How much more embarrassing can my trading get? I'm almost afraid of telling people which university I attended for fear of damaging my alma mater's reputation. It's true I never majored in finance (good to know your own strengths and weaknesses, right), but still you would think I'd have more common sense than getting into another reverse split scenario.
Just when I thought I was finished nursing my trading wounds for good, I recently acquired a small position in AIG and failed to do my due diligence, which caused me to neglect the minor but major fact that they have announced a 1 for 20 reverse stock split.
The problem with this is that my position was small, so now I've only got 15 shares in AIG. I'm wondering if I should be laughing or crying.
OK, I could look on the bright side... I didn't invest too much to begin with, so this is where risk management works for you. But it's a bottomless pit in the sense that if I don't add more shares to a Reverse Split stock, I'll be waiting 100 years before it ever breaks even. In this case, it's probably not even worth adding more shares.
I'm going to do some more research on the whole topic of the Reverse Split and post any interesting info I find here.
For now, I've got to go back to nursing my C position. Please let other shareholders have enough sense to reject this whole Reverse Split notion. From my experience, a Reverse Split is never good. And I had such high hopes for Vikram Pandit. Sigh.
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