Power Finance Corporation Ltd FPO Message Board (Page 54)

My dear aspirants and m.l.a sir,
Let us not put high pressure on Mr .Genius Sreedhar alone.
You can think that It is after- all 30 crores IPO, where at any point of time subscription figures may change rapidly.
My suggestion is If you have 3 to 4 demat accounts with different individuals apply by subscribing like 2 lakss,1 llakh,50thousend and 25thousend depends on your capacity and risk.
Then wait for subscription period to complete and dust to settle for time and think with cool mind and decide whether to hold all applications or less or not all. Accordingly approach bank for putting money or giving a 'stop payment instructions'. (Rs 30 only charged in federal bank).With little expenditure so that a little opportunity should not miss in getting No. of shares as per your risk taking ability.
After applying you can ask from Sreedhar or any other senior member regarding his/her view on listing price and afterwards their strategy at the particular range of price.

May 7, 2011:

Investors can consider subscribing to the follow-on public offer of Power Finance Corporation (PFC), one of the largest infrastructure financing companies. This equity offer would give PFC the much-needed capital boost to support loan growth. Additionally, the Rs 3,700 crore fresh equity (at current prices) would, to some extent, help PFC reduce the impact of rising interest costs to some extent. The recent correction in the stock has brought prices down to an attractive valuation.
http://www.thehindubusinessline.com/features/investment-world/stock-insight/article1999276.ece

Current GMP of PFC is 3400-3600
share 1.5-2.5 Premium

Dont short the futures in opening ..

Futures price will open around 205 and gradually move towards 210

So dont get trapped by shorting futures at 205

My dear GOOD BROKER,
Thank you for your valuable quick response
Now a days it so easy to open a demat and trading account with the broker who respects individual views and allows in views by taking required margin money based on the volatility in price.(Like Angel, India info line, Net worth and JM financial and so on).

All trail(gray) markets will try to identify the demand for an issue and before listing by consulting certain small group. Incidentally where there are more chances to list at that particular price. But after listing all the investors and traders and HNI and institutions will take over the market to guide the price discovery mechanism.
The orders will be placed based on the fear or greediness of investors/traders. I don’t blame the trail markets as it is limited to certain/limited group of persons.

I will wait for your valuable comment please.

149 SEENUIPO

I agree with your view but every body cannot short the ipo if he has an account with icici bank hdfcsec etc hence apply in such ipo where you find good profit above 5% on listing also go by the grey market premium for reference and donot have greed, in muttot grey market was rs 20 to rs 25 before the issue subcribed so you should have sold between rs 192 to rs 185

Dear IPO/STOCK GURO and other members
Kindly reduce your valuable time in spending for scolding the SEBI.Govt of India or somebody else, because if there is a guarantee for an IPO to list the above price then every body will open a shop right from pan dabba wala to paper boy who can start to sell the IPO applications which makes, it very rare occasion to get allotment due to huge subscription. So because of uncertainty only there is a buyer and a seller criterion is forming.
If somebody wants always positive results then approach any public sector bank and put money in a fixed deposit instrument to get day to day growth in balance.
More over it is not necessary to apply if one feels that BRLM is aggressively priced the issue. Wait for listing day and make a beautiful 'short' on particular price (where you think fundamentals will not justify the prevailing price and the price will not sustain,) to make windfall profit if market likes your view.
There is nothing else more than the demand and supply in the world of business to judge the price.
(This can be easily understood by the persons those applied in the ratio of 1:30 or 1:40 for muthoot finance in front of registrar for the rate Rs 175(upper bad) but keep off themselves and restricted to put the money in buying the same stock after listing very well available at Rs 162/-near lower band.
(none other than Mr muthoot).
Hence once again I request my respected investors not to spend any time in scolding and put your effort in cashing the situation.

VAS NAT

WELCOME TO THE BOARD OF STAR CONTRIBUTORS

IPO Message Board Star Contributors: Sreedhar Ravi, Bangalore KK Natarajan
Gane Saharanpuri Ipofinder
Chem cho vas nat

Nhpc,sjvnl,ptc fin,Ntpc,Nmdc,eng.india,shiping co. , may jab retailes phas gaya tho bolnay laga yah long term kay stock hi, kus ko 2 years ho chukay hi kisi ko 3 years ,my dear long term walo well done.

thanks sameerjaipur

i dont want to trade in Futures...i f i want to do work on Options then @what strike price call or put i should exercise frnds?

What is the market lot?

power finance issue is the most popular issue discount to reatail & eleigible employee to 5% it will atlest 3.5 X subscribe in retail category

sameerjaipur

WHAT IS MARKET WIDE POSTION LIMIT FOR FNO FOR A SECURITIES-

The Market Wide Limit of open position (in terms of the number of underlyuing stock) on futures and options contracts on a particular underlying stock shall be lower of –



30 times the average number of shares traded daily, during the previous calendar month, in the relevant underlying security in the underlying segment

OR

20% of the number of shares held by non-promoters in the relevant underlying security i.e. free float holding.


a) At the end of the day the Exchange shall test whether the Market Wide Open Interest for any scrip exceeds 95% of the market wide position limit for that scrip. If so, the Exchange shall take note of open position of all client/TMs as at the end of that day in that scrip, and from next day onwards the members/clients shall trade only to decrease their positions through offsetting positions till the normal trading in the scrip is resumed.

b) The normal trading in the scrip shall be resumed after the open outstanding position comes down to 80% or below of the market wide position limit.

Vasnet,
Thanks for the information but still my point is there are chances that one wouldn't be able to hedge after applying.
PFC future closed at 207 approx. What if we make position around this price if we can before applying as chances of allotment are very good after recent downward rally and Muthoot listing.Hope u r getting my point.

VASANT
RIGHT

Samerjaipur - Usually Futures is not banned after FPO but once the open position created crosses the limit (I think it is 15% of total no. of shares in cash market) then it gets frozen for new positions but the open position aleady created can be squared off during this period.

Somebody correct me if I am wrong.

price bend is not attractive. May see below 190, if sensex@17000.

I hold 136 since IPO, is it advisable to invest through FPO, please suggest.

Dear All,

Its time to sell F&O.

See 215 Sell 1000 share now.
Apply in Fpo its not sunscibe more then 6 time sure.

So your gain 215-193=22 rs / share.

So square fo in listing.

Dear Gem,
U r saying after applying one should short in F&O if he gets decent price.DOn't u think this script will be baned in F&O after closing of FPO.