Broker Cluj trying to turn shareholders into clients via fees
Broker Cluj (BRK), the only brokerage listed on the Bucharest
Stock Exchange has sent a letter to all its shareholders with
accounts opened with other securities firms, offering them a 0.1%
fee cut compared with those they are paying now if they become
clients of the company and a 0.15% cut if they persuade an
acquaintance to work with Broker.
Broker Cluj also explains how clients can move their stock
portfolio from the company they are working with now to get the
trading fee cut.
"The campaign was done by Broker's manager in Bucharest and its
targets also included doctors, notaries and lawyers. All Broker
shareholders got the offer, as did both clients we had and we still
have," specified Grigore Chiş, general manager of Broker Cluj. He
added the company had more than 20,000 shareholders and the total
number of clients stood at several tens of thousands of people,
though much fewer of them are active.
The marketing campaign started by Broker Cluj, however, raises
questions about how the company got the shareholders addresses and
whether or not it may use their addresses registered with the
Central Depository for commercial purposes.