Languish.org

General Category => Off the Record => Topic started by: Admiral Yi on March 23, 2009, 08:00:26 PM

Title: Internet stock purchase question
Post by: Admiral Yi on March 23, 2009, 08:00:26 PM
I tried to buy some Wally World through E*Trade.  The quote lists a closing price, but the bid and ask are both zero.  What does that mean?  When I tried to purchase, it told me I didn't have enough cash in the account, even when I dropped the shares down to 1.

Anyone know what's going on?
Title: Re: Internet stock purchase question
Post by: Monoriu on March 23, 2009, 08:04:29 PM
I suggest calling their customer phone line. 
Title: Re: Internet stock purchase question
Post by: Caliga on March 23, 2009, 08:09:55 PM
 ??? It closed at 51.48 today.
Title: Re: Internet stock purchase question
Post by: MadImmortalMan on March 23, 2009, 08:45:15 PM
Yeah, they obviously got bugged up. Or maybe there weren't any shares of WMT available. :p
Title: Re: Internet stock purchase question
Post by: Admiral Yi on March 24, 2009, 09:16:14 AM
Related question.  Have any of you guys ever bought preferred shares, and if so, why?
Title: Re: Internet stock purchase question
Post by: Monoriu on March 24, 2009, 09:39:28 AM
No.  I've never seen any in the market.  I would consider buying them if their dividend payout is better. 
Title: Re: Internet stock purchase question
Post by: Jos Theelen on March 24, 2009, 09:45:00 AM
Quote from: Admiral Yi on March 23, 2009, 08:00:26 PM
I tried to buy some Wally World through E*Trade.  The quote lists a closing price, but the bid and ask are both zero.  What does that mean?  When I tried to purchase, it told me I didn't have enough cash in the account, even when I dropped the shares down to 1.

Anyone know what's going on?

maybe the market was closed?
Title: Re: Internet stock purchase question
Post by: Admiral Yi on March 24, 2009, 09:50:50 AM
Quote from: Jos Theelen on March 24, 2009, 09:45:00 AM
maybe the market was closed?
Seems like it was an availability of funds issue.  Still curious about that zero bid price though.

Interesting factoid: either I'm reading it wrong, it's a typo, or one trade on the Tokyo market costs $3,999.00. :blink:
Title: Re: Internet stock purchase question
Post by: Ed Anger on March 24, 2009, 10:25:25 AM
Quote from: Admiral Yi on March 24, 2009, 09:16:14 AM
Related question.  Have any of you guys ever bought preferred shares, and if so, why?

Nope. Preferred is supposed to get first crack at dividends and is higher in the food chain for bankruptcy considerations.

Preferred usually has no voting rights in the company though.
Title: Re: Internet stock purchase question
Post by: Monoriu on March 24, 2009, 10:40:04 AM
I put all of my common stock in the bank, so I can't vote anyway.  And it is not like I care about voting.
Title: Re: Internet stock purchase question
Post by: Monoriu on March 24, 2009, 10:42:05 AM

Quote
Seems like it was an availability of funds issue.  Still curious about that zero bid price though.

Interesting factoid: either I'm reading it wrong, it's a typo, or one trade on the Tokyo market costs $3,999.00. :blink:

It costs that much for *you*, i.e. a US investor, or for anyone, including Japanese who live in Tokyo?
Title: Re: Internet stock purchase question
Post by: Admiral Yi on March 24, 2009, 10:44:02 AM
Quote from: Monoriu on March 24, 2009, 10:40:04 AM
I put all of my common stock in the bank, so I can't vote anyway.
What does this mean?

Your next post: I don't know.  E*Trade listed a commission (presumably what they charge) and a broker fee (presumably what everyone gets charged).
Title: Re: Internet stock purchase question
Post by: Monoriu on March 24, 2009, 10:49:38 AM
Quote from: Admiral Yi on March 24, 2009, 10:44:02 AM
Quote from: Monoriu on March 24, 2009, 10:40:04 AM
I put all of my common stock in the bank, so I can't vote anyway.
What does this mean?


Hmm, maybe it works differently in the US.  In Hong Kong, there are basically two ways for retail investors to hold stocks.  You either (a) hold it under your own name, i.e. receive a physical stock certificate and put it under your bed, or (b) put it with a "nominee".  A nominee is usually a stock brokerage or a bank.  If a stock is held under a nominee, the stock is technically owned by the bank/brokerage.  The company will issue all the dividends, annual reports, and voting forms to the nominee instead of individual shareholders.  It is then up to the nominees to decide what to do with those.  They will of course pass the dividend, minus fees, to me.  But they'll probably just throw away the voting rights.  Or something. 

Most people put their stocks with nominees.  (a) You can sell the stock any time.  If you hold it under your own name, you can't trade the stocks in the stock exchange.  (b) You won't have to worry about losing the certificates to burglers.  The disadvantages of using nominees are (a) they charge you custody and handling fees and (b) they may go under.  In which case you lose everything.