Important: new positions restricted on GameStop and AMC

[CaptainIreland]

Is this for real?

IG are actually preventing people from trading in these stocks?

“Due to the recent extreme volatility, and in order to prioritise the service we give our existing clients we are not allowing any new positions to be opened” ???? This doesn’t even make sense.

Absolutely atrocious, you’re joining the Robinhood gang!  Nothing other than protecting the hedge funds while the individual loses out. This is not prioritising your service to your clients unless your owned by Wall Street.

This action is for no reason other than miniminse share price increase while the shorting continues throughout next week.  I will certainly never be using the platform for trading and will make sure my co-workers follow suit.  Dispicable!

I've a feeling the moderator won't approve this post.

From: IG <support.au@ig.com>
Sent: Saturday, 30 January 2021 11:06 PM
Subject: Important: new positions restricted on GameStop and AMC

 

You can still close positions Having trouble reading this email? View it in your browser   Log in Forgotten details   Trading restrictions on GameStop and AMC Dear Mr Farrell Due to the recent extreme volatility, and in order to prioritise the service we give our existing clients, we are not allowing any new positions to be opened on the US stocks GameStop and AMC Entertainment. These restrictions apply to all IG accounts, and will be reviewed regularly. You will still be able to close any open positions that you have in these stocks. Any orders that you have already placed on these two stocks will remain. In addition, if you have any CFD positions open on either stock, please be aware that the margin required to keep them open will increase to that listed below from 3am (AEDT) on Tuesday 2 February. Please ensure that you have enough money on your account to cover the margin requirement.   Stock New margin AMC Entertainment Holdings Inc 100% GameStop Corp 100% We're here to help If you have any questions about this or need help with your account, you'll find quick answers in help and support or IG Community. You can also get in touch with our team 24 hours a day, except from 9am to 7pm Saturdays (AEDT).   Kind regards IG E helpdesk.au@ig.com IG.com.au     All trading involves risk. Please take care to manage your exposure. The value of shares, ETFs and ETCs bought through an IG share trading account can fall as well as rise, which could mean getting back less than you originally put in. Please remember that CFDs are a leveraged product and can result in losses that exceed your initial deposit. Trading CFDs may not be suitable for everyone, so please ensure that you understand the risks involved. When trading CFDs, you do not own or have any interest in the underlying asset. IG does not issue advice, recommendations or opinions in relation to acquiring, holding or disposing of a CFD. IG is not a financial advisor and all services are provided on an execution only basis. Please consider our Product Disclosure Statement available from IG before entering into any transaction with us. IG provides an execution-only service. The material above does not contain (and should not be construed as containing) personal financial or investment advice or other recommendations, or an offer of, or solicitation for, a transaction in any financial instrument. No representation or warranty is given as to the accuracy or completeness of the above information. Consequently any person acting on it does so entirely at his or her own risk. The information does not have regard to the specific investment objectives, financial situation and needs of any specific person who may receive it. IG accepts no responsibility for any use that may be made of these comments and for any consequences that result. Share Trading accounts and New Zealand CFD accounts (opened pursuant to IG’s Margin Trading New Zealand Customer Agreement), are provided by IG Markets Limited (Level 15, 55 Collins Street, Melbourne VIC 3000. ABN: 84 099 019 851, Australian Financial Services Licence No. 220440. Derivatives Issuer Licence in New Zealand, FSP No. 18923). Australian CFD accounts (opened pursuant to IG’s Margin Trading Australian Customer Agreement) that are opened prior to 15 November 2020 are also provided by IG Markets Limited. Australian CFD accounts opened from 15 November 2020 are provided by IG Australia Pty Ltd (Level 15, 55 Collins Street, Melbourne VIC 3000. ABN 93 096 585 410, Australian Financial Services Licence No. 515106). Privacy: You have been sent this email because of your existing relationship with IG. This is an essential communication. If you believe you should not have received this email please contact us. © 2021 IG

[Guest Farrell Jr]

What you have described is even WORSE!!

Allowing selling only on an equity is pure market manipulation!

What could possibly be the rationale for this — WHO has made this decision at IG? On what basis?

I am reporting you to ASIC.

 

[boggers]

I phoned IG today, if it's any consolation they're not lending your shares out for short selling either. The only people selling GME right now are short sellers, selling shares they're borrowing for the third time, IG put a stop to that lending, as I am sure a lot of brokers are doing, whether they have shares to sell to retail or not.

Another way of looking at it, GME had ~250% short interest last I looked, that means there is something like negative 100 million shares available to buy right now, if you or I were selling, those shares will go towards getting the available shares back to zero, so there still wouldn't be any available to buy.

I expect NYSE will halt trading on GME some times this week, maybe tonight. They have to, the short sellers debt racking up is unpayable.

[ebresson]

This is an appalling decision. This is platform is about to provide access to some part of the markets to retail investors. Why is it preventing purchase of GME and AMC. if you want to protect your customers base remove leverage but the rest is our decision.