Replies to post #43640 on 3Power Energy Group Inc (PSPW)

[sevendoubler]

order was accepted 10k at .90...now I'll remove the sale because it will take alot more than that:)

[Underdog]

I also have Zecco and have been looking into this dumb stuff. Here is some reading on it from there site. It states that this is for stocks priced under A dollar. So when pspw goes above A buck we shouldnt have this problem any more. But Zecco is going to lose any new bussiness from me from now on.

What caused my sale of low priced equities to be “Bought In” ?
The National Securities Clearing Corporation (NSCC) imposes significant deposit requirements on Penson Financial Services, Zecco Trading’s clearing firm, based on the sell volume of low priced equities (priced under $1.00 per share, commonly known as “Penny Stocks”), in order to limit settlement risk.
When a customer sells more than 25% of the average daily trading volume (ADV) of a single equity in a three-day settlement period, that security may be bought-in by Penson up to three business days later without notice. A group of unrelated customers collectively trading more than 25% of a security’s ADV across all brokerages clearing through Penson can also trigger this policy. The ADV is calculated over the last rolling 20 business days.

Although this occurrence is rare, customers selling low priced equities must be aware of the risk a buy-in would occur without notice.

[adeezl]

Update for Zecco folks. (Applies to PSPW)

I put up two separate sell orders and they accept. So it appears you can sell as many shares as you want, as long as you have separate sell tickets. Each sell ticket can't exceed 10% more than the average vol over 20 business days. Just wanted to give a heads up. Right now it's in between 1500-2000 shares max pre sell ticket.

They wanted more of a cut hah because what else does it really do? Crikey