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Gold/Mining/Energy : Canadian REITS, Trusts & Dividend Stocks -- Ignore unavailable to you. Want to Upgrade?

To: Lorne Larson who wrote (844)	3/27/2001 5:37:32 PM
From: stan_hughes	Respond to of 11633

Lorne - I don't know the legally precise answer to your question, but whatever the case, the practice stinks. I think of this kind of price manipulation more in terms of being a form of front running rather than insider trading, but the results are the same no matter what label you put on it - the existing longs get screwed. Even if the practice is actually illegal on paper, that doesn't seem to prevent any of the houses from routinely doing it, nor does it ever seem to prompt the regulators to get out of their comfy leather chairs down at the club to do anything about it. It's still a "who you know, not what you know" world up there. You may want to consider keeping your money in trusts held inside the US if you want to avoid these kinds of shenanigans, or at least avoid them on the scale that we've experienced here. That was a 15% shakedown from the high with their selling, and now get this - it's only a best efforts deal, so those houses didn't even have to assume any underwriting risk for Pete's sake - talk about scooping 'free money'. Rather unfortunate that the 21st century still finds even larger Canadian firms forced to deal with the white collar criminals of Bay and Howe Streets to raise domestic public capital. Maybe the Canadian banking system and the hidebound process in which investment capital is allowed to form could stand some legislative changes. However, I'm going to have to leave that for another day. About the only good news I can offer is that the rape is over now, so hopefully we've seen the bottom and can start moving back up from here.