I recently received a question from a subscriber that brings to light a settlement notice that some traders may be receiving when trying to purchase shares of American National Insurance Company (ANAT). This was a great question, so I wanted to make sure to share it with everyone!
Hi Hilary, I currently have a trade pending to purchase shares of American National Insurance Company (ANAT) and received a settlement note that reads: The issuer of this security is deficient in meeting the continued listing requirements. You may want to do further research before place this order. What does this mean and should I place the order? – Jim
Hi Jim, that’s a great question so I took some time to do a little extra research to find out what was going on. This is what I have learned, but in short, yes, you may continue placing your order. On July 15, the NASDAQ was notified that an independent member of American National Insurance Company’s (ANAT) Board of Directors had passed away. As a result of Mr. William L. Moody IV’s death, the company no longer complied with a NASDAQ requirement stating that the Board of Directors must be comprised of a majority of independent directors. However, ANAT is working to once again regain compliance with the rule. The message that you received when attempting to purchase shares of the company was simply stating this fact.
This is merely a technicality with NASDAQ and nothing to indicate a serious issue with the company. In the meantime, ANAT’s long-term story remains intact so I continue to recommend that you buy ANAT below $120.