at all on time lines for this to drag on?
Reading between the lines from official posts here and there, it seems IBKR doesnāt hold T212 in high regard as a client, and doesnāt make much of an effort to interact with them on a support level.
What IBKR is explaining there sounds rather unusual, and a little suspicious, but Iām no expert on the matter, thatās just my gut feeling.
How irregular could the trading have been compared to many other OTC and non-OTC tickers? And what is the definition of irregular here, haha, sounds vague.
Or it could be clever. The company that placed the trading halt might recognise it is from a specific sub section of their customer book and place the ban on that(I think sells should always be allowed).
As a workaround they are proposing moving the record to another location to allow the sale.
It is good that they are providing a workaround; something is better than nothing.
However, personally for the size of my position, there would be no value in me migrating my position as itāll probably cost me more in transfer fees than the value of my investment if it was even possible. I suspect many other T212 investors in LLKKF will be in the same position.
Iāve resigned myself to the fact that that investment is a loss. To hedge against future suspensions and trade restrictions on the OTC tickers through T212, I use a different platform for any new OTC positions.
With regards to LLKKF being suspended from trading, does that mean current holders will not receive the āBonus Optionsā, or proceeds from the sales if they are liquidated by T212?
Iām also surprised by the responses from IBKR in the above posts related to LLKKF as it appears to be in good standing (penny stock exempt, current financials etc), with OTC Markets. I will try to create an order in IBKR later to see if that goes through.
Weāve reactivated purchasing of the following securities although with limited quantities, initially at least.
Frontier Lithium - 100 shares
Heritage Southeast BankCorp - 12 shares
NanoXplore - 30 shares
Texas Mineral Resources - 160 shares
Perpetual Federal Savings Bank - 2 shares
Sysorex - 115 shares
The number of shares indicates the maximum position size one can accumulate. If you have a position equal to or larger than the limit, your position will not be closed or reduced, you just will not be able to purchase any additional shares. Weāre in the process of reactivating buying additional securities that have a market cap of above $50 mln.
Also, the buying limits currently in place will not be constant, theyāll likely increase over time although slightly.
Why we donāt have any update on the charts for LLKKF ? I understood that we should wait to do what we want with our money which is in my opinion total madness but to have the charts blocked ??? When will we have this problems solved . As a company you should provide more answers and solutions to this kind of problems .
