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Alias Born | 03/07/2014 |
Wednesday, November 12, 2014 6:18:07 PM
I'm tending to believe it more and more too, I'd say you're correct. Question is- who's pro trading desk are they sitting behind?
Me, from all I've read on some great forums here like I-HUB and other places, it sure smells of the likes of Asher and a few of the other convertible debt guys. They're notorious for this stuff from what I've read. I don't have any first hand proof or experience, but some discussion boards have some people that seem pretty "in the know" and tracked this stuff with many companies over many years and so forth- and they said this is all the "normal" stuff one sees when the likes of an Asher or these other couple of firms they did convertible debt, floorless deals with, when those firms "do what they do". It's how they make boat loads of money.
I saw the one forum- and they were giving some examples (I just use Asher a lot, cause they and this Curt Kramer guy appear to be one of the most well known, notorious and well studied and tracked)- they were showing how these guys aren't out to make like 15% return on their money (which would be great in today's world) or even 25% return (pay day loan money), they supposedly can make like 100% or 200% or more return on these debt deals, in like 6 months or less often- again, I can't prove that, it's what I've read. If it's true- it's making staggering amounts of money. The one forum showed that Asher alone had like 800 current OTC deals going at one time- imagine $25K to $50K loaned out on 800 deals, and via whatever they "do", these trading tricks or shorting, the 45% to 50% share discounts, or how ever they do this stuff- they're gonna make say even 100% return on their money on 800 deals at say $35K each deal. WOW. Like having your own ATM machine. And they appear to walk the fine line of the laws, right to the edge, and once in a while they may get a hand-slap, maybe a fine for a "violation", they tie it up with the finest lawyers money can buy, maybe pay $1 million in fines or something, but they made $25 million or whatever- so big whoop, what do they care, right?
http://investorshub.advfn.com/~-ASHER-~-25451/
http://investorshub.advfn.com/boards/read_msg.aspx?message_id=68247638
Don't know how anyone can prove this stuff- it would take real forensic examination of trades, broker names on the trades, tracing um back to their origin, knowing who they were trading for- like I'd doubt Asher trades direct for example, but they might have a "friend" across the street say, who handles order flow for um, say something like that. These are real, real smart and sophisticated dudes IMO, and now with electronic, micro second trading networks and all- I bet the web they can weave is so complicated, unless there's mega bucks involved, what watchdog or enforcement agency is really gonna go after um? My 2 cent opinions. It appears to be a common and unfortunate, often common story, primarily thriving in OTC land.
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