Scancell Share Discussion Threads

[tosh123] 06/2/2019 17:19

Now please go and apologise to Researcher 1.

He was and is 100% correct, and i have now explained about 5 times why.
If you cant grasp it, then thats your fault, not his.

[oldnotwise] 06/2/2019 17:17

Yes, it's not looking particularly good... Interesting to see whether we hold onto the 6p level. Wouldn't be too surprised to see quite a few shares come out if we recover to say 9p as well... I reckon that some 0f those that bought down in tis area will take some profit rather than hang on for the rerate... UNLESS we get some news.... Hehe, well it's always possible but my optimism tanks are getting a bit low...
AIMO
ATB

[tosh123] 06/2/2019 17:15

Really ????? You still cant grasp it.... dear oh dear...Just to patronise you further, here we go... again... please try to learn this time ;-

I will repeat again Tosh .. it's a £10k trade in Scancell

it's not a £100m hedge on Barclays bank

even your local betting shop can handle that risk .. without hedging .....

1 ) Your local betting shop is NOT regulated in the same way as a CFD provider.
2 ) If the platform is only trading one trade a day, it would go bust in a matter of weeks, so your observation is nonsense. The platform will have various exposures to various equities of various sizes every day.
3 ) ACFD broker is NOT a gambler, nor can they gamble with client money, they are obligated to hedge any exposure.

and if the broker is buying the physical asset

how does he make money ?

1) I have already covered this you gold fish... The broker makes money in various ways... Execution of the CFD ... Spreads via price differentials of buy / sell orders vs actual market price ... On going annualised custody fees... On going annualised Stock Borrow fees... On going leverage charges.

and worse how does he fund the leverage position from the client position ..

which could be quite high ie 4 to 1.,..

ie put £2500 down ... for a £10k trade

Leverage is calculated and provided once the KYC of the customer has been completed and can be up to 20 times ( in some instances up to 100 times ). That leverage is then applied and adjusted depending on the liquidity of the asset being traded eg ;- the more illiquid the asset, the lower the applied leverage... basic mathematic principles of supply are applied.
The CFD provider provides the leverage from its own cash reserves and charges for it on a daily basis. Normally these charges would be based off Libor + a considerable premium, and would be far superior to any bank deposit rate.

the broker is now putting in £10,000 ...... while you put in £2500 for the same transaction

which is why you make no sense ...

It makes total sense, its just that you cant get your tiny mind around it... even after numerous lessons.
The broker basically lends the customer money, but protects his investment with a daily mark to market, which ensures that the value of the underlying asset never falls below the initial margin posted by the customer.
So the CFD provider / brokers money is also protected, because if the customer doesn't / cant make a margin call, the position is liquidated, the broker gets his money back, and if theres anything left, the customer gets it.

YOU ARE WRONG.... everything that you have written is absolute rubbish, and Researcher 1 was 100% correct.

[wanderer1210_0] 06/2/2019 17:01

Meanwhile if this goes into the 5p's the next stop will be 4p, if they have a fund raiser who knows what they will be able to raise at, the danger sign are there for all to see

[inanaco] 06/2/2019 16:42

I will repeat again Tosh .. it's a £10k trade in Scancell

it's not a £100m hedge on Barclays bank

even your local betting shop can handle that risk .. without hedging

and if the broker is buying the physical asset

how does he make money ?

and worse how does he fund the leverage position from the client position ..

which could be quite high ie 4 to 1.,..

ie put £2500 down ... for a £10k trade

the broker is now putting in £10,000 ...... while you put in £2500 for the same transaction

which is why you make no sense ...

[tosh123] 06/2/2019 16:14

Oh yeah.... dont forget to apologise.

Yeah righto !

[tosh123] 06/2/2019 16:11

Hahahaha.... now why does that final statement not shock me... Brilliant.

In fact the contrary is 100% true... I have proven that you have absolutely no idea what you're talking about.

500 mill laughed my head off.
CFD is unhedged laughed even louder.
There are tax implications even louder.
The provider cant make any money if he hedges, louder still.
Theres a CFD market roared and roared.


Now jog on little man.

[inanaco] 06/2/2019 16:01

you have not proved anything ...

[tosh123] 06/2/2019 16:00

Miavoce,
my pleasure sir.

[miavoce] 06/2/2019 15:54

Thanks Tosh.

[tosh123] 06/2/2019 15:54

And i hope that ineptico goes back to LSE and apologises to Researcher 1.
He tried to be clever, but actually came out of this looking very silly.
again

[tosh123] 06/2/2019 15:49

Miavoce,
primarily, because the CFD is a very liquid means of trading, its is always via the underlying. Basically, at the end of each day, any net positions will be calculated and hedged.
In a lot of cases though where the underlying equity has little volume or indeed the shares are tightly held, hedging will take place immediately.
It has been known to hedge via a future or an option, but that is too risky, especially as a lot of people trade to capture the upside of corporate actions, so by definition, the only way to protect against this is to hedge via the physical.
I hope that makes sense.

[tosh123] 06/2/2019 15:28

The subject is now closed.... you were WRONG.. End of story
So dont come over here looking to clog up the BB with your uneducated nonsense, and then fail to grasp the most basic of principles.
Today has only gone to reinforce how thick you really are. No wonder you cant identify risk, you cant even understand the basics of trading principles, which also reinforces why you only have the aptitude to be involved in one share rather than a portfolio... and even with only one share, you still lose nearly 90% of your money !!

I think points have been proven.

[miavoce] 06/2/2019 15:27

Hi ToshOut of interest, are any other forms of hedging used ie other types of derivatives / options, or is it always the underlying which is bought or sold ?

[tosh123] 06/2/2019 15:24

What CFD market ??? What are you talking about ? Theres NO CFD MARKET, theres merely platforms that allow people to buy or sell the performance of any given asset, and that asset, contrary to your absolute hog wash, is hedged via the physical... 100% FACT.

It is actually illegal for an FCA regulated entity to run a " naked " customer position, and to offer equity CFD's you need to be a regulated entity. so Mr Know Nothing, if you think that the positions are not hedged, then you are also saying that the FCA is wrong.
If you handle client money, you HAVE to protect it... Its the law.

You clearly have NO IDEA what you're talking about.
The only nonsense on here is what you're posting... YOU ARE WRONG... Any CFD provider will protect his position by hedging, and is mandated to do so under the terms of his license ... simple !

Now go and apologise to Researcher !

You cant of been any more WRONG... Like i said, in future and before you made an idiot of yourself ( too late for today im afraid ) just ask someone that has knowledge of such matters, before making totally incorrect statements, that come back and bite you.

Now jog on.

[inanaco] 06/2/2019 15:06

the CFD market will not react to a £10k trade ... by buying the asset ...

it's just complete nonsense and indeed researcher 1 could never prove the trade and you cannot either

[tosh123] 06/2/2019 14:58

Honestly.... you really are just digging a bigger hole for yourself...

"if every CFD contract had an underlying asset behind it .. how would the broker make money ?"... Easy.... its in the initial spread, plus carry / custody fees , plus execution fees... Basic stuff.

"his profit/loss would be neutralised by the asset itself ???"... WRONG, his profit / loss is protected by the provision of a hedge... once again, very simple stuff.

ACCEPT IT..... YOU ARE WRONG... now researcher 1 deserves an apology.

Now please jog on... I have taught you enough this afternoon... or not as the case may be.

[oldnotwise] 06/2/2019 14:54

Strange how Inanaco can understand all the science of Scancell but is incapable of "Getting" how and why (if at all) a CFD Provider would hedge a retail position.
I conclude that either:-
1 Inanaco does not understand the Science but cuts, pastes and blusters suggesting that he doesn't really "get" hedging which is very simple compared to the Scancell science.
OR
2 Inanaco does understand the Scancell science but can't understand Hedging which tells me that he's simply winding people up.
So which is it Inanaco?
You can't have it both ways if you really can research and understand the SCLP science so well?
Hedging a CFD is very simple compared with Scancells IP.
So which covers your situation?
1 or 2?
It can't be both or neither.... simple choice. 1 or 2?
ATB

[tosh123] 06/2/2019 14:52

Listen you idiot... just accept that you have got it all wrong.
I have explained in great detail why you are wrong, if you cant grasp the most basic of trading principles, thats your fault, no one elses, I think everyone else understands.

and finally ... " Tosh is talking about hedging the difference between all the CFD options on the table"

"Researcher 1 ... is talking about a single option on the table"

Its EXACTLY THE SAME THING you bone head... what bit dont you understand.. a single option ( and for clarity, a CFD is most certainly NOT an option ), could be the ONLY position on that stock, but still needs to be hedged in its entirety, hence why sometimes they show up and sometimes they dont, its all dependent upon the net position... Honestly, primary school kids would have grasped this quicker.

Researcher is 100% CORRECT, and you are 100% WRONG... whether you like it or not.
Now be a good lad and jog back over to LSE and apologise to Researcher 1.

[inanaco] 06/2/2019 14:46

so Mia i again refer you to the actual post


researcher1
Posts: 1,678
Opinion: Strong Buy
Price: 6.65
inanacoToday 12:33not true, I've seen them show up - exact times and amounts, but not reliably.

LOL

[inanaco] 06/2/2019 14:44

Mia

let's look at one deal

Buy the share in the market bid a 1p sell 1.2p plus tax plus cost of trade

spread on the CFD would be the same No Tax plus cost of trade


if every CFD contract had an underlying asset behind it .. how would the broker make money ?

his profit/loss would be neutralised by the asset itself ???

it's like buying and selling at the same price .. Great Turnover .. but it does not pay the bills

[tosh123] 06/2/2019 14:41

"what happens in the short situation .. how does he sell shares he does not own ?

does he Borrow ?" ... Dear oh dear... you clearly haven't read or learnt anything at all... its there in my original post READ IT ... As an institution, the CFD provider has access to equity funds that will lend shares for short coverage, hence why CFD's are the preferred means of shorting for retail customers... Please please try and keep up.


"getting a bit complex now eh !"... Not at all... its really very basic stuff, for most people with average intellect.

Now please go and apologise to the guy on LSE, because you have got EVERYTHING WRONG, yet again, and he was right.

[inanaco] 06/2/2019 14:38

No ...

Tosh is talking about hedging the difference between all the CFD options on the table


Researcher 1 ... is talking about a single option on the table

Huge difference

[miavoce] 06/2/2019 14:35

Tosh covered that in his orgiginal explanation inan