RMCtv : Management brief-doing over The CWU

[DirtyHarry]

Royal Mail is managed by absolute Cretins.

[Subman]

Initially, I thought that the three amigos standing in front of the large red screen with the words
OUR BUSINESS TO RUN , were just your typical arrogant managers with inflated egos.

Now, I understand that it was just a simple spelling mistake.The sign should have read.

OUR BUSINESS TO RUIN.

[kazardaimenu]

Malcolm

[guardianangel]

They look like a bunch of kirby hoover salesmen,if that's our opposition we have already won.

[k979aaa]

If you look hard enough in eaton / oxford your the bully boys he would not last 5 seconds in my patch sling your hook and yank your lines in Simon!

[k979aaa]

interesting just found his linkedin page just look at the arse likers names on the right https://uk.linkedin.com/in/simonduffythompson so there you go more bloody brown noses!

[Postee2]

If you're reading this Si, do us all a favour and do something constructive instead of pussy-footing around.

According to Ward he has been insider trading, having secret talks about breaking up the company and derecognising the CWU.
How much more constructive do you want him to be? There are only so many hours in the day.

Insider trading would usually involve buying shares just before you are going to announce good news driving the share price up (then usually quickly selling to crystallise a profit) or, alternatively selling just before announcing bad news which will drive the share price down, sometimes then rebuying.

If Dave Ward really believes that Simon has been doing this then he'd better have some really good evidence to back that up or else we need someone who actually knows what he is doing running our union.

I'm not in any way forming an opinion on whether this has occurred or not. I do not believe it has actually.
I just want to say though that you are not factually correct about insider trading only happening before good news makes the share price go up. It can often be the other way around, in that the inside trader wishes the share price to fall. Shorting a share price these days is very easy to do on various platforms such as IG Index, or selling a Put option, or shorting a share with a contract for difference (relatively technical but not that hard to do).
Again I stress I don't believe this has occurred but just correcting your understanding. Significant money can be made from shares falling.

I suggest that you read all of my post (clue - go past the word "or") before telling me I'm wrong.

And the term "shorting" refers to short selling. That is the practice of selling shares (shortly) before you have actually bought them, anticipating that the price will drop in the intervening period so that you come out in profit. As Simon already owns several hundred thousand pounds worth of shares then that is not what he is doing.

I'm sorry but that's a totally inaccurate description of what shorting is.
Before I give a description I will repeat yet again that I 100% do not believe this has gone on at Royal Mail.
Shorting though is where you actually borrow shares off of somebody else (for a fee, brokered by a middleman), and then you immediately sell the shares to the market with the promise that after a specified amount of time you rebuy the shares back and then sell them back to the original borrower for the same price you originally borrowed them for, again with a fee attached. The hope for the shorter is that the price of the shares in the interim period have fallen (significantly).
Because then it means whoever buys their shares back from you after the prevailing period is paying significantly more than you bought them back for. And so you make a profit. You have "shorted" the shares. It's a big risk you are taking though because if the share price had gone up (significantly) in that prevailing period you will still have to buy them back from the market and still sell them back to the original party for the same price you originally borrowed them for. Hence you will make a loss because you will be selling them back for less than you re-bought them for.
It's a 2 way risk
Again I am 100% definitely not suggesting that has happened here, I do not believe it has. A
An insider who knows a company is going to fail can short a share with inside information and make an absolute killing. This is a highly illegal practice.

[Postee2]

If you're reading this Si, do us all a favour and do something constructive instead of pussy-footing around.

According to Ward he has been insider trading, having secret talks about breaking up the company and derecognising the CWU.
How much more constructive do you want him to be? There are only so many hours in the day.

Insider trading would usually involve buying shares just before you are going to announce good news driving the share price up (then usually quickly selling to crystallise a profit) or, alternatively selling just before announcing bad news which will drive the share price down, sometimes then rebuying.

If Dave Ward really believes that Simon has been doing this then he'd better have some really good evidence to back that up or else we need someone who actually knows what he is doing running our union.

I'm not in any way forming an opinion on whether this has occurred or not. I do not believe it has actually.
I just want to say though that you are not factually correct about insider trading only happening before good news makes the share price go up. It can often be the other way around, in that the inside trader wishes the share price to fall. Shorting a share price these days is very easy to do on various platforms such as IG Index, or selling a Put option, or shorting a share with a contract for difference (relatively technical but not that hard to do).
Again I stress I don't believe this has occurred but just correcting your understanding. Significant money can be made from shares falling.

I suggest that you read all of my post (clue - go past the word "or") before telling me I'm wrong.

And the term "shorting" refers to short selling. That is the practice of selling shares (shortly) before you have actually bought them, anticipating that the price will drop in the intervening period so that you come out in profit. As Simon already owns several hundred thousand pounds worth of shares then that is not what he is doing.

And how can you sell shares before you have bought them, even shortly before you have bought them ? What you are describing sounds like timing the market or waiting to buy shares after the price has fallen.

[Acca Dacca]

Google shorting stocks Postee

[TrueBlueTerrier]

And how can you sell shares before you have bought them, even shortly before you have bought them ? What you are describing sounds like timing the market or waiting to buy shares after the price has fallen.
[/quote]

It's widespread is share selling.

You agree on a contract with someone to buy shares when they reach a specific price, and you also have another agreement to sell shares at a specific price.

If you have enough volume you can make thousands in a single day by buying low, and then selling high.

sell short - STOCK MARKET

sell stock or other securities or commodities that one does not own at the time, in the hope of buying at a lower price before the delivery time.

[sindba]

Google shorting stocks Postee

I think he has, but didn't fully understand the explanation.

He's right that shorting is profiting from the price drop by exploiting the time difference between you agreeing the share sale, and actually transferring ownership. But obviously it doesn't involve "borrowing" ( you can't really borrow ownership of a company)

An imperfect analogy: one week your mate buys you a pint. You promise you'll get him one back next week.
Next week when you buy, the price has gone down. You're in overall "profit" for your 2 beers.

This kind of thing happens in financial markets in huge amounts, trillions, with the time lags sometimes being milliseconds controlled by computer algorithms.

[Postee2]

Google shorting stocks Postee

I think he has, but didn't fully understand the explanation.

He's right that shorting is profiting from the price drop by exploiting the time difference between you agreeing the share sale, and actually transferring ownership. But obviously it doesn't involve "borrowing" ( you can't really borrow ownership of a company)

An imperfect analogy: one week your mate buys you a pint. You promise you'll get him one back next week.
Next week when you buy, the price has gone down. You're in overall "profit" for your 2 beers.

This kind of thing happens in financial markets in huge amounts, trillions, with the time lags sometimes being milliseconds controlled by computer algorithms.

Actually, borrowing shares from somebody is exactly what happens. May seem strange but that's what really does happen. My.explanation is fairly accurate.