any way to sell sanctioned security?

Discussion in 'Interactive Brokers' started by fusiforme, Mar 28, 2023.

  1. In my IB account I have one of the Chinese stocks that was sanctioned by the US government: China Telecom. After the sanctions it was transferred to the Hong Kong exchange and now appears in my account as 728.

    Supposedly the sanctions were against buying the stock, not selling it, and the last time I spoke to a rep at IB he confirmed this. Unfortunately either something changed or the info he had was incorrect, because if I try to close the position I receive the message: "Due to sanctions requirements, transactions in this product are not permitted."

    My guess is the US government is not going to remove these sanctions any time soon, and it has already been several years since they went into effect.

    I'm wondering if there is any way I can actually sell this stock? Is there a way IB can assist me in selling it, or is there a place the stock could be transferred where a sale would actually be possible? Are there any options or am I just stuck in this position indefinitely?
     
  2. SunTrader

    SunTrader

  3. zdreg

    zdreg

    Unlikely.
    If you don't absolutely need the money I would not sell.
     
  4. maxinger

    maxinger

    I had some stocks which were stuck due to whatever reasons.
    I couldn't sell it until 5 years later.
    And when I sold it, the price dropped by 10 times.
    What an unwanted adventure.



    Good Luck!
     
    Last edited: Mar 29, 2023
  5. zdreg

    zdreg

    You have a typical lousy American education. A price drop can only be 1X its price. A price drop can be 100% not 1000%
     
  6. maxinger

    maxinger

    Bought at $50K

    Sold at $5K

    Lost 10X
     
  7. zdreg

    zdreg

    Your response proved my point. Now if you had leverage e'g. where you put up 5k and bought 50k you would be correct.
     
  8. rb7

    rb7

    You probably need to call IB trading desk and they will put the order for you manually.
     
    Lou Friedman likes this.