HSBC bans customers from buying Bitcoin-backer MicroStrategy shares

Post by xiphias2 » Tue, Apr 13, 2021, 2:57 PM UTC

listenallyall wrote: post #66

xiphias2 wrote: post #59

Earlier quoted context omitted.

Interactive Brokers and Saxo are good options for example in UK. I think RobinHood is US only, but US has more professional brokers as well.

I guess you and I have different opinions on what makes a "better" broker. I'm in favor of clearly-defined policies that anticipate certain events, which are communicated to all customers far in advance, so customers can make an informed decision whether or not to patronize that particular company. You seem to be happy with firms like IBKR which might decide, mid-day, at the peak of volatility, to lock out its custom…

Post by jdmg94 » Tue, Apr 13, 2021, 3:12 PM UTC

Post by rchaud » Tue, Apr 13, 2021, 3:39 PM UTC

bob33212 wrote: post #91

mike_d wrote: post #37

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Which is a problem in itself. Tesla with a 2% market share in the US, is valued more than Toyota, Volkswagen, Daimler, General Motors, and BMW combined (40% of the domestic market). Toyota makes about $2,500 profit for every car sold. Tesla would need to make $50,000 per unit sold on average, or basically 100% profit on a Model 3, to justify the market cap.

Stock prices do not reflect current profits. Imagine if they did. If tsla was currently 50/share to be inline with your metric. How would you stop people from buying it at 60? Because using your math they will be worth 75+ next year when the other factories come online.

Post by kasey_junk » Tue, Apr 13, 2021, 7:19 PM UTC

JumpCrisscross wrote: post #93

kasey_junk wrote: post #79

Earlier quoted context omitted.

Yeah if they were worried about settlement risk they could just not release funds/shares until they settle. But that’s probably harder to implement than a blanket ban and they have nothing to gain by catering to the meme shares crowd.

> if they were worried about settlement risk they could just not release funds/shares until they settle This doesn’t solve the problem of clearing collateral. That said, HSBC is a money centre bank. It isn’t worried about clearing collateral. The policy is almost certainly a filter. If you’re trading MicroStrategy, you’re probably not a fit for their banking and wealth management services.

Post by perl4ever » Wed, Apr 14, 2021, 10:48 PM UTC

codetrotter wrote: post #50

perl4ever wrote: post #32

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>you can still buy those on margin That is absolutely not the case in a categorical sense. Brokers can and do apply different margin requirements on a stock by stock or customer by customer basis. There's nothing out of the ordinary about a security not being marginable or having increased requirements due to risk assessment. For example, here is a list of stocks at one broker with particular margin requirements, and…

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