LTSE Equity appears to be kind of a side project of the main LTSE Exchange which is not shutting down.
Note, however, that only a few hundred thousand shares trade on LTSE each day, for a market share of approximately 0.00%.
LTSE shutters cap table management business (formerly captable.io)
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Re: LTSE shutters cap table management business (formerly captable.io)
#12LTSE Equity appears to be kind of a side project of the main LTSE Exchange which is not shutting down.
Note, however, that only a few hundred thousand shares trade on LTSE each day, for a market share of approximately 0.00%. https://www.cboe.com/us/equities/market_share/
Agreed. LTSE has a very tiny market share of the daily trading.
I honestly can't figure out how they are making enough money to stay in business. I have to assume that by getting a seat at the big boy RegNMS table, they are getting a share of the fees paid to the SIP. But even with that, seems like a tough way to get by.
Re: LTSE shutters cap table management business (formerly captable.io)
#13So LTSE is like a private investors club for companies with "long term purpose"? But as the FAQ says the companies have to already be listed on the NYSE or Nasdaq. So if you can access LTSE trading, you'll be able to arbitrage the stocks, which sounds completely antithetical to the idea of LTSE but how do they stop it?
By having nearly no volume to begin with. Many US stocks are listed across many of the ~13 US exchanges, so what you're describing is already the status quo. According to RegNMS regulations, traders cannot trade through protected quotes, and so trading firms already have to be aware of the prices on all US exchanges.
But LSTE has so little volume, that you frankly forget they exist most of the time.
Re: LTSE shutters cap table management business (formerly captable.io)
#14So LTSE is like a private investors club for companies with "long term purpose"? But as the FAQ says the companies have to already be listed on the NYSE or Nasdaq. So if you can access LTSE trading, you'll be able to arbitrage the stocks, which sounds completely antithetical to the idea of LTSE but how do they stop it?
By having nearly no volume to begin with. Many US stocks are listed across many of the ~13 US exchanges, so what you're describing is already the status quo. According to RegNMS regulations, traders cannot trade through protected quotes, and so trading firms already have to be aware of the prices on all US exchanges. But LSTE has so little volume, that you frankly forget they exist most of the time.
The exclusivity and (assumed) low volume is what made me think of arb opportunities in the first place :) I doubt I'll be getting an invitation to trade.
Re: LTSE shutters cap table management business (formerly captable.io)
#15[dead]
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Re: LTSE shutters cap table management business (formerly captable.io)
#16Earlier quoted context omitted.
By having nearly no volume to begin with. Many US stocks are listed across many of the ~13 US exchanges, so what you're describing is already the status quo. According to RegNMS regulations, traders cannot trade through protected quotes, and so trading firms already have to be aware of the prices on all US exchanges. But LSTE has so little volume, that you frankly forget they exist most of the time.
The exclusivity and (assumed) low volume is what made me think of arb opportunities in the first place :) I doubt I'll be getting an invitation to trade.
I haven't tried, but I believe that upon request, your brokerage firm will direct trades to LTSE or any venue of your choosing.
Re: LTSE shutters cap table management business (formerly captable.io)
#17editorialized title. this reads like "the LTSE is shutting down" whereas its basically LTSE getting out of their cap table business confusingly called "LTSE Equity", presumably following the Carta drama of a few weeks ago. core LTSE business is fine. it's also noteworthy that their chairman/founder Eric Reis is now also cofounder of Answer.ai, so perhaps his personal focus is shifting a bit? idk, probably reading too…
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Re: LTSE shutters cap table management business (formerly captable.io)
#18So, what happens if I have shares in there from a previous company? Would my account be automatically migrated to the new provider? Do I have to contact the company ? :(
Re: LTSE shutters cap table management business (formerly captable.io)
#19editorialized title. this reads like "the LTSE is shutting down" whereas its basically LTSE getting out of their cap table business confusingly called "LTSE Equity", presumably following the Carta drama of a few weeks ago. core LTSE business is fine. it's also noteworthy that their chairman/founder Eric Reis is now also cofounder of Answer.ai, so perhaps his personal focus is shifting a bit? idk, probably reading too…
The sell-off of captable.io/LTSE Equity was announced to customers a couple months ago, predating the Carta drama (but many folks picked LTSE specifically because it wasn't Carta).
Re: LTSE shutters cap table management business (formerly captable.io)
#20So, what happens if I have shares in there from a previous company? Would my account be automatically migrated to the new provider? Do I have to contact the company ? :(
> what happens if I have shares in there from a previous company?
You never had shares “there.” You have shares. They recorded that fact.
Contrast this with buying Apple stock through Fidelity. Legally, Fidelity owns the stock [1]. (Well, technically probably not [2].) You properly own your stock “through” Fidelity.
Private cap tables are different. The cap table is what the investors and company say it is. To avoid mistakes and have an independent record for disputes, many companies opt to use a third party for administration. But the shares they track aren’t “there.” The cap table manager can go under with zero implication for the value or propriety of your shares. (Not necessarily true for Fidelity.)
As a practical matter, keep an eye out for an update from your company. As long as they have a proper notice address for you, you shouldn’t be subject to anything explosive.