A relative died recently (84 years old). Going through his estate, he had an account with a broker worth about 1.2 million now that shows that the 15 stocks in it are ALL in thinly traded stocks of banks here in the North East. The statement shows they were bought at a value of 1.5 million. Seems he (the broker - he said our relative gave him trading authority) would sell the occassional winner and kept the losers. and he wasn't charging commission - his firm makes a market in these stocks and was making money on the spread? Which on these thinly traded stocks is something like $1 !!!And trying to sell the thousnads of shares of these stocks will drive the price down being that they are so thinly traded.seems an 84 year old shouldn't have been in such a high concentration of a single industry in a single geographic area in illiquid stocks. His entire estate is worth about 3 million. so 40% of his assets are in North East SMALL bank stocks!Any advice on where to go to find out if there was a written trading authority (although he could change his story that our relative called orders in). It feels like this guy was milking our relative making money on the stupidly high spread.Some of these stocks are:PCCB, PFNS, SOBS, WAWL, FIPG, IRGB, LYBC, MYBFAt least one of these has only 2 branches!
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