To clarify my thoughts. I recently had a situation where a founding director of a company, who's shares I hold, sold of over 50% of his holdings over a 6 day period. The stock was for a goldy and during this time the gold price was dropping. The asx where notified only after the sixth day sale in a Directors interest notification. It started some frantic debate as to who was jumping ship or selling out - was it a big fund who know something about the gold price or bad news was coming, etc. you've probably seen it before. Holders start to panic and the roller coaster starts. My observation is if he had known something due to his position, the rest of the shareholders could have been left high and dry something which happened at DML. A simple note to say a director will be putting stock on the market for personal reasons would alleviate any skulduggery and instill confidence in the board and show transparency. Whether he did sell because of the price of hold is speculation and a mute point at this time but it certainly didn't do the SH confidence any good. I did query the ASX on this point and was advised that there was nothing to stop this type of sale however they acknowledged my point.
FIG Price at posting:
54.5¢ Sentiment: Buy Disclosure: Held
