Wa_ithaka wrote:With all the broker issues at the NSE, I now do all my orders on a limit price basis. However, I've noticed something uniquely Kenyan in the way the NSE brokers process such orders. For a limit price order, the limit price seems to become the buying or selling price. In almost every other stock market I’ve tried, the broker has always used the limit price as a guide for him to find me the best price.
My strong suspicion is that the NSE brokers take profit from limit price orders. If say I send in a limit selling price of Ksh26 for my 10,000 Equity shares and Equity goes to Ksh26.50, I suspect that the broker sells the shares at Ksh26.50, gives me my receipt at Ksh26 and pockets the difference less commission.
if you were a broker..here..or better still..employed by a broker here..and your salary came in format of commission on how much money u bring the firm, would you act any different? considering all/bulk of firms revenues are commission based..and very thin opportunities for income elsewhere apart from may be trading in your own name.
..Let your light so shine before men, that they may see your good works, and glorify your Father which is in heaven...Matt5:16
- 1769 Oxford King James Bible 'Authorized Version