Sebi plans to cap our margin on our net worth

hahahah.

Its you who is crying here and the frustrated one.

Regarding value addition (difference b/w both):
1.In business, you create something (product/service), which inturn will be purchased by a customer who has a need for tht. This is win-win situation where both gets their need satisfied.
2. In trading (especially derivatives), one would make money only if somebody else loses.This is a win-lose situation similar to gambling. Hence, no value addition.

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So this is it. We are DOOMED.

Good points @Raz.

Another point is say tomorrow if all speculation by RETAIL traders in derivatives is banned. NOTHING WILL HAPPEN TO ECONOMY.

Note i said retail and not institutional.

Also why would SEBI do anything to reduce liquidity in markets.

This proposal will only help underfunded retail traders , but they are too blind to see it.

you are not doomed.

As per the proposal , brokers may have to decide if they will let you trade or not based on your net worth. Not exchange or SEBI.

So its in best interest of broker for you to trade as much as possible.

So nothing will come out of this proposal.

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This is how you add value to the discussion instead of just giving open ended sermons. Thanks.

That is not what the media reports say. SEBI will fix limits not the broker. @Newbie420

Try convincing this point to millions of traders across the world.:grin:
According to your logic… Maruti won by selling more ERTIGAs than Chevorlet ENJOYs. So here is a case of loss. Hence I request the govt to give licence to only one automobile manufacturer in the country = Only win win cases everywhere isnt it ?
Also what is the win win case when Tendulkar hits a ball in a stadium ? It is clearly one win and one loss !!! The thing is…He is a player and his work/art supports thousands of tertiary jobs. Similarly our work/art supports thousands of tertiary jobs.( Not to mention the details of why derivatives exist in the first place.). It is NOT A ZERO SUM GAME. Saying so would be short sightedness.

Again we are deviating from topic. Lets create another thread for this ok ? somebody please do it if they are interested…

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Who is to say that the “something” WILL BE purchased by a customer? Did you know that more than 75% of startup businesses fail i.e. post losses? Do people stop doing business looking at those numbers? NO. People start a business hoping that their business will be in the 25%.

This is applicable in investing too. Do you think that all long term investors end up making money? How do you think non-derivative stocks fall? It’s because people who bought at a lower price long time ago book profits and that profit amount is coming out of the pockets of people who bought at higher prices. Intraday trading is just a much faster version of that.

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Yup ! Govt should ban stock markets because stock like MANPASAND BEVERAGES are lurking in every corner. This is a LOSS-LOSS case.

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you also dont add value to discussions by making personal attacks. Shame on you for preaching what you dont follow.

I don’t think i need any advice from you. Like i said before please keep your opinions to yourself.

And you are not adding any value to the discussions so far. All you are doing is justify this proposal by doing apples-to-oranges comparisons.

I don’t think you even understand the issue at hand, but keep trying.

Enough of this stupidity. Good night everybody. I will try to tell everybody about protesting SEBI in as many platforms as possible. I will also forward the petition links. Bye.

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Yep , that’s some quality value addition to the discussion.

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i wonder why people who feel there is nothing to be worried about this particular move by sebi even on this thread…i thought the thread was for something to help retail traders who feel will be affected…

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It doesn’t make any sense to compare Ertiga and enjoy. Here we aren’t making any competitive analysis. Those who like ertiga will purchase that vehicle and same is the case with enjoy. Finally customers and owners will be satisfied. Again, you are comparing oranges with apples.

In Tendulkar case, its also similar to derivatives trading where one team wins only when the other team loses. Derivatives is certainly a zero sum game. Only if there are buyers, you will be able to sell your holdings.

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You’ve got the point wrong. If a customer has a need, he purchases from start up. If no need, he wont approach and thats not a lose for him. This isn’t a win-lose situation. This has something to do with the co. n nothing to do with the customer.

We aren’t talking about investors. A trader is different from an investor. Also, I was mentioning oly about derivatives segment in this case and I didn’t speak about stocks.

So many comments on a unconfirmed news story. :joy:

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Whatever it may be, I would like to reiterate that whatever petition or social media campaign people are going to use, SEBI won’t lend their ears.

Most of the poeple who make lakhs of money in trading are not reporting it in their IT returns.Hence, SEBI plans to link IT returns to exposure inorder to bring the skeletons out of the cupboard.

Trading is an activity managed by SEBI, and they make rules for the game. If you follow the rule, stay in the game. Else, quit trading. Sebi won’t be bothered about that.

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yes…we have been discussing about what can be done if it becomes confirmed in the future

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Nothing can be done… Just have to abide by the rules and laws.

Except there’s no point in the first place. If I start a food manufacturing business and nobody buys my products, sure as hell I’m in loss. Simple enough to understand? And more than 75% of businesses post losses. At least in trading, mathematically you have a 50% chance of making a profit.

I know perfectly well the difference. My point is that zero sum game logic is applicable across the stock market, be it trading or investing. No money gets created in the market, it only exchanges hands. The only way to stop people from losing money is by closing stock market altogether :joy:

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Zero sum is applicable in derivatives, but not in SLB.

Say, 1000 ppl purchased infy stocks in 90’s, their worth has grown along with the company and they are not into any sort of losses.