Rajesh Sharma
There are questions raised in many forums about BIG players. Some
have simply blamed them; some are questioning their existence. Hence, I
thought to share my perspective, which is based on my
perception/experiential learning.
There are 3 types of Big players here.
1. Cartel of NRB - finance ministry officials. They play with policies.
In the recent NRB directives or at least in its ambiguous formulation,
these officials played badly. They double as employees and investors.
2. Cartel of a few Big brokers - All brokers do not do share business. A
few among them double as investors/traders individually or collectively
together with 4-5 brokers. They play with information and procedures.
Misinterpretation of policies/procedures/information is what they do to
play in the market.
3. Cartel of Big investors/traders - These
people help to formulated policies or procedures or even sponsor
buying/selling by payment. They have money and they play with that
money. There are familiar names in these groups. The informal "New
Investor Group" is one among them.
I agree with the comments
of many friends that market prices are determined by market forces -
demand and supply. But, that happens in free market economy and free
market atmosphere. In country like ours, where bottled water and surface
transports are run by cartels and government officials patronize them
and the leaders have pets in the form of dons; the market forces have
limitations in their freedom to function. Hence, while looking at
things, we have to differentiate between normal atmosphere and the
polluted one and interpret accordingly. Therefore, sometimes here market
forces work fairly free and in some other times market forces are just
to free in an environment made ready by the clandestine cartels.
P. S.: The above text is my perception based on my experience of past
several years. Hence, please take it in that light and not, in any way,
as the conclusion of any empirical/quantitative/qualitative research.
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