Sentences with phrase «illiquid stock if»

They would not get involved in such a tiny and illiquid stock if they did not see 100 % + upside.

Not exact matches

Unlike shares in public companies, which can be easily sold if an investor wants out, stock in private ventures is largely illiquid.

If stocks do 10 % going forward and a hedge fund that charges 2 and 20 takes 3 % of your money in fees you've only got 7 % left, plus it's leveraged, holds illiquid securities, etc..

Too bad this is an illiquid stock... value realization would be easier if it traded occasionally.

If we demonstrate it using illiquid micro-caps then we've demonstrated that low liquidity and small capitalization stocks outperform, which everyone already knows, but we've shown nothing about our quantitative value metrics.

If you're trading illiquid securities (small - cap stocks, for example), then you can see this play out in real - time.

@keshlam - if you are buying into such an illiquid stock in the first place I don't think you would have any investment strategy, you would be purley gambling.

The OP asks if there is a scenario when he / she wants to sell and no one wants to buy or when he / she wants to buy and no one wants to sell, then the limit order provides this scenario, especially in illiquid stocks.

So if a stock for example has last sale price of $ 0.50, has a highest bid price of $ 0.40 and a lowest offer price of $ 0.60, and an average daily volume of 10000 share, it is likely to be very illiquid.

Plus if dealing with an illiquid stock it would be quite stupid to place a market order.

If using a market order - yes you will buy or sell, but in an illiquid stock with a large spread you will get a very bad price for it, likely more than 10 % away from the last traded price.