The sudden revision inbook closure dates of BHEL shocked many traders as the unexpected move caused many of them a loss ofdividend and also the cost of carry that they paid to extend their futures positions in the stock.
While the public sector heavy engineering major had decided to hold the book closure between September 6 and 20, according to the earlier schedule, traders prefer to carry forward their positions to August, instead of converting them in cash which would have made them eligible for dividend.
Their calculations, however, went wrong with Bhel's decision to advance the book closure dates to between August 12 and 19, said a dealer. The move upset calculations of traders as it was announced just a few days before the expiry of July contracts on Thursday as by then they had already carried forward their positions.
Those who have rolled over their positions will lose out on the final dividend of 17.9 that Bhel has announced for 2010-11, said the dealer. Bhel shares rose 1.2% to 1,847 on Thursday.
ref:
http://economictimes.indiatimes.com/markets/stocks/stocks-in-news/bhel-book-closure-dates-revision-stumps-traders/articleshow/9403133.cms
Thursday, July 28, 2011
Subscribe to:
Post Comments (Atom)
No comments:
Post a Comment