edited by moneyam

Well I was moaning about the spread earlier....nice story broke after the markets closed today. See below:

LSE to shift all smallcaps to SETSmm
MoneyAM
The LSE said it will press ahead with a plan to shift all trading in small-cap stocks listed on the exchange to SETSmm.

The decision follows a review that found trading costs have been reduced by a move of the 200 largest Main Market Small Cap Index stocks to SETSmm.

The exchange shifted these stocks onto SETSmm in July and the remaining 100 Main Market Small Cap stocks and the constituents of the AIM 50 index will be transferred on December 5th.

The London Stock Exchange today published the findings of an independent review of the first three months of trading for these stocks on the new system and added it 'provides clear evidence that SETSmm has driven down trading costs in small cap securities, resulting in considerable benefits to the market as a whole.'

The LSE's director of market services and head of AIM Martin Graham said: 'SETSmm has reduced spreads in small cap securities by 33% by combining order books with the established quote driven way of trading giving investors greater choice.'

The shift has resulted in higher trading volumes on SETSmm, with September volumes up 25 pct from June, the last full month that these stocks were traded on SEAQ.

The exchange said that transaction costs have been cut by 30%, and for larger trades the reduction is 10% compared to trading on SEAQ in June.

'The market efficiencies generated by SETSmm have been particularly good news for private investors, who by our calculations have saved over 2m in improved prices since July 2005, compared to the previous quote only system,' Graham said

Sue - I think you'll find that DMR doesn't have a full listing and isn't in the AIM 50, either!

PMSL!!

Rgds
dell

All IMHO, DYOR etc.

Good Morning

Thankyou dell314....

In the meantime...I will continue with my buying spree in DMR whilst everyone else is sleeping.

Among the small caps and other stocks being hit hard....FTSE now down 86 points....nice to see DMR stable. Level 2 at 2 v 2.

sue, there already is a "talk to yourself " thread........just in case you hadn't seen it.

Good Afternoon bosley....I have seen it thanks. I might visit that thread in the not too distant future. Then again, in the near future there might just be more than myself posting on this thread.

I'm sure I'm not cracking up here on my own....

Spread of 43% that's putting people off and so better play's eslewere like HHO

double click, sorry

The actual spread is 0.20-0.30 pence....small caps stocks such as these with high risk and high rewards have always spreads like these.

People will be paying much higher prices that the quotes ones once the news comes through. I would expect the MMs to possibly operate a smaller spread then but at much higher levels that today's levels ala BrainSpark (BSP).

Another large buy for DMR has just come through.....

500,000 buy has come through at 0.30 pence from an hour ago.

Someone seems to have got a few million buy order at limit over the last week at 0.30 pence which slowly seems to be getting executed.

We had the 650,000 buy....followed immediately by the 350,000 buy at the same price of 0.30 pence earlier this week.

Cor blimey...same time as well....the 650,000 and 350,000 buys earlier this week were put through originally at a time of 9.51 a.m and came through as delayed an hour later.

Exactly the same occurence with the 500,000 buy just reported.

Level 2 still the same as it has been since last Tuesday at 2 v 2...both WINS and KBC on the bid and offer.

The search is on for the large buyer who seems to take a large slice of DMR shares at 9.51 a.m.

Serious students of megaperformers - by which I mean a minimum of 10-bagger - are well aware of a number of paradoxes with these much sought, seldom found
portfolio enhancers.

Generally, there is an ambiguous feast or famine scenario. there needs to be a
perception of possible, even probable 'bust,' followed (and not expected by the majority) by a favourable outcome which exceeds initial expectations based on the first good news.

Factors which enhance the bullish outcome include:

1. large block holders with effective control. these are the big winners - whatever.
2. a small free float so demand at the margin gives maximum bang for buck.
3. a long time period for pessimism based on disappointment to incubate. this can add slippage to the impact of good news.

Factors working against making a killing in this type of share include:

1. the difficulty of buying a meaningful stake near the low. the best hope of doing this is to buy on a scale down before the low (when there is maximum risk of loss), and/or to pyramid after the turn.
2. the volatility precludes carrying a large position based on margin borrowing
3. the 'turn' is always historic.

That said, the inclusion of this type of high risk, possible high reward as a small (up to 5%) component of an otherwise balanced portfolio has a sound rationale. a 10x performance would add up to 50% to the total portfolio, whereas total loss would diminish it by up to 5%.

It's more difficult to find megaperformers these days,
the 'want it now' mentality nowadays so prevalent can work in favour of those
taking a longer view (more than two years), who can pick up shares discarded by
those impatient for early action.

That said, there is no certainty, only a spectrum of probabilities, and, in this case, always a possibility of a final sell-off.

In that event, there could be an interesting two way stampede with liquidation providing the trading liquidity for frustrated buyers.

Hoping Hoodless and Moritz have some good plans, though with about 50 years experience between them I don't think there is any doubt of that.

If I had a marketing budget:

i'll have a million ....................................as long as she comes with the santa outfit.

Errmmm.....not sure about the Santa outfit Bosley.

Is it because she looks cute in the Santa outfit.

You really represent the word scum sue/op23

I cant see your replies but i can see what how a few people
like yourself can do to a once great bulletin board such as adfvn.

Now if i knew who you were i would ring the FSA to try and make
every effort to have you warned off these bb's, you are a vile piece
of scum, you spam numerous sites with your rubbish and nobody will
touch the stock yet you still spam, one day you will be forced to stop
i and others hope.

Excuse me Mackem ???