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Here's a link from Sunbiz.org to a document with the subject: "Domestication of 141 Capital form Delaware"
http://www.sunbiz.org/pdf/12779146.pdf
Thanks, Allie. I did not realize that SpoozChartz was a stand alone product. Interesting that this can run independent of SpoozToolz.
Interesting Article: US to remove cross-border restrictions on direct trading access
LONDON -- The SEC is moving closer to freeing up rules concerning trading access to foreign stock exchanges, according to reports in the Financial Times. The reforms, which are still unconfirmed by the SEC, may also result in the removal of restrictions on the ability of foreign brokers to solicit US investors.
The possible reforms are said to be a response to the increasing demand from US investors for foreign securities and increasing levels of harmonization among European and US exchanges.
The changes are expected to remove a long-standing barrier to cross-border trading that prevents foreign exchanges from setting up trading facilities in the US without registering with the SEC. Historically, non-US exchanges have been reluctant to register due to concerns about being subject to dual regulation.
'It's difficult to quantify the likely effects of the changes,' comments Catherine Mattison, spokesperson for the London Stock Exchange (LSE). 'Obviously, US investors can find other ways to buy foreign stocks but what isn't allowed currently is direct membership of our exchange.'
At present there is a cost associated with finding a way around these rules, which affects cost-sensitive strategies like algorithmic trading platforms.
The changes are also expected to result in lower costs for brokers and reduced commission fees for investors. 'The cost at the moment is perhaps more of a barrier for smaller and medium-sized US brokers, so those are potentially the two main beneficiaries,' Mattison adds.
While those at the London bourse are unable to comment on the eligibility of other stock exchanges, they say the existence of common European trading rules suggests the proposed changes would probably apply to exchanges besides the LSE.
By Clare Harrison
http://www.thecrossbordergroup.com/pages/165/IR+magazine.stm?article_id=12277
Good evening, Allie. Are you expecting a series of PR's in quick succession?
To me the significance of today's action (or lack thereof) was that no one sold anywhere near the bid which sat at .006 all day. In most of the recent trading days there seem to have been quite a few sales at or near the bid. People who have been camping out at the bid are used to getting some chunks of shares, but there were none to be had today.
Also the ask did not drop all day.
Songbird
Hi, Gmenfan. I would say that it is possible that Spooz could be bought out and 141 Capital remain independent. 141 Capital has a perpetual license to use SWARM and other technologies derived from it and so it would seem to me that they could carry on their operations without being affected by what happened to Spooz Inc. I suppose that new owners of Spooz would continue to own shares of 141, and recieve the 7% cut of trading profits.
If Paul, Errol and co. relinquished control of Spooz, they would still be able to benefit significantly from what they created through management of 141.
Of course this is just my opinion - for what its worth!
I know Paul has said on a number of occasions that he expects Spooz to be a candidate for buyout at some future time.
I know the names of MS and GOOG have been thrown around by some as examples of the kind of companies that might have a potential interest. Who knows, if SpoozToolz proves to be successful, there could be interest from either of these two big names.
I have wondered whether a brokerage firm, seeing the value of SpoozToolz and accompanying modules, might want to buy out Spooz and thus have exclusive ownership of all the technology, giving them a distinct competitive advantage in the trading world.
Thanks, Milo, I think you have made a perceptive assessment of the competitive environment in which Spooz is operating. I am sure that management is fully aware of the potential difficulties and is doing all it can to minimize them.
Thanks, MC. I should have known that!
A couple of questions, MC.
First, what is the CPM?
Second, Doesn't SpoozChartz run on top of SpoozToolz? My understanding is that SpoozToolz is the foundation program, and all other modules run on top of it.
Thanks!
Songbird
Happy New Year, MC! I was a bit off in my memory. I just checked the pinksheets site and the Q3 report came out on Nov 12. If they follow the same pattern we might see Q4 financials in February.
The last year has shown that Spooz has its books in order and is commited to timely filings regardless of the lack of revenues to report. IMO this is a good sign of a responsible company.
If I remember correctly, the Q3 financials were posted on Pinksheets.com quite soon after the quarter was over. I am guessing the Q4 financials would be available in January - and we can see where things stand.
Interesting thoughts, Allie. Thanks for posting them.
Uptick in the bid. .007 x .0075
Good Morning, MC. Very interesting (and very welcome) action today. I am a bit surprised that the recent upward movement has taken place on such relatively low volume.
Thanks, Allie and everyone else for the Holiday greetings. I wish you and your loved ones all a time of happiness and peace.
Thanks, Milo. I was thinking something like that might be possible. Yes, we'll just have to wait for more details.
So if Spooz has 120,000,000 restricted common shares of 141 Capital, wouldn't they be part of the o/s? Yet the first PR today said that the issued and outstanding shares after the dividend was just over 2 million.
Yes, we got two PR's today, each very short dealing with a separate detail. I wonder why they didn't put all the information in one PR.
Yes, Annie, that's what the PR today said. Do we think there will be another forward split?
Hi, Allie
To me, today's PR says that the issuing of the 120 million shares was the first part of the payment for licensing.
"It has funded the first part of its commitment regarding the exclusive licensing of the Statistically Weighted Arbitrage Recognition Model (“SWARM”) for derivatives, by issuing 120 million restricted common shares to Spooz, Inc."
We have been told that first $500,000 is to be paid to Spooz in this quarter, but that was not mentioned in today's PR.
Hi, Bird, Another piece of evidence for SpoozToolz working came out today, IMO.
The PR today stated that 141 would be trading for the most part on the SpoozToolz platform. I cannot imagine they would have put out this PR if there was something wrong with SpoozToolz.
I feel the same, MC. It was really setting the stage - giving a few more details about what is going on with 141.
Also, Errol's email to Tyrran last week mentioned "There will be press releases next week".
From today's PR: "some selected trading systems will be marketed on a limited basis through Spooz, Inc., via a revenue sharing plan"
So some systems developed by 141 will be available for purchase/license through Spooz. (Am I reading this right?)
TIA
Songbird
I agree, Eli. We have buys of .005 when the spread is .004 x .006. There are people bidding at .005 - why aren't they being shown?
Quite the spread this morning -- .004 x .006
"Anyone with confidence already has a position"
I agree with you statement, Seeker.
All time low = 0.0015. We are trading over three times above that.
Check out the disclosure document on Pinksheets.com for salaries.
Thanks, Allie. You post an intersting article, too. It seems that Spooz is in a growing sector of the financial industry.
I agree, and I think will be an important part of the Spooz marketing/awareness strategy. I don't expect we'll see reviews until after product launch.
We are only about two weeks away from 2008.
Interesting Saturday reading:
Algorithmic trading
Ahead of the tape
Jun 21st 2007
From The Economist print edition
The best newsreaders may soon be computers
INVENTORS of trading algorithms—computer programs that generate buy and sell orders and make lightning-quick trades—have picked up a bit of timeless wisdom from the stock operators of old. “The best of all tipsters,” Edwin Lefèvre wrote in a 1923 fictional account of the markets, “is the tape.”
As the time taken to process computer-generated trades falls to thousandths of a second, algorithms are being created to react to news headlines faster than the eye can scan them. Dow Jones and Reuters, the news providers, now offer electronically “tagged” news products that algorithms pick up to make programmed trading decisions. (Dow Jones claims the business is so secretive that it cannot divulge details of customers.) Britain's Financial Services Authority, a regulator, also hopes to use algorithms to comb through trading data to find hints of suspicious activity, which it reckons takes place before about a quarter of all takeover announcements.
Algorithmic trading accounts for a third of all share trades in America and the Aite Group, a consultancy, reckons it will make up more than half the share volumes and a fifth of options trades by 2010. On June 18th the London Stock Exchange unveiled an electronic system catering to the growth of algorithmic trading, which cuts trading times down to ten milliseconds. On its first day, it processed up to 1,500 orders a second, compared with 600 using its previous system. The ability to push up volumes should help dissuade customers from moving to faster platforms elsewhere.
The aim is to reduce the delay between order and execution, known as latency. Every moment is crucial in “black-box” and “statistical arbitrage” trading, where computers prowl through the market for price distortions that may last only for a split second. Order-handling algorithms, which break up large trades, must also move faster than the blink of an eye to ensure they get the best electronic prices.
According to TowerGroup, a research firm, $480m is likely to be spent in America this year on developing technology for algorithmic trading. Such is the focus on speed that even location counts. Servers positioned nearest to a trading venue can shave milliseconds of the timing of a trade and get a better price.
Low latency could also help investors get a jump on news of economic data as it flashes across the wires. According to Andrew Silverman of Morgan Stanley the use of news feeds for algorithmic trading is at an early stage. The software, which relies on keywords to generate buy and sell orders, may misunderstand the context surrounding a headline. For example, a market-moving word such as “surprise” may indicate numbers are better, or worse, than expected. Mr Silverman explains that news algorithms are best used with other variables, such as share price and volume, which may reinforce the buy or sell signal.
Now that trading algorithms are reading the news, are they also getting the story faster than journalists can? Regulators suspect that some price movements before takeover announcements stem from algorithms picking up early-warning price signals in the market. Eventually, the news may come from reading the algorithmic trades, not the other way around.
http://www.economist.com/finance/displaystory.cfm?story_id=9370718
Hi, MC
One of my favorite quotes from John Unwin’s presentation at the FIA expo.
Q: What are the biggest mistakes to avoid when implementing algorithms”
A rough transcription of most of John Unwin’s answer:
“To me the main thing is lost opportunity. So you have an idea, and the idea has a half life. If you can’t utilize that idea, if you can’t make something of out of it, you’ve lost it, you’ve lost that potential. And that’s where we see it’s important that we provide those tools. Minimize that, so your idea is actually put into practice.
"There’s many things that people would do which are different from well know algorithms. You all are interested in algorithms, you probably all have ideas about how you trade. What you need is a way that a way that you materialize those ideas into something that you can then use. So from my point of view I think one of the issues is with algorithmic trading becoming more popular, one of the things is that you are going to have to have different algorithms.
"The same old algorithms just working against each other just introduce predictability, and the wolves will have you. So you’ve got to think of your own ways, of what you really add into it, and that’s where we see we want to shorten that gap between what you know and what you believe and how you do it”
At the moment, without a product release and revenues, to quite a large extent, one's stance on Spooz comes down to a question of trust -- in Paul and the management team.
That is a question that each investor has to make on their own, based on their research and experience.
Hi, MC. This is Paul's answer to the question about SWARM trading.
Post #34741
2) Can we get weekly updates (from 141) on the swarm trading progress? It would be nice to know how swarm has performed over the last few volatile weeks.
SWARM is not currently being traded because 141 is currently being set-up and staffed. As per compliance regulations, 141 Capital is required to report trading results and those published trading results are subject to audit by the National Futures Association, which means, they will be audited, especially considering the fact that 141 Capital will be a public company.
I agree, Bobby. I think much accumulation has already taken place and many are waiting patiently at the moment.
I would guess that most of the Spooz longs who are on the board regularly would have bought most of their shares some time ago. They already believe in the company and its long-term potential - but maybe don't have too much in the way of extra funds to buy many more.
Well that changed pretty fast:
Now 0.0040 X 0.0045
The spread is very wide - .0032 x .0042
Morning, Allie
Is this page, or the information on it, new? Or were you just bringing it to the attention of the board?
Thanks!
Songbird
Fedfunz has been one of the most interesting posters on this board. As a professional trader in Chicago, his reaction to the Spooz demos he has been involved in have carried a lot of weight with many here. For new board members, I think it can be worth rereading his posts.
He won't be posting here now, but the fact that he is now a Spooz employee, is an impressive statement.