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Twentyfour Select Income Trust (SMIF)

Closed-end funds and OEICs
yieldhog
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Twentyfour Select Income Trust (SMIF)

#383946

Postby yieldhog » February 5th, 2021, 6:34 pm

Just noticed a sharp spike upwards in the SMIF share price today. There was a relatively large trade of £135k at a price of 95p.
Does anyone know of any news about the fund that might have caused the recent buying interest?

Y

monabri
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Re: Twentyfour Select Income Trust (SMIF)

#383951

Postby monabri » February 5th, 2021, 7:02 pm

yieldhog wrote:Just noticed a sharp spike upwards in the SMIF share price today. There was a relatively large trade of £135k at a price of 95p.
Does anyone know of any news about the fund that might have caused the recent buying interest?

Y


Are you referring to the uncrossing trade figure? (if so, ignore it!)


OllyDrod
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Re: Twentyfour Select Income Trust (SMIF)

#384295

Postby OllyDrod » February 6th, 2021, 8:05 pm

monabri wrote:Are you referring to the uncrossing trade figure? (if so, ignore it!)


Would you mind explaining what an uncrossing trade is and how the process works? My go-to resource, Investopedia unhelpfully throws a blank!
- OllyDrod

Breelander
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Re: Twentyfour Select Income Trust (SMIF)

#384298

Postby Breelander » February 6th, 2021, 8:14 pm

OllyDrod wrote:
monabri wrote:Are you referring to the uncrossing trade figure? (if so, ignore it!)


Would you mind explaining what an uncrossing trade is and how the process works? My go-to resource, Investopedia unhelpfully throws a blank!
- OllyDrod


It's the daily SETS auctions.....

There are three types of auctions that take place for securities traded on the SETS trading system:

07:50 – 08:00 (Opening Auction)
12:00 – 12:02 (Intra-day Auction)
16:30 – 16:35 (Closing Auction)

...As well as established the opening, mid-day, and closing price for companies listed on the London Stock Exchange, auctions promote a more orderly market.

The reason being, by freezing the order book, the Call Period helps remove volatility from the market by slowing down trading, and encouraging the market to reach a more considered level rather than moving around on individual trades....

....orders that can be matched are executed in an event referred to as an uncrossing...
https://aim-watch.com/project/lse-auctions-explained/

OllyDrod
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Re: Twentyfour Select Income Trust (SMIF)

#384302

Postby OllyDrod » February 6th, 2021, 8:23 pm

Thanks Breelander - very helpful. Doesn't sound like something I need to worry about as a retail investor (correct me if I'm wrong) but good to know nonetheless.
- OllyDrod

monabri
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Re: Twentyfour Select Income Trust (SMIF)

#384309

Postby monabri » February 6th, 2021, 9:10 pm

OllyDrod wrote:Thanks Breelander - very helpful. Doesn't sound like something I need to worry about as a retail investor (correct me if I'm wrong) but good to know nonetheless.
- OllyDrod


It might have an effect..for example, you see the shareprice at close of play and decide to invest at 8:00am the next day. But before you can trade the shareprice has moved because the "professionals" have already had the auction periods to get in ahead of you.

If you search "uncrossing trade" in TLF you should find some prior discussion.

viewtopic.php?p=96622#p96622

viewtopic.php?p=225838#p225838

yieldhog
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Re: Twentyfour Select Income Trust (SMIF)

#384538

Postby yieldhog » February 7th, 2021, 6:42 pm

monabri,
Thanks for highlighting the uncrossing trades feature of the LSE system. As a buy and hold punter, that level of technical operations is not something I've come across before. Nevertheless it was quite interesting to learn about it.
As a holder of SMIF shares I'm glad to see the volume of the uncrossing process appeared to cause an upward spike in the price rather than a downward one.
Y


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