Just like there are paper engineers who are so good at talking about the laws of physics and Isaac Newton's gravitational applications but can't do anything when you take them to a real science laboratory, I have realized this forum has a majority of such characters. They are very good investors in this forum, but that's the farthest they ever get. Probably don't even have CDS accounts to begin with. If you follow discussions here keenly it comes out that even the so-called "Elders" have earned the titles not because of their investment wisdom, but more from their age in Wazua.

The latest discussion on effects of the Banking Amendment Bill 2015 and how it has caused a hemorrhage on banking stocks is a good one that has exposed these "investors'" naivety as far as the stock market goes. Inasmuch as this group comprises of long term, short term and speculative investors, I think for the health of the discussions we need to focus more on the fundamental formations of companies and their effects to investors in the long term instead of analyzing daily stock performances. Prices come down, and go up...nobody knows what bills will be signed into law tomorrow or next month or next year; we can only speculate on such. But one thing is for sure; companies with solid fundamentals will most likely weather storms and soldier on and will still be here.

So guys running around peddling panic and fear just because Uhuru signed a bill into law please note that 5yrs from now these banks will still be here, and the share prices will still be going up and down and so if the best you can do at the moment is whine about share price drops, you should consider giving your portfolio to someone else to manage it for you because you don't know what you're doing.

If I may rephrase this correctly; you guys whining about low share prices...you were ready to buy Equity at Ksh. 39, KCB at Ksh. 33, HFCK at Ksh. 20 etc. but now Mr. Market is giving them to you at prices 20% lower and all you can do is whine about low prices? Gerrarahia!

yes,this beer is getting the best of some of us...hick...

Remember banking stocks were at a discount before rate cap because of the bear run. They went down following signing of the bill. Some banks have implemented the new law though waiting some guidelines on the same. Banks will make profits albeit reduced. I think your analysis will hold water in a couple of months as for now traders are experiencing hilarious moment of calm. Which further downward volatility are you expecting? Trading huge volumes and reduced foreign outflow is a sign of price stability. Make noise as Mr. market shall defy hullabaloo to register astounding margins in the short run.

Bear? Emotional? Naaah!!!

There is a very thin line between making money and being right about the market. Clearly that line is so controversial we don't want to accept that it exists. As far as the current bank stocks go at the moment, nobody can tell for sure if it's a resurgence or a mere dead cat bounce at work; especially considering the net buyers are locals trying to make some margins on thin volumes. Foreigners are net sellers of banking stocks with huge volumes exchanging hands. As per latest trading session (31/8/2016), foreign investors were net sellers of major banking sector stocks, the highest net foreign outflows were recorded on KCB Bank, followed by Barclays Bank (+6.5% to KES 9.80), Equity Bank (+7.8% to KES 27.50) and Co-op Bank. Only DTK and I & M defied the statistics but traded negligibly low volumes. My point is this...the effect of the Banking Bill is yet to be fully factored into the current prices and the most of them will still experience volatility whether upwards or downwards. Still to early to tell. Even those diving in now on short-term speculative terms because the prices are going up may find themselves at same point or even lower when the T + 3 rule finally avails them back their purchased banking sector shares for trade early next week.