Ok guys.. so I'm a complete newbie that seems to have got in a pickle on my first cfd trade.
I opened a long cfd position on Friday 7th June. To find that the shares were suspended on Monday morning. After doing some research I discovered that Lonmin were been bought by sibanye gold and trading was suspended until shares in Lonmin are converted to sibanye at 1:1. This seems like a great deal for Lonmin share holders @ a value of 0.75 to 4.02.
So as it stands at the moment I have my cfd equity held by IG for this trade.
I've tried contacting IG about this and keep getting directed from one department to another finishing with the promise of an email that will explain everything.
Twice I've phoned and no Email back.
Apparently anyone trading in Lonmin shares were emailed in May, giving options.
As I didn't trade until Friday I didn't get an email or get the chance to act accordingly.
The one thing I've been told by IG is that they dont deal with south African shares.
The worst case scenario is that I lose my equity and the open position stays locked out and dare I say the best case is I end up getting the difference in price between the two in nominal value.
Firstly am I entitled to this with a cfd trade or not.
If I am then can I transfer the cfd to another broker that does deal with SA shares.
Any advise would be great thanks.
And yes I should have done my research first.