The UK Trader's Bible

Jacket text for The UK Trader's Bible

This is the only comprehensive UK-published guide to short-term trading, combining detailed reference information with the author's advice on strategy and tactics. Every serious trader in the UK needs this book - not a nice-to-have, but a must-have!

The 10 key things you will learn:

- Detailed description of the different trading platforms (SEAQ, SETS, SETSmm, SEATS Plus) on the London Stock Exchange.

- How to deal inside the spread in market making stocks and get the best price.

- How auctions work on the London Stock Exchange platforms.

- The importance of direct market access for active traders.

- The secrets of programme trading, index arbitrage and block deals.

- How the cash, futures, lending and derivatives markets interact.

- The secrets and risks of short selling.

- Which directors' deals to follow and which are irrelevant.

- How to make money from takeover situations.

- Secret strategies from an established and successful trader.

Chapter headings for The UK Trader's Bible

Section 1: How The UK Stock Market Works

The Modern Stock Market
The markets
London Stock Exchange trading platforms
Important Listing Rules
Retail Service Providers (RSPs)
Institutional crossing
Stock-lending and borrowing

London Stock Exchange Trading Platforms
SETS
SEAQ
SETSmm
SEATS Plus

Share Certificates and CREST
Contracts For Difference
Spread Betting
Other Trading Instruments
Universal Stock Futures
Exchange Traded Funds (ETFs)
Covered warrants
Benchmark Certificates
Gold Bullion Securities (GBS)
American Depositary Receipts (ADRs)

Portfolio/Basket trading
Principal portfolio trading
Agency portfolio trading
Futures and index arbitrage
Equity block trades and bought deals


Section 2: Trading Notes & Strategies

Daily Diary
Basic structure of the UK trading day
07.00-08.00: Pre-market preparation
07.50-08.00: Opening auction
08.00: Market Open
08.00-16.30: Continuous Trading
Philadelphia Stock Exchange Semiconductor Index (SOX)
14.30: US markets open
16.30-16.35: Closing auction
After market trade reporting
18.30: RNS closes
News

Trading The UK Market On Margin
CFD Providers' shareholdings

Company Watch
Company news
Company statements
Court cases and Cause Lists
Dividends
Share splits and consolidations
Stock buy-backs
IPOs and conditional dealings
Public offers, placings and rights issues
Equity lines of credit
Directors' dealings
Broker upgrades and downgrades

Market Watch
Auction imbalances
Following the clever money
Meetings and Resolutions
Volatility and VIX

Event Opportunities
Lock-up expiries
Index reviews, Re-weightings and Investability changes
Sector switches and re-ratings
Credit rating changes
Futures & options expiries

Market Neutral Strategies
Pairs Trading
Balance sheet arbitrage
Convertible bond arbitrage
Dual listed shares and cross border arbitrage

Takeovers
The Takeover Code
Offer period
When an announcement is required
Types of announcement
Bid timetable
Regulatory issues
Mandatory offers
Dealings and Transactions
Schemes of arrangement
Substantial Acquisition Rules (SARs)
Tender offers
Partial offers
Comparison of offer types
The Regulators
Inducement fees and break fees
Due diligence
Transaction types
Risk arbitrage - Analysis of a situation
Financing
Competing offers
Event failure
Acceptances
Protection from siege warfare
Greenmail
Offer obligations
Stub equity
Accounting changes
MBOs
Triple net asset value (property assets)
Online M&A resources

Appendices

About Dominic Connolly

During his career in the City, Dominic Connolly has worked for some of the most prestigious trading institutions in London. In 1990, he joined the index arbitrage, derivatives and program trading desk at Smith New Court, London's top market-maker, which pioneered the application of the equity contract for difference (CFD) product in the UK. He joined Bankers Trust in 1993, one of the powerhouses of the equity derivatives revolution, where he established the European equity arbitrage desk. In 1999, he joined GNI and was instrumental in establishing GNI as one of the premier providers of equity CFDs to both institutional and retail users. During the period 1999 to 2003, the author's trading account returned a net return after all costs of over 1200%, predominantly through utilising CFDs to trade the UK market both long and short with leverage. Dominic Connolly is currently Divisional Director of Equity Swaps at Macquarie Bank in Sydney.

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