My thoughts on the sudden drop here in the U.S.:
Ironically, since KZIA held up, relative to the rest of the market, its value has increased so as to be a "concentrated position" in a lot of accounts. Special margin requirements mean either selling Kazia or everything else, depending on weighting in Kazia
That is, the strength of Kazia could make it a "concentrated position". If it's 50-70% of portf, then req is 70% equity. If 70% and above of portf., the margin req. is 100%.
Basically is a cash, not margin account over 70% equity. I consider those requirements to be detrimental to Kazia investors, but hey, I don't make the rules.
People can be forced to choose between Kazia and everything else, if they can't make their margin calls.
I had to deal with this situation some months ago. Sold everything else, plus injected cash, so no longer own Kazia on margin, just cash.
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