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International Investing / Australia (All-Ordinaries)


Subject:  Re: ARB - How the Funds Buy Date:  1/31/2002  3:00 AM
Author:  wayjo Number:  3437 of 6186

Harmy, I don't regard this as manipulation and I don't think they would short a stock like ARB - there's just not enough liquidity to do that.

I do agree with Barcoo, if you understand and have confidence in the company then the selling down provides the buying opportunities. Indeed, in a lightly traded stock like this the few thousand shares that Perpetual sold may be 50% of the stock available to buy at any given time.

As I said I don't think this is manipulation it just shows the strategy a big investor needs to use to get a good position in a stock without driving the price out of their buying range .

They did a very similar style of buying in RG Capital (REG) as well which I was also going to show but no-one ever mentions that stock so I didn't put it up. It's another little company I like.

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