SECZ investigates window-dressed trades | The Herald

via SECZ investigates window-dressed trades | The Herald January 1, 2014

The Securities and Exchange Commission of Zimbabwe has launched investigations into the trading of ABC Holdings,  Fidelity Life and Zimplow Holdings after the counters recorded significant gains during Monday’s trading.In a letter, SECz gave notice that stockbrokers might be called to assist in the investigations of the trades which are suspected to be year-end window dressed.

On Monday, Fidelity led the risers gaining 53 percent to US13,01 cents on volume of just over 96 000. Zimplow, which has a loss on the year of 34,43 percent added US1 cent to US4 cents on low volume.

Banking group ABC put on US9 cents to US59 cents.  A couple of brokers participated in the trades, although indications are that the buyer of the Zimplow shares could have been short while ABC was bid up by brokers after an initial book-over was planned at US55 cents.

At the start of trading yesterday, ZSE issued a warning to stockbrokers over the possibility of propping up trades.  However, the market still closed in positive territory led by gains Hippo, Innscor and Old Mutual.

Hippo put on US0,01 cents to US90,02 cents but still closed the year with an 18,9 percent loss. Innscor gained US5 cents to US80 cents after reports that the group’s retail unit Spar is undergoing a restructuring which will see the distribution centre, Spar corporate and Fresh-pro being combined in order to cut overheads and define structure.

Old Mutual, which closed the year with a 66 percent gain, was up US23 cents or 10 percent to US253 cents. As a result of the gains, the Industrials Index gained 0,43 percent to 202,12 closing the year with a gain of 32,62 percent one of its best year’s since dollarisation.

The Minings Index was unchanged at 45,79 with a year to date loss of 29,68 percent. Elsewhere on the performance table, Masimba gained US0,5 cents to US6,5 cents to close a mixed year, which saw it more than double its price.

RTG added US0,1 cents to 1,6 cents and fellow hotel group African Sun put on US0,1 cent to US2,7 cents with an annual return of 200 percent.

General Beltings led the year performers at 700 percent but closed trades with a buyers tag at US0,08 cents. Heavyweight counter Delta was unchanged at US140,1 cents as was Econet at US60 cents. Both counters are among the most active stocks of the year. — FinX.