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Post by madog365 on Dec 13, 2016 14:49:31 GMT -5
Any idea how many shares are held by index funds? NASDAQ lists around 100 million held by institutions but doesn't make it clear what percent are index fund holdings. Institutional reporting is governed by the Investment Act of 1940, and the reporting rules are a little messy. Suffice it to say that reports for large entities (Goldman Sachs, Fidelity, etc.) are allowed to combine many accounts under their umbrella; some are specialty funds, some are index funds, and some are retail holdings in street name. That information is not publicly available and only the reporting entity knows the breakdown. One thing I forgot to mention is short interest. Index funds must hold the index in the exact percentages required, but they can also loan out shares to make a little extra from short sellers. When the funds sell out of the shares there will be fewer shares available for lending, at least for a few days, as the market equalizes. Normally that is not a big deal but with the MNKD short interest it will be something to watch. Of course the buyer of those shares might scoop them up and offer them for lending, or the shorts might use the price downturn as an opportunity to cover. We will have to wait and see how it balances out.This is a big thing to watch. Short sellers being forced to cover as funds return lent out shares. Of course that may be already priced in with the recent higher volume run up. I assume they were notified before today's press release.
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Post by peppy on Dec 13, 2016 15:02:33 GMT -5
Thanks, Art. SP doesn't seem to be affected - holding still at .61. But, this is a surprise to me. Matt indicated in the cc that this should not be a problem. Nasdaq and Nasdaq Biotech two different indices.
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Post by sportsrancho on Dec 13, 2016 15:33:33 GMT -5
Thanks, Art. SP doesn't seem to be affected - holding still at .61. But, this is a surprise to me. Matt indicated in the cc that this should not be a problem. Nasdaq and Nasdaq Biotech two different indices. Pep, does this mean that we won't be in the IBB? If so and the IBB goes into a bear market like Nate mentioned on that radio show. It would be to our advantage not to be in it.
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Post by Deleted on Dec 13, 2016 15:40:23 GMT -5
I am losing my memory and only in my 30's
What index were we added to over the summer right after the offering that helped propel the stock from .90 cents to a 1.40?
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Post by therealisaching on Dec 13, 2016 15:42:28 GMT -5
russell microcap
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Post by Deleted on Dec 13, 2016 15:43:59 GMT -5
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Post by peppy on Dec 13, 2016 15:46:07 GMT -5
Nasdaq and Nasdaq Biotech two different indices. Pep, does this mean that we won't be in the IBB? If so and the IBB goes into a bear market like Nate mentioned on that radio show. It would be to our advantage not to be in it. Not sure MNKD is in the IBB. (?) In the $BTK. www.google.com/finance?q=INDEXNYSEGIS%3ABTK&ei=xVxQWID2LI_ujAGHqobwCA
My take is given Matt's well timed information, if the shares are loaned out, they will need to be bought back before sold? this could be good? It will be institutional to institutional trades? When MNKD starts making some money, they will be bought back in. also good. charts daily www.screencast.com/t/AsXSzWzUbLk weekly www.screencast.com/t/rjePcyDu
Not sure this is bad news. Is it more like the song, Bad? What is the take?
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Post by slugworth008 on Dec 13, 2016 15:56:29 GMT -5
I am losing my memory and only in my 30's What index were we added to over the summer right after the offering that helped propel the stock from .90 cents to a 1.40? The TASE ??
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Post by dreamboatcruise on Dec 13, 2016 16:39:43 GMT -5
There is no immediate effect, but there will be a sell-off heading into the close on Friday. Since index funds are required to hold the exact basket of securities that comprise the index, they will sell out of MNKD and the other names being dropped from the list and will buy the names being added. Predictable as this is, many times you don't see the price action until the last 30 minutes of trading, and some funds will wait until the AH session or the open on Monday to rebalance. Other than the one time impact of exiting the index, and somewhat less trading volume going forward, participation in the index doesn't have much of a long-term effect either positive or negative. Though wouldn't an additional effect be to delink MNKD a bit from overall biotech market... i.e. it wouldn't have the natural up and down draft pull of being part of the index in the future.
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Post by babaoriley on Dec 13, 2016 16:46:39 GMT -5
Compared to our real issues, this is pretty much a nothing (plus, this is no surprise, although no one knew the timing, except maybe a few shorts).
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Post by esstan2001 on Dec 13, 2016 16:58:25 GMT -5
Thanks, Art. SP doesn't seem to be affected - holding still at .61. But, this is a surprise to me. Matt indicated in the cc that this should not be a problem. This is regarding the Nasdaq Biotech Index. Matt P. was referring to likely having sources of income or results drive the share price back above $1 in time thus avoiding the 6 month Nasdaq Market de-listing requirement.
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Post by peppy on Dec 13, 2016 17:19:02 GMT -5
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Post by therealcd on Dec 13, 2016 17:41:53 GMT -5
What happened to the Transparency? Not feeling good, although when I bought it I was feeling good. Hey like I said it was play money for me. Hate losing. Although up today.
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Post by LosingMyBullishness on Dec 13, 2016 17:42:48 GMT -5
I am losing my memory and only in my 30's What index were we added to over the summer right after the offering that helped propel the stock from .90 cents to a 1.40? Happens when you have a kid. Some people say it is lack of sleep but I go for some brain sucking during sleep😉. That's why they want proximity. Must be some kind of NFC.
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Post by Deleted on Dec 13, 2016 17:47:15 GMT -5
Thanks, Art. SP doesn't seem to be affected - holding still at .61. But, this is a surprise to me. Matt indicated in the cc that this should not be a problem. biotech index is different from Nasdaq exchange listing
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