6/08/2010
More remisiers needed?
SGX wanted to boost the strength of remisiers by another 1000. Several broking houses are in the market looking for another couple of hundred remisiers each. Aren't these going against the conventional wisdom that the stockmarket shall go online and there is no need for remisiers? There was a time when the mantra was that machines could replace the role of remisiers but now we are hearing calls for more remisiers. Wonderful!
Does it work to have more remisiers? Looking at the volumes traded in the market, at times as high as 2 billion shares daily, many of the remisiers were waiting for their phones to ring. Long were the days when the phones were ringing non stop once the trading volume hit 1 billion shares. What's happening?
And the past few days the volume dwindled to less than a billion, and yesterday was the lowest to date, at 788 million shares. What were the remisiers doing? Swapping mosquitoes?
Now, if the volume is going to be so anaemic, what would the addition of another 1000 remisiers do to the market? More volume or the same volume divided by another 1000?
I have written in the past that once the retail investors have been sent to the cleaners, the next will be the remisiers. And when the remisiers too are emptied of their pockets, the funds and trading houses will only be trading among themselves. And looks like this day is getting nearer than I anticipated.
How did the market get to this pathetic state? What is wrong with the market or the system? Is the system healthy or sick?
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5 comments:
The more the better, more friendly competitions will result in better services. More jobs are created and remisiers can fund their customers to increase volumes, thus better businesses for all. If only they increase the numbers of cleaners, Singapore will be much cleaner. If only they have employ more policemen, there will be less crimes. If more foreigners are brought in, the markets will become vibrant and singaporean will have wonderful livings.
Aiyoh, create jobs and bring down the unemployment rate.
I know of many people, working in banks/finance companies selling investment products, who just disappeared from the banks, while some are obviously giving up distribution of wealth management products eg Hong Leong Finance.
Aiyah, leave the alone lah. The SGX is a private company -- if they want to lose money running a private welfare state for brokers, let them!
But perhaps they need more remisers -- when the market falls like fuck again (it is still way over-valued) they might need staff to wipe up all the shorts and plummetting securities. Also an increase in cardiac arrests and suicides might warrant some extra people to "stand by". :-))
OK wat.We have plenty of graduates and at least this is another alternative for them.I heard remisiers are making good money.My friend says if I can be a remisier,i can have many things in life,big houses ,big cars ,even I got a face of a butcher, singer and actress will still fall in love with me .
For those who are not in the know, the income of the average remisiers is not much more than a clerical assistant.
Gone were the days of big time remisiers. There are still some who are doing quite well. But many are waiting for phone calls and doing nothing.
Another 1000 remisiers will shrink the pie even smaller. The volume you are seeing is fictitious in a way. The big funds shuffling from left hand to right hand, generating no commission for anyone.
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