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Halifax shares help
Comments
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thats a load of poo then, so a company can screw ppl then? If they swap all the shares from what ppl have for whatever the price is, then next day they triple, they have won and cost ppl money.
Not the case.
The firm is just worth naff all compared to its value when you bought in.
The fannying around over shares in issue etc should have no material effect on the value of your holding. Other factors do that.
You bought a dog. End of story.0 -
Don't have to be an !!!! about it. I just didnt know that when I brought the 29k shares they could just change that to the value its worth now. I understand that they are worth the same just means they can screw people over in the long run.0
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thats a load of poo then, so a company can screw ppl then? If they swap all the shares from what ppl have for whatever the price is, then next day they triple, they have won and cost ppl money.
Did you not bother to read what eskbanker said?
One (old) share was worth 0.24p on 24/7.
Replacement shares were issued at a ration of 1:20, so for every twenty old shares you got one new one, worth nominally 20 times as much per share. 20 x 0.24p = 4.8p
The market seemed to like this and the price rose to 5.38p the foillowing day.
There are a myriad of reasons not to "invest" in standalone penny shares, but even if there weren't it is still important to understand what a share actually is before buying one. - If I decide to float my company worth £100 and issue 100 shares, then they are worth £1 each. If I then reissue 1 new share for every 2 old ones, then assuming the company value is unchanged there are now 50 shares worth £2 each.0 -
If you had eight half pints worth two quid each and someone swapped them for four pints worth four quid each would you say you had been screwed?I just didnt know that when I brought the 29k shares they could just change that to the value its worth now. I understand that they are worth the same just means they can screw people over in the long run.0 -
yes i do get what you are saying. I was young and daft at the time. Not had another go on shares, maybe one day.
I just assuned i apurchased x number of shares and that number stayed the same no mater if the value went up or down.0 -
But the value of each share went up because the number of shares were reduced. If the number of shares had stayed the same, the value of each share would have stayed the same.0
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I'm not being.Don't have to be an !!!! about it.
The value of shares can go down as well as up. Always been the case.I just didnt know that when I brought the 29k shares they could just change that to the value its worth now.
No it doesn't. Get a grip on yourself. If they hadn't done the 20/1 share change thing your shares would still have the same disappointing total value today.I understand that they are worth the same just means they can screw people over in the long run.0 -
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It's as Peacefulwaters has said The value of shares can go down as well as up. Unfortunately most people read this but don't really take it in.
The op should realise there is nothing stopping the total loss of such investments. In the long run you can still lose.0 -
[FONT=Verdana, sans-serif]Try to ignore the 1 for 20 share swap as it has no effect on the total value of your shares.
[/FONT] [FONT=Verdana, sans-serif]Its like having 20x £1 notes and swapping them for 1x £20 note. You still have £20.
[/FONT] [FONT=Verdana, sans-serif]Many companies do this, usually because the price of each share has got too low or too high.
[/FONT] [FONT=Verdana, sans-serif]You bought your 1,448 shares at the equivalent price of 33.6p per share, probably just after a possible oil find since the price had tripled from 9.19p the month before. That oil find turned out not to be a big one because the share price fell 65% back down to 11.5p at the end of 2011. You basically bought at exactly the wrong time.
[/FONT] [FONT=Verdana, sans-serif]Your investment is currently worth £50 so you might as well hang on and hope the next well is full.[/FONT]0
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