My attempt to buy some shares of ETM in one of my Scottrade accounts this morning (Sept. 24) was greeted with a "sorry, no can do" message and the notation that I should contact my local branch about buying shares of ETM. So I e-mailed Scottrade and received this e-mailed reply:
Thank you for your e-mail.
Scottrade proactively restricts online purchases of stocks for various reasons which may include operational, trading characteristics, or a variety of other reasons.
This review and restriction should not be construed as a reflection on the merits of the security involved or the people performing transactions in the security.
Please note that these restrictions are temporary and do not prevent investors from selling these securities online or purchasing these securities at the Internet commission rate through your local Scottrade branch office. You may obtain the telephone number of your local Scottrade branch office through our Home page under Branch Locator.
Please let us know if you have further questions.
Sincerely, Matthew Hoff National Service Center Scottrade Inc.
This message (which is obviously not a personalized reply) has the advantage of being delivered quickly, but this doesn't make up for the lack of clarity. Is this wierd, unusual or neither? It ticks me off. Am I off base, or can more experienced investors or traders here tell I'm right to be angry?
Have had this occur with many of the low cap small market size stocks. Call your Scottrade broker and your order will be placed right away. It is an inconvenience but something we have to put up with because crooks have figured out how to game the system by placing phony orders in these stocks in phony accounts on line. Scottrade has to be sure both the account and the order is legit. The problem is not just with Scottrade but other on line brokers as well.