2nd February 2021: $GME, $AMC, $NOK buys now enabled

You’re not restricted from selling only buying and you can’t occur losses from something your don’t own

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From what I’ve seen it seems to be that the actual market makers are having issues over keeping their books and they’re likely unable to stay financially stable in response to this huge upward swing, It doesn’t seem to be anything sinister

I think the issue is that she is in loss at the moment and is upset that with the restriction on buying as it’s unlikely there will be a rise in the share price from that buying to raise the price and relieve some of the losses already incurred.

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Is anyone aware of why it can’t be T+0? Also has it always been T+2?

To be clear Claire, the gains people were “expecting” are never guaranteed and this short term trading might mean that freetrade isn’t the platform for you?

Perhaps you would be better suited at Trading 212 where you can use their plethora of tools to help you trade these equities and take alot of risk and potential losses using their cfd platform?

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The desperation of Wall Street to squeeze out the little guy is in equal parts hilarious and awful.

It’s nothing but dirty tricks to protect themselves.

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Good look trying to find other brokers who you can buy this stock through. It’s near impossible unless you have access to prime brokers (ie a hedge fund)

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Thanks for being up front again, i appreciate your communication and you are clearly trying everything you can.

A couple of questions;

  1. As a recent premium member, will there be any refund for this month due to the disruption of services to stocks that made me become a premium member in the first place?

  2. Why is it fair that Wall Street can still trade (and most likely manipulate) during trading hours but the general public cannot? If we are restricted then why not freeze the stocks while the middle men sort their collateral out?

Thanks

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Yeah that’s true in some way, but you wouldn’t get compensation for something you never owned.

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They have already announced refunds for January’s Plus subscription, if you remain a Plus member knowing there will be ongoing disruption then I guess that’s on you.

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Someone put it well the other day by likening the inability to buy shares to that of Tesco running out of toilet paper. If they do, and you end up running short, you don’t then complain to Tesco about the mess. You’ve only lost imaginary gains at best, and probably saved yourself a loss in the long run.

Restricting sales would be another matter.

Big clap for Freetrade. Great job you’re doing, and super communications.

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It’s funny to see people here kissing FT’s feet and It’s well and dandy that you’re informing your customer base but this is ridiculous.

This is clear manipulation from FT’s partners and it’s limiting others to purchase stock and driving the price of the stocks down just because it’s not convenient for them.

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These two indicators could determine whether the GameStop rally is near its end

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And adding to the previous post the Clearing house has to front the collateral required for settlement on the trade date; they cannot use client money it is against regulations.

In reality it only comes of the client account at T+2 this is why you can only withdraw cash from your broker account at T+2 post trade date.

There stocks have become too expensive to front and the Clearing Brokers are not willing to front this.

It is a problem affecting mostly retail investors but it is not fair for sure as the large banks/institutions don’t have this liquidity problem.

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It has been like this for ages and from what I know it has to do with allowing time for the funds to clear in bank accounts and the ownership of shares to be transferred.

For sure, one fallout of all this mess will be people trying to fix this mess and take inspiration from crypto/smart contracts/blockchain to remove this limitation.

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I’ll take the £9.99 on the face of it then. Was still worth it to get involved i guess.

In this case it seems to be the DTC who increased the capital requirements not drivewealth?

As soon as I read “people are moving onto Silver” then you know where to put that article.

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Hi Claire,

As others have mentioned this is not a decision Freetrade have made, but their partners in the US. A lot of companies are in the same situation and have their hands tied. Unfortunately the lack of ability to buy will likely drop the value of the stock quicker than it might have (although I believe it was inevitable it would have happened at some point anyway) but there was always a risk that this was going to happen due to fundamental issues with the plumbing of the system and people being allowed to essentially gamble with money they don’t have by buying call options. From my experience FT have been great and always clear and transparent with what is going on and I believe have the customers best interests front and foremost.

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Thanks for the transparency Viktor and Adam. Must be so frustrating for you and the FT team being stuck in the middle - especially after the efforts at the weekend.

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