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Pastimes : DD's DD -- Ignore unavailable to you. Want to Upgrade?

To: Due Diligence who wrote (88)	10/10/1999 11:28:00 PM
From: Due Diligence	Read Replies (1) \| Respond to of 2080

Interesting Read I recieved via E-mail. FWIW. DD How many OTC Bulletin Board companies have been ejected since the NASD implemented the Eligibility Rule since July 1? The answer is 341, or roughly 63% of the companies reviewed. So far, the NASD has only reviewed 10% of the 6500 companies affected, so there's going to be an even greater flood of companies heading to the OTC:BB graveyard - the Pink Sheets. Good! The more information available to investors, the less risk. Less risk makes for a healthier market and we'll see more capital flowinto Bulletin Board market once it is cleaned up. However, The OTC:BB market spreads its asymmetric information very thick, which is good if you're talented at your due diligence, but bad news if you're one of the many who don't have time to spend day and night researching an unknown prospect. So if you are a god of microcap speculation/investing, the Eligibility Rule is going to present you with more competition and cut down your phenomenal returns. For those still working toward a state of godliness, the Eligibility Rule may be the divine intervention needed to break through the mediocrity. Some traders are distressed that large migration to the Pink Sheets will hurt liquidity. Poor babies! Don't invest in the companies who don't plan on compliance! A simple remedy to that problem. Besides, if the company in question doesn't have enough money to become compliant, then why bother? And for the companies who don't care about their shareholders or are too inept to become fully reporting, good riddance.