Sounds so very English doesn’t it? As if in some way I was fixing something broken or euphemiscally describing filling up a idiosyncratic gas tank.
But I’m actually talking about odd lots of stock, which are lots of less than 100 shares. I got a funny letter in the mail from my brokerage account last week. For some reason Texas Instruments does not like that I am holding an odd lot. And of course, they are telling me this now while the stock price is down and I’d have to sell it at a loss.
My other option is to top off the odd lot and buy enough to satisfy the requirement. But really, who has that kind of money now while all stocks are down? (I do, but only if I sell off my shares of Coca-Cola first and I’m not sure I want to do that.)
I don’t get what happens to people who do Sharebuilder and end up with letters like these. I almost always buy odd lots of stock, a few shares here and there. This is the first time I’ve received this letter, but I really hope it’s the only one I get. Is anyone holding TXN in Sharebuilder? If so, what will you do?
Expect an update later when I figure out what to do.
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That is very strange. I’ve never seen a letter like that. Is this some sort of scam? Recently though a company here in Australia that I am a shareholder in went through bankruptcy and reorganization. My 2666 shares were now worth about $20. They bought out all the shareholders with “non-marketable parcels” and sent us a check.
That’s odd, if they don’t allow that, why would they let you buy in odd lots to begin with? I’ve got odd lots with Tradeking and never heard a word about it before.
That seems rather odd. How can they force you to do anything? If they sold it to you at that price then they are kind of stuck with it. Why does it matter to them anyways? I’d like to know what happens!
I got a similar letter from BOA-Merrill. It sounded completely voluntary to me….”Holders have the option to sell shares or to buy shares to round up to 100″.
I too got a letter from Citibank problem is I haven’t received anything from Texas Instruments & the only place I’ve found online that even mentions it is on this side To me it sounds sketchy as if TXN is trying to quietly screw over small investors.
I read on another site that you have to either sell at a $2.50 penalty per share or buy at $32 per share.
From: “James, Billie”
Texas Instruments is currently offering a VOLUNTARY oddlot program through Georgeson for shareholders who own less than 100 shares. The program expires at the end of this week. For more information on the offer, please call (800) 213-0396.
It’s a relief to find out it’s not mandatory, I was beginning to freak as I’m like you, I don’t have that many shares & didn’t want to sell at a loss.
Thanks Natasha for the information! I have been drowning in work and not paying attention. This is very good to know, especially since I think the expiration date has passed.
What I want to know is why anyone would do this? I have a better plan to top off the odd lot by just buying more on the open market. The per share commission fee is far lower.