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Stock Block Trading

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39 views

Stock Block Trading

Uploaded by

santy4882623
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PDF, TXT or read online on Scribd
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Institutional Profit Strateg...

and Stock Block Trading

Recently, my assistant and I have received private messages from many members expressing a
desire to gain a deeper understanding of institutional trading during evening classes. Especially
knowledge about large transactions. Tonight, I will continue to share my experience and insights.

In the stock market, institutional trading volume accounts for a very large proportion. The game
in the stock market mainly occurs between institutions and retail investors, or between
institutions. Institutions have many advantages over retail investors.
In our institutional trading, block trading is the most frequently used large-volume trading tool.

Block trades in the Indian stock market refer to a large number of stock trades on stock exchanges,
which usually involve the number of shares or the transaction amount exceeding a certain
threshold. Block trades are typically conducted by large institutional investors such as mutual
funds, insurance companies, pension funds, and foreign investors. These transactions tend to
have a significant impact on stock prices due to their size.

These participants usually have high market experience and expertise, and the purpose of their
large transactions is usually to meet specific investment strategies or needs.

Block trades are typically conducted during specific trading hours, which helps ensure
transparency and fairness in the market.

Block trading is different from general trading. It is usually conducted through private
transactions rather than through public market exchanges.

The parties to the transaction can negotiate on the price and transaction conditions before the
transaction, and the transaction scale is large, and the price of large-scale transactions is usually
determined through negotiation.
An important feature of block trades is their large transaction size. It involves a larger number of
shares or securities, which may be several times or even more than an ordinary transaction.

In 2016, Microsoft completed its acquisition of professional social network LinkedIn for $26.2
billion, marking a major deal in the technology and social networking fields. This acquisition not
only provides Microsoft with a solid foothold in the social networking field, but also significantly
enhances Microsoft's competitiveness in the cloud computing, artificial intelligence and
enterprise services markets by integrating LinkedIn's extensive data and services. For LinkedIn,
joining Microsoft's camp not only brings more technical resources and business opportunities,
but also promotes the rapid growth of its user base and service scope, thus bringing significant
long-term benefits and market influence to both parties.
Facebook acquired WhatsApp in 2014 for about $19 billion, a major blockbuster deal in the
technology industry. For Facebook, the acquisition strengthens its position in mobile
communications and expands its user data to help provide more personalized services and
advertising. For WhatsApp, joining Facebook provides financial and technical support, promotes
the development of its products and the growth of its user base. This acquisition not only
promoted the development of the two companies, but also had a profound impact on the entire
social media and instant messaging market.

This makes block trading an efficient way for institutional investors, who may need to handle
large amounts of funds and securities.

It should be noted that block trading is not available to all investors. Typically, block trades are
only open to specific institutional investors or investors who meet certain conditions. This is to
ensure smooth transactions and protect market fairness.

Block trading plays an important role in capital markets, providing institutional investors with a
flexible trading method that allows them to meet specific investment needs and strategies.
At the same time, block trades can also have a certain impact on the market, especially in terms
of the price and liquidity of the stocks or securities involved.
For example, assuming the market capitalization of a stock is 1 billion rupees, then usually the
float market capitalization of this stock is about 100-200 million rupees. When a listed company
or a large stock holder wants to sell a part of its stock, but is worried that simultaneous trading of
a large number of stocks will cause abnormal fluctuations in the secondary market, it will choose
to conduct block transactions.

Companies often buy and sell shares in block trades as part of their capital operations, such as
equity financing or share buybacks.

An important characteristic of block trades is the large size of the transaction. It involves a larger
number of shares or securities, which may be several times or even more than an ordinary
transaction.
Therefore, there is room for a premium when trading. This premium space is usually between 5%
and 20%, and is determined by negotiation between the parties to the transaction.

Block trading is an important phenomenon in the financial market. It involves a large amount of
funds and securities and has a profound impact on market operations and investor behavior.
Institutional traders do have many significant advantages over individual investors. Because they
control a huge amount of funds and a unified trading strategy

Due to time constraints, my sharing tonight is coming to an end.

As a novice, you may not be able to master much professional knowledge, but following the
trading footsteps of institutional traders is the fastest way to earn greater profits! There are many
ways for institutions to make money, but the overall profit rate is very stable!

Therefore, members who want to make money with the organization, remember not to miss our
Ten times profit trading plan next week!
Finally, please also ask all members to wait patiently for the specific news of Ten times profit
trading plan! We will announce the specific details of the trading plan as soon as tomorrow
evening!

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