Attention, those of you who previoiusly owned Newfield Exploration Company (NFX); NFX is the target of an acquisition by Encana Corporation (ECA). The acquisition includes a payment of 2.6719 shares of ECA for every outstanding share of NFX. Because of this agreement, you should sell your new shares of ECA on Trade Day, and Transmogrify if necessary. If you are able to sell your shares above your average cost, there is no need to Transmogrify.
We’re here to help! Here is a link to the Transmogrification document that will tell you step-by-step what to do.
Lattco PRO clients: Please use this link to access the transmogrification document for your accounts. Also, please give us a call after you have purchased shares for your new position and before you sell your options; we will need to make some adjustments to your account to properly reflect the transmogrification.
Lattco AutoPilot clients: At this time, trading screens for Transmogrification are not included in the AutoPilot system. You will need to log into Ally to place three orders to complete the Transmogrification process:
- Sell your existing shares
- Buy the same amount of shares for your new stock
- Sell to Open a put at the top of the lower band to replace the purchase for the current month if you don’t own 10x your Level
Once this is complete please notify us and we will adjust your AutoPilot account so that it can suggest the appropriate call option orders.
If you have any questions, please don’t hesitate to contact us at email@example.com or 1-888-6-SNIDER. We’ll be happy to walk you through the process.