Petrofac Share Discussion Threads

[fizzmiss] 23/2/2021 16:27

Thanks, just never seen a share price open so positive then fall back so fast.

No issues with the company; they seem to be doing well, will have to have a more in-depth readup

[wardy333] 23/2/2021 16:25

A/Ts won't let this breathe, still run by the shorts, one of these days they will come unstuck badly.

[cybernest53] 23/2/2021 16:16

@fizzmiss... Shares prices go up and down... as does the Oil price! You should have been here when PFC was over £9!! ;)

[fizzmiss] 23/2/2021 15:50

Was looking to buy into this but wow,, it's being crucified by the Sewer Rat Shorting MM.

Lost over 10p from highs today?

Any reason?

[sami69] 23/2/2021 06:56

Why even force an increase in margin to 100% within a few days if you are closing down the position in a months time.IG are going to force many to sell positions at a lossSmells of desperation.

[dealy] 23/2/2021 02:17

Thanks for the info Sam. The abruptness of the IG move is a kick in the teeth to many traders. A gradual increase in margins over a 3 month period would have achieved the same goal but treated traders better. Women leaders seem to be good at closing things down

[sami69] 23/2/2021 00:42

Yes.. it isI decided against this route. I opened another SB account with Spreadex. Took me 20mins. I will open my pfc trade there and close it at IG. Will do the same with my recent trades in Polymetal & Centamin which IG are shutting down too.Having opened a large trade at 110p I want to make sure I can maximise my tax free profits when this goes to minimum of 220p and hopefully more if the SFO closes the case.

[leoneobull] 22/2/2021 21:24

Https://oilprice.com/Energy/Energy-General/Goldman-Sachs-Sees-75-Oil-In-Q3-2021.htmlPFCOK

[dealy] 22/2/2021 19:17

is that really an option?

[sami69] 22/2/2021 16:58

The only way around this is to title transfer your account to IG.You can then keep your positions open and the margin is reduced from 100% to 50%. The catch:If IG goes belly up..so could all your money.

[topazfrenzy] 22/2/2021 16:39

This will keep going up from here imo, 2% to 5% a day until the news of end of SFO case blows it straight to £3+

[mickinvest] 22/2/2021 16:27

Yes by close of play this Friday Twixy, if they put up 100% margin, they can keep open until end of March. Bit of a shocker from IG if anyone holds PFC this way but presume it's part of the plan from the big boys to try and prevent another squeeze of GME scale.

[twixy] 22/2/2021 15:54

Sorry - should have said - with IG

[twixy] 22/2/2021 15:54

Not sure if this is accurate but longs and shorts are having to close their positions in PFC, or put up 100% margin. It may explain the sharp rise this afternoon?

[sea7] 22/2/2021 10:11

www.financial-spread-betting.com/Igindex-hedging.html#:~:text=As%20counterparty%20to%20thousands%20of,is%20placed%20is%20not%20practical.&text=Instead%2C%20it%20hedges%20its%20exposure%20using%20futures%20on%20the%20underlying%20stock.

As counterparty to thousands of spread trades every day, from small punts to large trading positions, IG Index has to manage a significant amount of market risk. But hedging every spread trade as it is placed is not practical.

There are two ways around this problem. First, in highly active markets, many of the spread bets cancel each other out. "If it's a very busy market, you will have a lot of two-way business, which is ideal. We are just acting as another market-maker," says Bole.

However, in less liquid markets, such as spread bets on single stocks, IG Index cannot rely on investors taking both sides of the market. Instead, it hedges its exposure using futures on the underlying stock.

and....

Keeping an eye on IG's exposure, the risk committee uses an approach that would be familiar to any fund manager - employing limits on individual underlyings, sectors of the markets and countries, in what Bole calls a hierarchy of exposure.

"If all your clients were long, you could arguably be inside your limits, but you could have massive exposure to the UK stock market as a whole. So, in that case, you would hedge on futures on the index. Or, if you are concentrated in a banking sector, you can review that sector - so you're building up a much better portfolio picture," he says

[sami69] 21/2/2021 20:11

I know they have increased margins to 100% on a many stocks..not sure why the are doing this.On Petrofac I don't think you can open any new positions..closing deals only I believe.I don't think they have increased margins for existing positions(yet). I'm not sure what their motive is for doing this.

[wardy333] 21/2/2021 19:10

Anyone with open I/G positions should read this.....
"As it stands, there are still clients of IG who are yet to find out that some of their positions will be moving to 100% within just a few trading days.

Unless you have cash readily available then transferring or even selling elsewhere will be required.

Settling of stock can take several days before the proceeds of sales can be withdrawn and so it is inevitable that there is going to be forced dumping of stock."

[texaschaser] 21/2/2021 17:24

break to downside through 100 kos too much ramping by darrenbuffer loser

[wigwammer] 21/2/2021 11:33

It's one thing to be a joe bloggs member of the public and not know Petrofac shares are a steal. It's quite another to visit this site every day and be told by people in clear terms why the shares are outrageously cheap, and still not get it :)

[wigwammer] 21/2/2021 11:31

Oil price has recovered and sfo likely to wrap up case alongside lufkin, similar timelines to indivior last year. At which point the two main constraints on the equity story vanish and the brainless people who sold realise just how brainless they are. ATB :)

[wardy333] 21/2/2021 09:35

The case is now finished SFO have no chance of any prosecutions, its just a matter of when they decide to tell the market, could be soon could be a while who knows.

[pepepepe73] 21/2/2021 08:20

400m is big money even for a company like Petrofac.

If you divide that amount as expenses on 7 years and consider the operating profits expected each year, you easily reach to PFC is not crazy cheap.