Alibaba (BABA) 💻 - Share Chat

I got excited but its not there sadly :slight_smile: Both Tencent and Alibaba are not there right now (both on my buys)

Not available in an ISA though.

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That must be why. I don’t have an ISA but I do have Alibaba in Freetrade

Good shout thank you. Hope there are no regulations against Chinese stock in an ISA. Changed title of post to reflect.

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Hey, there are actually some regulations on this, which is why certain stocks aren’t available in the ISA.

More details:

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Thanks Sam. That makes me sad lol

Big Free Share scoop this week

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What happens when a stock is delisted and we own some?

Are we bought out? Does it stay in your portfolio but illiquid?

I’d prefer to hold rather than sell, but keen to know if anyone can provide some info here

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It is quite complicated but Alibaba is an ADR. That means you don’t actually buy a share, you buy a claim to a share held by a custodian bank. So if Alibaba delisted from the NASDAQ your holding is unaffected but your ability to sell it is.

Your holding becomes completely illiquid and so you would have to rely on some sort of secondary market springing up to sell them in. However, it is likely major Chinese banks (i.e. HSBC) would facilitate some sort of purchase and cancellation of ARD rights.

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Also these new rules are intended to punish dodgy companies who commit fraud. Alibaba seems unlikely to fall into this category and as such is unlikely to be a contender for delisting.

Never say never though. It is these kind of ‘not Black Swan’ events that can result in major losses but I wouldn’t lose sleep over it.

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It’s a bit different, but Sirius Minerals was delisted (bought out IIRC) and Freetrade contacted holding users to notify throughout the process. I received a few in-app messages about it. The value was decided upon before the sale and I received a proportionate amount based on my holdings. Went straight into “withdrawable cash.”

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Good answers folks. I hold Alibaba on FT and other platforms as my biggest holding as well as within some etf’s

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I am wondering if Alibaba is going to included for buying?

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I think it’s there, just not if you have an isa

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Yes, I have ISA account!

Is that means I cant buy this one.
thank you

Soon you’ll be able to have a General Investing Account and an ISA account. Some stocks aren’t allowed in an ISA (Government rules) so once you can have the GIA you can buy alibaba in that, to keep it separate from the ISA

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Thanks for updating me

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Thanks for the answers everyone really appreciate it

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Curious if anyone has any explanation for why Alibaba had a great earnings report yet is in the negative, seems the opposite of what should happen. At first I thought of possible US-China tensions but JD.com reported their earnings the other day and rose over 15% the following 3 days. Just seems quite odd that BABA drops 2% after a great earnings report.

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Earnings don’t matter. The only thing that matter is if analysts expected a higher or lower result. If you beat expectations, the stock rises and vice versa. Don’t try to understand why stocks move. Generally, it’s just random movement and news outlets try to desperately find explanations for stock moves after they happen.