Trouble in Oz
January 30th, 2008 by 
reality
An Australian brokerage firm, Tricom Equities, was unable to settle its trades.
Tricom’s managing director, Lance Rosenberg, said last night that last week’s huge trading volumes had created “administrative issues” that Tricom was confident it could resolve - but the bottom line appears to be that the firm had insufficient funds to cover last Friday’s trades under the three-day settlement rule.
One hopes that what happens in Oz, stays in Oz.
Posted in Stocks | 
January 31st, 2008 at 8:24 am
How do you deal with this terminal threat: bank runs, broker defaults, etc.?
Jim Sinclair at jsmineset.com has long been advising to take physical delivery of stock certificates etc. I only hold options, so I can’t use the advice. My bank has been under FDIC supervision since November.
Aren’t you concerned about this and what would you suggest to do?
Thank you.
January 31st, 2008 at 8:34 am
Of course I’m concerned, that’s why I mentioned it.
I use multiple brokerages and keep an eye on their financial health. I stay away from money market funds and minimize cash balances, using T-bills instead. I have money in foreign accounts (properly reported, of course).
I keep my fingers crossed. :)