@bobbydazzler13
Here are some BASIC steps self proclaimed gurus may notunderstand w regards to share price pre and post capital raise:
- Borrow money at 5% interest or lower : Must be stellar credit to borrow at sovereign rates or lower.
US Short term rates are at 5.36%,5.24%, 4.76% / 3mn, 6mnth, 12 mnth
Aus Short term rates 3.66%,3.59%, 3.97% /2 yr, 5 yr, 10 yr
- Purchase at market shares : Secure borrow.
- Watch market value appreciation/unlocked – Correct but do the opposite. Borrow shares, short into pump/ rally.
- Participate/bid at capital raise – Correct, cover your short position in capital raise
- Sell market-obtained shares and use profit tofund bid at capital raise Use freebie options as free carry. Zero cost for long position if you believe in the stock.
- "rinse repeat" as they say these days: correct , except take no market risk when you know a capital raise is coming by locking in your short and subsequent buy.
Let me know what else you can teach me. i'm curious to learn more.
(20min delay)