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

To: Scott Mc who wrote (849)	3/28/2001 1:42:17 PM
From: stan_hughes	Respond to of 11633

Scott - Just for the record, the NCF issue has not been "underwritten", it is being sold on a best efforts basis - the agency houses have assumed no price risk here. As for making a buck on this play, the only way us poor saps could have profited from the exercise would be to have had the same advance knowledge of both the issue itself and where it would be priced. Whether the official house positions indicate people acting on that particular information were concentrated within the agency houses or not doesn't alter the fact that many people obviously did know these facts. The tape never lies - the unit price got trashed. Interpret these events as you will - IMO either the NCF treasury department is so naive about the financial markets they got jammed on the issue price by the houses who then took advantage of the situation, or this arrangement was made in the full knowledge of NCF, whereby the capital is vacuumed up by being party to a bear raid on your own stock. This involves the houses hitting the bids for your own units until the subscription book is filled up with enough orders to buy those units back, leaving NCF with a fully subscribed issue, i.e. with their share of the proceeds of the raid. Whichever is the case here (stupid or sleazy), I'm not too impressed with the NCF treasury department and how this financing has been handled. However, I won't get any sympathy from NCF and I can't do anything about it now - what's done is done. I'll decide whether to sell once I've been made whole again. I hear you about the Nasdaq - it is, after all, a market maker system and not an auction process - but that doesn't mean the other exchanges give you a fair shake. IMO the whole system is designed to pick people upside down by the ankles and shake them until all the money falls out. As for NCF, not to worry I suppose, the yield should hold and the unit price will eventually gravitate back to where it belongs in the big scheme of things. But I have to admit it still PMO.