The case in point is a merger. Not a buyout. The case is a cooperation of resources and size. Not one swallowing up the other. Therefore the outcry is not suppose to resonate much in the longer run.
Now let us look at the significance of this deal. Possibly Singapore investors or those using SGX will be able to access Australian stocks in real time. Currently if your stock brokerage firm is allowing DMA (Direct Market Access) there is a delay time of 15 minutes on stock prices. Not real time. And thus vital changes and price sensitivity advantage is clouded in that delayed relay of pricing.
Lower fees. Perhaps a lower fees to buy and no more custodian fees on the foreign Australian stock.
I find the whole deal a positive move for investors and for market liquidity as a whole. There is better access to the precious metal and mining companies based in Australia. Remember one of my articles highlighted there are over 200 Mining and Oil stocks in the ASX. And picking up these gems will be easier. Those who are unfamiliar with commodities trading can now buy into the shares of these commodities producers and miners. A better direct investment rather than by proxy. BHP Billiton, Rio Tinto, Orocobre will be easily accessible to investors. There are over 20 Gold companies in ASX alone. Investors have the option now to invest in gold mining companies rather than just Gold.
Comments and suggestions welcome.
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