CDP or The Central Depository (pte) LTD which helps to keep our share scripts after we purchased our stocks and shares. On many ocassions you were asked whether you want to sign up an agreement to lend your share scripts for any prospective short sellers in the stock market for a fee. What if you do not want to lend them out for those short sellers to short down the share counter you owned, but the CDP do it quietly and pocket the gains ? Who is to check on them and who will know what is happening to those of your scripts deposited with them?
As it may not be in your own interest, especially if you are a small investor and everyone trying to short sell your counter or counters!We know investing in stock market is a risky venture, but most small investors do not want this kind of hanky panky to undermine their interest as it is easy for CDP to juggle the scripts like those banks juggling their money
!Morally it is also not right for such institution to pocket such benefits, if any. Now how transparent is CDP and who is to check on them? This is our real concerns
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