Seeking Alpha

Seeking Alpha moves stocks

  • Bankers Petroleum (BNKJF.PK +6.6%) shoots higher on heavy volume (both here and in Toronto) after SA Pro author Devon Shire reminds (embargoed until Monday) the company is sitting on 7.7B barrels of oil in Albania - not exactly Canada, but it's not Iraq either.
  • A possible catalyst is the new well-connected CEO which could mean a joint venture on its Albanian fields and an acceleration of production growth.
Comments (1)
  • Lee Church
    , contributor
    Comments (4) | Send Message
     
    aka 'seekingalpha' embraces the legalized front running model.

     

    folks can argue it's good, bad or otherwise, but "seeking alpha moves markets' and we put out just enough for free to get the move, but it's not materially different than if someone paid an insider for info and traded on it. again, might be legal, but in the aggregate it's not good for the markets as the price of inside information becomes market based on how much one can make on the front run trade, the folks with the largest piles of wealth will benefit and the folks with smaller piles of wealth will suffer. That concentration of wealth (and seekingalpha embracing that model) is a death spiral for the market.

     

    Seekingalpha.. the next Buffett hyperhelper.. well.. let's call it 'premium news' instead..

     

    great lipstick. The best part is seekingalpha plugging the front-running.. oops.. i mean 'premium news' or 'private research'.

     

    Hint: you don't release a tease unless you are trying to manipulate the market.. keep it private and trade on it if you wish. In a few quarters the forecasts from the article will either be borne out in results or not. Releasing the story is just market manipulation, especially if it's on a tiered basis. Sure, news folks have found a loophole big enough to drive the UofM survey of consumers through, but it's still the same as me paying the author for a copy before they even publish it to the 'premium' folks. And why not? it's private research after all. Just do the payoff for 'Beaks' in a contract rather than cash in an envelop.

     

    The hightlight is seekingalpha seems proud of their 'market moving' via front run news. I doubt that 20 years from now folks will say "wow that was smart and a great model". Perhaps this time will be different, perhaps it will end well, but in the history of the human species this sort of thing has never ended well.

     

    anyway, carry on.
    19 Aug 2013, 05:21 PM Reply Like
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