Irresponsible Porsche

[BlasterBates]

Porsche irresposnsible

Porsche were responsible for the wild swings in VW. Perhaps we should exclude companies irresponsibly building up stakes for strategic reasons, with the aim of running the company longterm, and deploying technology, and only allow hedge funds and speculators to continue in their responsible manner lending billions to short stock and send companies out of business to make a fast buck.

[AtW]

What I think happened is this - Porsche owned a lot of VW shares, but stupid hedge funds were shorting VW using naked shorting - basically selling non-existant shares, and that amount probably exceeded anything available on the market, so when shares went up they had to buy them to cover positions, with lack of actually available shares (Porsche was not selling) price went up big time.

Conclusion - yet another reason to shut down hedge funds and jail their execs for market manipulation.

If they are investment houses and think VW is a bad business they should buy some other car manufacturer shares or not buy any car manufacturer shares if they believe whole sector is bad, but not short shares the way they do - it should be illegal plain and simple, and I think new regulation will certainly address that permanently.

Kudos to Porsche - that taught those scumbags not to short their business.

[Peoplesoft bloke]

What I think happened is this .......

At last. some informed analysis................oh.

[Clippy]

What I think happened is this - Porsche owned a lot of VW shares, but stupid hedge funds were shorting VW using naked shorting - basically selling non-existant shares, and that amount probably exceeded anything available on the market, so when shares went up they had to buy them to cover positions, with lack of actually available shares (Porsche was not selling) price went up big time.

Conclusion - yet another reason to shut down hedge funds and jail their execs for market manipulation.

If they are investment houses and think VW is a bad business they should buy some other car manufacturer shares or not buy any car manufacturer shares if they believe whole sector is bad, but not short shares the way they do - it should be illegal plain and simple, and I think new regulation will certainly address that permanently.

Kudos to Porsche - that taught those scumbags not to short their business.

Translated version:

Blah. blah, blah....squirrels, ska....blah, blah, blah...comrade, glasnost, Nina...blah, blah, blah..........................

[BlasterBates]

congratulations Porsche

oh dear is this immoral, what will all those poor unemployed hedge fund traders do?

[HairyArsedBloke]

VW was notorious for having a small amount of free float and Porsche was known to be a major shareholder with designs to acquire more.

Plain stupid to take a large short position in a market like than. Idiots deserve a good kicking.

[Sysman]

congratulations Porsche

oh dear is this immoral, what will all those poor unemployed hedge fund traders do?

Hang on a minute. The hedge fund traders wanted VW's share price to plummet. Porsche defended its large investment in VW, and they get called irresponsible for that?

[swamp]

I bet many of those hedge fund managers drive Porsches

[Pondlife]

I bet many of those hedge fund managers drive Porsches

Not anymore.

[Sysman]

I bet many of those hedge fund managers drive Porsches

It's quite ironic that the bonus bonanza the hedge fund traders enjoyed contributed to Porsche's current financial strength.