Re: Who is selling at these prices?
in response to
by
posted on
Jul 25, 2008 06:12AM
There are three kinds of sellers here:
1- There are large investment houses and institutions who buy the pp flow-thru's for their high net worth clients. Flow thru prices are as low as .10, .20, .25, .30 cents
They are still doubling or quintupling their money for their clients at .52 cents and there are a lot of them (flow - thru shares) left I guess. (Flow-through's are 100% deductable from your taxes because investing in jr. mining in Canada is rewarded by the tax department -- so not ony do you get gcr -- you get a 100% tax deduction - if gcr goes up - it's a double win because you only pay 24% in taxable gains and keep 76% of your winfall.)
2- There are always people who just need the money - at any price: and others who need to cover shorts and others who have margin calls when certain stocks go under $3.
3- Insider sales are usually from original pp and awarded stock at .10 cents, .14 cents etc.
#1 above would be the majority of these sales
*** # 1 and #3 are still making 100% to 500% on these sales.