AUMN: Here's the probable cause of takedown...

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Golden Minerals is a junior silver producer with a strong growth profile, listed on both the NYSE Amex and TSX.

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Silverbull50

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AUMN: Here's the probable cause of takedown...

posted on May 18, 2012 09:40AM

....as suspected!

(Don, Gilder was one of AUMN's largest holders and per SEC filings they've been liquidating). They still had like 1MM + shares at the end of March.

Gilder admits on their website that they buy everything on margin and this can force liquidation:

Our firm was founded to help small investors build significant capital over time.
Since we believe in owning as many promising stocks as possible, we generally buy on margin.* Borrowing to invest can force liquidations if the market collapses, so we try to balance this exposure by selling short.

http://www.gghc.com/AboutUs/what.aspx

This is EXACTLY what has happened. These guys buy on behalf of small investors. With the stock markets globally getting slammed, I bet they've been dumping a lot of positions because small investors do not pony up cash when they get margin calls.