Holders in CDU are witnessing a situation in 2012 where more institutional trades occurr through Dark Pool exchanges than on the ASX itself. Now that is a seriously weird situation that has huge implications for retail holders (like me!).
Why do institutions even bother with the ASX?What do they achieve swapping shares back and forth between themselves? How do they figure out whose turn it is to make a profit and whose turn it is to make a loss?Perhaps the commissions they earn from their funds under management are extremely lucrative?
The suggestion that instos are selling down or capping the share price on the ASX and then reversing the trades via Dark Pools to keep their holdings in balance does make a lot of sense. It would definitely help to explain why the share price trades within such a narrow band. What other explanations can HC posters offer?
Why this stranglehold over trading through Dark Pool activity just as the company is becoming de-risked ? What is the ASX response? They are beginning to ring warnings about Dark Pools if only because they miss out on revenue streams. And what about ASIC: are they be interested in this stuff?
CDU Price at posting:
$3.20 Sentiment: Buy Disclosure: Held
