Recently, there had been a lot of Rights issue and I would like to remind you to be careful about any technicalities if you are subscribing to them. Below is the text of an email I received from one of my readers.

Recently, I used the ATM to execute 3500 of Capitaland Rights Issue offered to me at $1.30. Thinking that I am assured of getting this shares, I decided to sell- of 4000 of Capitaland shares I already held at $1.90 (which I bought above $6).

However to my horror, I later discovered that I was not alloted the rights issue as I had inadvertently accepted my individual CDP acct for the ATM transaction. I was told the offer was for my joint account acct and my transaction was therefore rejected. The CDP staff told me its my mistake & there’s nothing they can do. My broker at iOCBC told me he heard of a similar case.

To me there is a “Murphy” in the system. I wonder if you know of a recourse & how I can make sure this doesn’t happen to others. Read more…