Citadel Securities, the retail arm of Ken Griffin’s Citadel Investment Group, has become the latest firm to report “significant losses” from Facebook trades on behalf of clients, according to people familiar with the situation.
News of Citadel’s losses comes a day after Knight Capital disclosed that it could incur losses of $30-$35 million in the second quarter on Facebook [FB 33.03 
1.03 (+3.22%) 
] trades alone.
1.03 (+3.22%) ] trades alone. Now this sounds like a kick in the pants if I was a poor sucker trying to buy Facebook stock at the open:
Advisers familiar with the situation at Fidelity said many investors are now finding out, nearly a week after the fact, that their orders were not executed at the prices they thought.
In other words you had to wait a week in order to see if you got in at $45 and are now sitting on a $12 a share loss or not. That sounds like they were using ENIAC mainframes at Nasdaq or something. The idea that you have to wait a whole week in order to figure out if you own a stock or not is just egregious. I hope the SEC levels stiff fines at everyone involved.
No comments:
Post a Comment